MARINE INSURANCEContents…The International Marine Insurance MarketThe Marine Insurance Act 1906The Principles Involved in Marine insuranceParticular AverageThe Measure of IndemnityThird Party Liability And General Average Part 1
General Average Part 2 Cargo Insurance- open & Floating policies Institute Cargo Clauses International Hull Clauses (01/11/02)
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1A. Introduction (Marine Insurance Act)1B.The Credit System1C.The International Marine Insurance
Market1D.The London Insurance Market1D 1.LLOYD’S
1D 1a.Xchanging Ins-sure Services1D 1b.Xchanging Claims Service
Lesson 1
1D 2.LLOYD’S Agenys 1D 3.Marine Insurance Companies 1D 4.Insurance Company Agents 1D 5.Protection & Indemnity
Associations 1E.The Marine Insurance Broker1F.London Market Associations 1F 1.The International Underwriting
Association of London
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1F 2.LLOYD’S Market Association (LMA)
1F 3.The Salvage Association 1F 4.The Association of Average
Adjusters 1F 5.The British Insurance Brokers
Association
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2A.The Marine Insurance Act, 19062B.Effecting Marine Insurance2C.The Original Slip2D.Broker’s Cover Note2E.Policy Signing2F.Premiums2G.Brokerage2H. Deferred Premiums
LESSON- 2
2I.Additional Premiums2J.Held Covered2K.Return Premiums2L.The Principle of Insurable Interest 2L 1.Cargo Interests 2L 1a.Ownership 2L 1b.Shipping Costs
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2L 1c.Insurance Charges 2L 1d.Anticipated Profit 2L 1e.Partial Ownership 2L 1f.Defeasible Interest 2L 1g.Contingent Interest 2L 1h.Bottomry & Respondentia 2L 1i.Forwarding Expenses 2L 1j.Commission
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2L 2.Hull Interests 2L 2a.Ownership 2L 2b.Partial Ownership 2L 2c.Insurance Premiums 2L 2d.Charterer’s interest 2L 2e.Charterer’s Freight 2L 2f.Freight 2L 2g.Disbursements 2L 2h.Mortgage interest 2L 2i.Third Party Liability
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2L 3.Incidental Interests 2L 3a.Master’s & Seamen’s Wages 2L 3b. Reinsurance2M. PPI Policies2N. Assignment2P. Contract of Sale 2P 1.Free on Board (FOB) 2P 2.Cost & Freight (C& F) 2P 3.Cost Insurance & Freight (CIF)
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3A. The Principle of Utmost Good Faith 3A 1.Representation & Misrepresentation3B. Warranties 3B 1.Implied Warranties 3B 1a. Seaworthiness of ship 3B 1b. Legality 3B 2. Express Warranties
Lesson-3
3C. Time & Voyage Insurance 3C 1. Different Voyage 3C 2.Change of Voyage 3C 3.Deviation 3C 4.Delay in Prosecution of Voyage 3C 5.Excuses for Deviation & Delay 3C 6.Transhipment
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3D. Proximate Cause3E.Extraneous Risks3F. Statutory Exclusions 3F 1. Willful Misconduct of the Assured 3F 2.Delay 3F 3. Wear & Tear 3F 4. Ordinary Leakage & Breakage 3F 5. Inherent Vice
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3F 6. Rate or Vermin 3F 7.Injury to Machinery3G. Perils Not Covered 3G 1.Sentimental Loss 3G 2.Sympathetic Damage
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4A. Particular Average4B. Total Loss 4B 1. Actual Total Loss 4B 2.Missing Ship 4B 3. Constructive Total Loss4C. The Marine Insurance Policy 4C 1. The 1982 Policy 4C 2. Forms of Policy
Lesson-4
4C 2a. Time Policy 4C 2b. Voyage Policy 4C 2c. Mixed Policy 4C 2d. Open Policy 4C 2e. Floating Policy 4C 2f. Construction policy4D. Insured Values4E. Franchises, Excesses & Deductibles
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5A. Measure of Indemnity 5A 1.Total Loss 5A 2. Partial Loss of Ship 5A 3. Partial Loss of Freight 5A 4. Partial Loss of Goods 5A 4a. Salvage Loss5B. Sue & Labour Charges5C. Particular Charges
Lesson-5
5D. Salvage & Salvage Charges5E. Services in Nature of Salvage5F. Subrogation 5F 1. Letter of Subrogation
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6A. Third Party Liability6B. Collision Liability6C. Limitation of Liability6D. Both to Blame Collision Clause6E. General Averages 6E 1. Introduction 6E 2. Definition 6E 3. Essentials
Lesson-6
6E 4a. Extra ordinary Sacrifice/Expenditure
6E 4b. Voluntarily Made 6E 4c. Reasonable Made 6E 4d. Imperiled in Common Adventure 6E 5. The ‘Jason’ Clause
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7. General Average 7A.Contributing Interests 7B.Contributory Values 7B 1.Ship 7B 2.Cargo 7B 3.Freight 7B 4.Containers 7C. Amount Made Good
Lesson-7
7C 1.Ship 7C 2.Cargo 7C 3. Freight 7D. Procedures at Port of Discharge 7D 1.General Average Bonds 7D 2.Bank Guarantee 7D 3.Underwriters’ Guarantee 7D 4. General Average Deposit 7E. Average Disbursements 7F. The General Average Adjustment 7G. Applications to Insurance
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8A. Facultative Cargo Insurance8B. Long Term Cargo Contracts8C. The Floating Policy8D. Cancellation Clause 8D 1.Cancellation Clause 8D 2. Limit per Bottom & / Location 8D 3. Basis Of Valuation8E. Institute Classification Clause8F. Certificates of Insurance8G. Block Policies
Lesson-8
9. New Institute Cargo Clauses 9A. Institute Cargo Caused 9A 1.Transit Clauses 9A 2.Termination of Contract of Carriage
Clause 9A 3.Change Of Voyage Clause 9A 4.Insurable Interest Clause 9A 5.Forwarding Charges Clause 9A 6.Constructive Total Loss Clause 9A 7.Increased value Clause 9A 8.Not to Insure Clause
Lesson-9
9A 9. Duty of Assured Clause 9A 10. Waiver Clause 9A 11. Reasonable Dispatch Clause 9A 12. English Law & Practice Clause 9A 13. Risks Clause 9A 14. General Exclusions Clause 9A 15. Both to Blame Collision Clause 9A 16. General Exclusions Clause 9A 17. Unseaworthiness & Unfitness
Exclusion Clause
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9A 18. War Exclusion Clause 9A 19. Strikes Exclusion Clause 9B. Institute War Clause 9B 1. Risks Clause 9B 2.General Average Clause 9B 3. General Exclusions Clause 9B 4. Unseaworthiness & Unfitness
Exclusion Clause 9B 5. Transit Clause 9B 6. Insurable Interest; Increased
Value; Not to Insure; Waiver; Reasonable Dispatch & English Law & Practice Clause
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9C. Institute Strikes Clause (Cargo) 9C 1.Risks Clause
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10 A. International Hull Clauses- 01/11/02 10A 1. General-English Law & Jurisdiction 10A 2. Perils 10A 3. Leased Equipment 1oA 4. Parts Taken off 10A 5. Pollution Hazards 10A 6. Collision Liability 10A 7. Sister ship 10A 8.General Average & Salvage 10A 9. Duty of the Assured (Sue &
Labour) 10A 10. Navigation Provisions
Lesson-10
10A 11. Breach of navigation Provisions 10A 12. Continuation 10A 13. Classification & ISM 10A 14. Management 10A 15. Deductibles 10A 16. New for Old 10A 17. Bottom Treatment 10A 18. Wages & Maintains 10A 19. Agency Commission 10A 20. Unrepaired Damage 10A 21. Constructive Total Loss
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10A 22. Freight Waiver 10A 23. Assignment 10A 24. Disbursements Warranty 10A 25. Cancelling Returns 10A 26. Separate Insurances 10A 27. Several Liability 10A 28. Affiliated Companies 10A 29. Exclusions 10A 29a. War 10A 29b. Strikes 10A 29c. Malicious Damage
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10A 29d. Radioactive Contamination 10A 29e. Chemical, Biological etc
Weapons attack10B. Additional Clauses 10B 1. Navigation Limits 10B 2. Bering Sea Transit 10B 3. Decommissioning Condition 10B 4. Helicopter Engagement 10B 5. Premium Payment 10B 6. Contracts (Rights of Third
Parties) Act
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10B 7. Collision Liability 10B 8. Fixed & Floating Objects 10B 9. Exclusions 10B 10. Return for Lay- up 10B 11. General Average Absortion 10B 12. Additional Perils10C. Claims Provisions 10C 1. Leading Underwriters 10C 2. Notice of Claims 10C 3. Tender Provisions 10C 4. Duties of the Assured
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10C 5. Duties of Underwriters in Relation to Claims
10C 6. Provision of Security 10C 7. Payment of Claims 10C 8. Recoveries 10C 9. Dispute Resolution10D. War & Strike Risks Clauses 10D 1. Perils 10D 2. Incorporation 10D 3. Detainment 10D 4. Exclusion
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On behalf of Indian Institute of Logistics Chennai
Reference
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