Marine Finance and Insurance Essay Example | Topics and Well Written Essays - 1750 words

Marine Finance and Insurance - Essay ExampleSome of the calamities that can face damage include fire, collision, sinking, mutiny, piracy, shipwreck, etc. however, when the naval despatch redress compensates the owner of the encumbrance, it excludes the payment of any items of cargo that can be recovered by the carrier or that will be taken foreboding of by the shipboard soldier redress. Marine insurance also covers all the expenses that the owner of the cargo uses as a result of the delay that the loss covers. The profit that the owner of the cargo could have gained had the cargo reached him or her in time is also taken care of by the marine insurance. This paper aims at covering the marine insurance markets, the market practices, and the risks ascertain. Also included is a critical appraisal of a marine insurance that is likely to be required as security for ship financing by a financier.The ingest reason why an individual who wishes to trans interface his or her cargo by s hip needs to discern about marine insurance is that it will help you protect your cargo form the point of tooth root to the point of destination. Two ways exist in which a businessman can transport his or her cargo wet marine also called waterborne cargo or as dry marine also called land transported cargo (Gaebler, 2009). ... An inland marine insurance ensures that if the cargo gets lost in the accomplish of shipment, compensation can always take place regardless of the individual who was in possession of the cargo when it got lost.Inland marine policies fall into two categories and each of them is designed to take care of shipping colligate losses. These are the filed policies and the non-filed policies (Gaebler, 2009). Filed policies are used to cover the direct loss of physical shoes and feature insured individuals who have suffered similar losses. For the non-filed policies, the direct loss of cargo is covered but this time round, compensation is allowed on only that proper ty that had a specific cause of loss. The non-filed policies are very customizable and hence any character of property being transported can be covered by these policies.Other kinds of marine policies include the excursion policy that one applies for to cater for a specific trip (Horward, 2006). Compensation can only be made for the insured item if loss or damage took place when the items were being transferred. This policy is nearly suitable for cargo insurance. A time policy is covers the insured property for a given period of time. The maximum amount of time that most insurance companies are willing to cater for a property is twelve months. This type of policy is best for insuring ships. A floating policy helps individuals who are regular shippers of merchandise and it takes care of goods that are shipped in different shipments within a given period of time. A port policy covers a ship for the period that the ship is in a particular port. The fleet insurance policy helps ins ure several ships that belong to one owner to be insured under the equal policy (John, 2002). Time policy and voyage policy can