Ocean Cargo Insurance, Ocean Marine Insurance, and More…

Hull and cargo insurance is important for any business that transports cargo using ships, planes or trains. If you own a business that participates in the transport of goods and products across large bodies of water then hull and cargo insurance should be something you prioritize.

The hull is basically the body of the ship but doesn’t include aspects of it like the engine. So the hull covers the sides, deck, and bottom of the ship as well as additional structures like the sails. Any damage to the hull can have catastrophic consequences especially if it’s extensive.

Cargo insurance is important in case anything leads to damage of the products being transported. If the cargo falls off the ship into the ocean then the damage should also be covered by cargo insurance. Hull and cargo insurance as an entity is of crucial importance to anyone who participates in marine businesses.

Hull and cargo insurance is something that a lot of people besides ship owners need to consider. For example, workers responsible for transporting cargo on and off ships and deck owners or workers should also worry about damages and consider purchasing hull and cargo insurance. Hull and cargo insurance is one of the main components of marine insurance and is often confused as the same thing. However, marine insurance also provides coverage and protection for the hull and cargo on a ship.

Any water vessel that operates in large bodies of water like oceans, rivers, or lakes can be covered by hull and cargo insurance. This includes ships, fishing boats, bulk carriers, tankers, cruises, and even yachts. If you own a yacht for personal reasons you can still get hull and cargo or marine insurance in order to guarantee that unexpected damages or accidents to the body of your personal yacht are covered.

There are certain situations where hull and cargo insurance will be nullified and of no use to your business. The first is in cases of war. If your ship is damaged in war then the insurance policy becomes nullified and won’t cover the damages. The second situation is if, as the owner, you already knew that something would happen ultimately damaging your ship and didn’t interfere. That would basically be like damaging your own property in order to get the insurance money.

Some business and ship owners prefer to get hull insurance without its cargo counterpart. This would be great for those who own personal yachts, or those who have ships that don’t transport products. Nonetheless, it’s preferred that if you get cargo insurance too if your ships will be transporting goods regardless of their number or cost. You could end up facing charges by the manufacturer or recipient if anything happens to the cargo.

Hull and cargo insurance for those participating in the marine industry is vital and should be considered part of the cost of doing business. Deciding to go on with your business without insurance is quite risky, especially in an industry as uncertain and expensive as the marine industry.