The basics of ocean marine insurance

Ocean marine insurance is a category of insurance that covers vessels on the sea.

Ocean marine insurance is commonly thought of as applying to companies that operate the vessels that transport goods by sea and by the firms that own the goods that need to be shipped but it extends beyond these kind of firms to other categories that we see more often in Monmouth County, such as marinas, boat repairers, tugs, fishing boats and pleasure craft.

1. Cargo

Ocean Marine coverage protects for losses and damage of goods throughout the shipping process, from the time the goods leave port until they arrive at their destination. This insurance is used by companies that source foreign products, or sell their goods overseas.

If the shipment has been paid for, the buyer usually is responsible for the shipment and they will need to have the coverage for the shipment. If the goods have not been paid for, the seller is responsible and needs the coverage.

2. Hull and machinery

Hull and machinery policies cover damage to a vessel itself and to any of its equipment and machinery. If craft is in an accident hull and machinery coverage is the insurance that will pay for the physical repairs.

3. Workboat operators

Workboats include fishing boats, tugs, pilot boats and ferries, virtually every vessel that is to produce income rather than for leisure. Workboat operators are subject to hull risk and to liability risk for their crew (and any passengers). Workboat insurance often needs to be customized to the specifics of your business operations.

4. Marina operators

Marina operators face a set of unique risks with a wide range of exposure. You could be held liable for the boats in your care as well as injuries to the public or your staff in your marina. You have a large investment in assets such as docks, ramps and refueling equipment.

Marine businesses are complex and the environment is filled with laws and regulations, some of which are decades old Whether you operate a marina or a workboat you should know that you are adequately covered.  Because of the complexity of ocean marine insurance it’s best that you review your needs with an experienced agent.

At John B. Wright, we believe we have more experience in the maritime insurance field than any other company along the eastern seaboard. Contact us to get a free review of your unique maritime insurance needs.