What is marine insurance

Marine insurance is a specific type of insurance that is used for all vessels and other marine related structures. Marine insurance is a necessary requirement and an effective form of risk management that protects yachts, ships and other maritime vehicles from dangerous or damaging circumstances at sea.

Marine insurance explained

It is essential to obtain marine insurance as it enables vessel owners to operate their vessel how they wish while also safeguarding and protect their vessel against risks and damages incurred at sea. Ships and yachts are high valued vehicles, thus it is crucial to protect your yacht from risk with appropriate marine insurance. There are a number of marine insurance policies available and choosing the most suitable policy in line with your vessel type and intended use, is vital. Typically, the type of marine insurance you need will depend upon the type of vessel you own, and its primary roles.

Although marine insurance policies will vary from one form to another, most marine insurance policies will cover vessels from a variety of damages, including the equipment onboard the vessel and crewmembers.

For ships and yachts used to transport products, it is important to obtain an insurance policy that will protect the boat’s cargo from damage, loss or breakages during the transportation. Under some policies, a ship’s cargo is not protected, while the vessel itself, and crew and passengers, are fully covered. Some marine insurance policies protect people from a specific type of loss, such as the loss of personal possessions.

The primary role of marine insurance is to safeguard your vessel from a variety of damages. This is a positive investment to make when purchasing a vessel or operating a ship, as it cannot be guaranteed that your vessel is protected from certain damages.

Marine insurance is an imperative and legally enforceable investment in protecting your marine vehicle from loss, damage and other inevitable risks. It is also necessary to insure your vessel in order to register it in a favorable flag state.