Marine Hull and Cargo

Marine Hull Insurance covers boats used for commercial purposes as opposed to private pleasure-crafts.

The insurance provides cover for accidental loss or damage to the boat itself, including salvage costs, and third party liability cover also. Marine Hull Cargo Insurance

Factors influencing the premium and terms applied include:

  • The age and construction of the boat
  • The use of the boat
  • The navigating limits of the boat – local waters or international
  • The value of the boat
  • The level of third party liability coverage required
  • The experience and qualifications of the crew
  • The loss/claims experience

Marine Cargo Insurance

Marine Cargo Insurance provides cover for goods in transit internationally and/or within New Zealand, and is one of the oldest forms of insurance.

Despite the name, this insurance covers transits by road, rail and air, as well as by ship. Cover can be arranged for one-off specific transits or on an annual basis which provides automatic cover for all transits taking place within the 12 month period.

We have many years experience arranging cover for businesses and individuals transporting stock, machinery, buildings, vehicles and household goods. The insurance is surprisingly affordable and very easy to arrange only the telephone.

Common queries:

My goods are being transported by a professional carrier – don’t they cover loss or damage to the goods?
Within New Zealand, a carrier’s maximum liability for loss or damage to goods they are transporting is imposed under the Carriage of Goods Amendment Act 2013 at $2,000 per unit of goods they contract to carry (Limited Carriers Risk). You can be left exposed if for instance you contract a carrier to transport a pallet of 50 boxes which are individually worth $250 each. The carrier would only be liable for $1,500 in respect of the pallet load (the unit), rather than the individual boxes, which in the event of a total loss, would leave a shortfall of $10,500. Some carriers may contract with you to carry the goods ‘at owner’s risk’, which means the carrier is not liable at all for loss or damage. In international transits, it will depend on the terms of sale whether insurance cover is included or not. If in doubt, talk to us.

The value of my shipment overseas is quite low. Do I really need to insure it?
Sometimes for low valued shipments it can seem uneconomical to insure. However an important (and largely unknown) aspect of marine cargo insurance is that the policies include cover for ‘General Average’ charges. The law of general average is a legal principle of maritime law according to which all parties in a sea venture proportionally share any losses resulting from a voluntary sacrifice of part of the ship or cargo to save the whole in an emergency. Under these circumstances, your goods may reach their final destination unscathed however you may still be required to pay general average charges to cover the cost of other people’s cargo which did not reach its destination.

I’m importing goods and have the option of the seller arranging insurance. Is this the best option or should I arrange cover?
It is more practical for New Zealand importers to arrange cover on the goods locally in New Zealand, as the loss or damage will normally become apparent when the goods arrive in New Zealand, in which case, it will be far easier for you to have your claim dealt with by a local insurer.

Contact Us

To find out more or get a quote please contact us.

P (07) 578 0739