Marine insurance covers water-going vessels, cargoes and related liabilities. There are centuries of tradition, trade practices, and maritime and international commercial laws that affect marine insurance.
Types of insurance
There are 2 types of marine insurance:
- personal pleasurecraft insurance
- commercial marine insurance.
Personal pleasurecraft insurance
Covers you and your personal marine craft (including yachts, launches, jet-boats and jet-skis) against loss or damage and for liabilities you incur while using that craft.
Commercial marine insurance
Covers commercial vessels and their cargo, as well as the risks associated with exporting primary produce and importing agriculture-related goods, raw materials for manufacturing, manufactured goods and consumer items.
The biggest risk for boaties in crowded waters is collision. Maritime New Zealand has developed a number of simple guidelines for boat operators to ensure their safety while out on the water.
Anyone who is at risk of suffering a financial loss if cargo is lost, damaged or destroyed should have marine cargo insurance.
Marine cargo open policy
A marine cargo open policy is an agreement between a merchant and an insurance company to insure all goods in transit within the agreement for an indefinite period (until either party cancels the agreement).
The policy specifies the
- general description of the goods
- countries or places to or from which the goods will be insured
- maximum value payable under the policy
- manner in which the goods will be valued
- conditions of insurance.
The merchant agrees to declare details of all shipments that fall within the scope of the policy, and the insurer agrees to insure such shipments according to the terms and conditions of the policy.
For more information, download the Marine Cargo Open Policy Handbook, which has been designed for importers, exporters and insurance advisers.
Reviewed December 2017
ICNZ collects information on large marine losses over $500,000.
Marine large loss statistics 167 KB
To December 2017