Marine Insurance

1. The Marine Insurance Market:

• Reasons for and application of marine insurance in shipping business
• Division of the market between Lloyds, Insurance Companies, and P&I Clubs
• Organizational structures of respective entities
• The concept of mutuality in P&I Associations
• Role and function of an insurance broker
• Classes of risk covered by marine insurance

2. The Principles of Marine Insurance:

• Marine Insurance Act, 1906 (England): role, functions & perils covered
• Insurable interest and utmost good faith
• Practice of re-insurance
• Assignment of rights and benefits under the contract

3. The Principles of Marine Insurance (cont.):

• Determination of insurable value
• Liability to the insurer for total & partial loss, apportionment
• Subrogation: How the insurer becomes entitled to the insured property
• Warranties, breach of warranty, implied warranty of seaworthiness
• Losses & proximate clause
• Perils excluded from the policy

4. The Practice of Marine Insurance:

• Procedures and documentation
• Assessment & application of premiums
• Insurance brokers’ remuneration by commission
• Time & voyage policies
• Use of open cover
• Institute (ILU) Clauses

5. Claims:

• Total loss (actual and constructive)
• Particular average vs. General Average
• Mitigation of loss (sue & labour)
• Salvage and salvage services’ remuneration
• Limitation of liability in the case of Third-Party claims
• Professional indemnity insurance: role and importance
• Impact of international pollution legislation on marine insurance

6. General Average:

• Concept of General Average (GA)
• York-Antwerp Rules: role and function
• What is admissible in a GA settlement
• Coverage of GA contributions under marine insurance policies

Case Studies:

Explore real-world scenarios to enhance your understanding of marine insurance concepts.