Buyer may require cover in respect of increased value arising out of charges payable at destination or rising market prices. A company owned solely or in large part by one or more non insurance entities for the primary purpose of providing insurance. Marine insurance lecture 15 week 8 development one of the earliest forms of insurance developed out of bottomry and respondentia bonds standard forms used by lloyds. Marine insurance is basically a protection of ship, cargo or property due to loss or damage while it is in transit from one place to other. Insurance products are provided by national transport insurance, a joint venture of the insurers insurance australia limited trading as cgu insurance abn 11 000 016 722 afsl 227681 and aai limited trading as vero insurance abn 48 005 297 807 afsl 230 859 each holding a 50% share.
Business terminology shouldnt be reserved for insurance agents. The following can be inferred from the above two definitions. They have also, in addition, to fulfill the provisions of section 64vb of the insurance act 1938 on payment of premium in advance of risk commencement see. Understanding business insurance terminology trusted choice. Seller responsible for insurance from his works or warehouse until delivered to buyers warehouse or other final destination stipulated by the buyer. Marine insurance mostly outside the mandatory rules. The term may apply to inland marine but more generally applies to ocean marine insurance. Premiums the monthly or annual amount that you must pay in order to have the insurance coverage. A free powerpoint ppt presentation displayed as a flash slide show on id. Jan 23, 2010 classification of marine insurance based on the facts stated earlier, marine insurance can be classified into four broader categories i. Grievances policyholder servicing turnaround times as prescribed by irda maximum turn around time. Insured the persons covered by the insurance policy.
In the 19th century, lloyds and the institute of london underwriters a grouping of london company insurers developed between them standardized clauses for the use of marine insurance, and these have been maintained since. Insurance terminology north american training group. Appointed by ship owner to prepare a general average statement. Generalinsurancedefinitions institute and faculty of actuaries. Inland marine insurance a branch of the insurance business that developed from the insuring of shipments that did not involve ocean voyages. Diploma in insurance services module 2 notes principles of general insurance principles of insurance 54. A contract of marine insurance may by its express terms or by. Personal liability and medical payments to others endorsement endorsement to the dwelling policy that provides liability coverage similar to that provided by section ii of the homeowners policy.
This is a glossary of shipping terms and marine terminology as it pertains to marine insurance. Insurance economic device whereby the individual or business pays a cost premium in exchange for protection against financial loss. Marital deduction a reduction of an estate for estate tax purposes, which is available if the deceased is survived by his or her spouse. The nature and scope of marine insurance is determined by reference to s. A contract of marine insurance is an agreement whereby the insurer undertakes to indemnify the insured. Insurance terms, definitions and explanations are intended for informational purposes only and do not in any way replace or modify the definitions and information contained in individual insurance contracts, policies or declaration pages, which are controlling. Need help with insurance terms and insurance definitions, see the insurance dictionary and glossary. As australias leading specialist marine insurer, weve developed a glossary of terms as an expert guide to navigate the language of marine insurance. In the 19th century, lloyds and the institute of london underwriters a grouping of london company insurers developed between them standardized clauses for the use of marine insurance. Glossary of business insurance terms actual cash value method of computation used to assess and valuate damages owed on insured property. It is the objective of the association to promote professionalism in the ocean marine.
The most commonly used cargo insurance terms have been established by the international chamber of commerce incoterms link terms. Insurance definitions, dictionary, glossary and terms. Use this informative property and casualty insurance glossary to better understand basic insurance terms and definitions. In turn, those terms govern the respective responsibilities in respect of. Many terms are specific to the marine insurance industry and may be ambiguous to new boat owners.
This is the liability portion of the marine policy. Marine insurance act, 1963, is designed to regulate the transaction of marine insurance businesses of hull, cargo and freight. Marine insurance coverage for goods in transit, and for the commercial vehicles that transport them, on water and over land. Weve put together this short glossary to help you better understand the process of obtaining the proper insurance for your vessel. Pdf on dec 1, 2015, poomintr sooksripaisarnkit and others published. Independent agents in our network believe that knowledge is power, and they are dedicated to not only providing consumers with competitive rates and coverage, but education and answers as well business terminology shouldnt be reserved for insurance. It is a contract of indemnity but the extent of the indemnity is determined by the contract. Insurance products are provided by national transport insurance, a joint venture of the insurers insurance australia limited trading as cgu insurance abn 11 000 016 722 afsl 227681 and aai limited trading as vero insurance abn. Premiums the monthly or annual amount that you must pay in order to have the insurance. A marine insurance agreement is a contract in which the. Marine insurance may be called a contract whereby the insurer undertakes to indemnify the insured in a manner and to the extent thereby agreed upon against marine losses. The term property insurance includes many lines of available insurance. General average this type of loss is deliberate it is incurred by the master of the vessel. Ocean marine coverage insurance covering the transportation of goods andor merchandise by vessels crossing both foreign and domestic waters including any inland or aviation transit associated with the shipment.
Marine insurance was the earliest welldeveloped kind of insurance, with origins in the greek and roman marine loan. Exposures eligible for this form of protection are described in the nationwide definition of marine insurance. Learn insurance industry vocabulary that will help you better understand your insurance policies. The agreement is a contract also known as an insurance policy. The association of marine underwriters of san francisco, inc.
Meaning of marine insurance marineinsurance is a contract whereby the insurer undertakes to indemnify the assured, in manner and to the extent thereby by agreed, against marine losses, i. Glossary of terms and definitions nacora international insurance. Glossary association of marine underwriters of san francisco. It is a contract of indemnity but the extent of the indemnity is determined by the. In marine insurance, a term used to define the act of an insured giving up the proprietary rights in insured. The terms in this glossary have been carefully selected from the myriad of terms one can encounter in the shipping business. Coverage for goods in transit, and for the commercial vehicles that transport them, on water and over land. Sea fever pdf format this is a glossary of shipping terms and marine terminology as it pertains to marine insurance. Inland marine insurance form of insurance originally designed as an extension of ocean marine. A contract of marine insurance is an agreement whereby the insurer undertakes to indemnify the insured, in the manner and to the extent thereby agreed, against transit losses, that is to say losses incidental to transit. A contract of marine insurance may by its express terms or by usage of trade be extended so as to protect the insured against. Insured the policyholder protected in case of a loss or claim. To gain insight into your companys insurance policy, its helpful to have a grasp of basic business insurance terms. In basic terms there are three main types of marine insurance.
A glossary of marine insurance and shipping terms marine. This is a term most used with marine corgo insurance policies. The standard marine communication phrases smcp has been compiled. Boat insurance terminology can be confusing to firsttime insurance buyers. Ocean marine coverage insurance glossary definition. Type of ocean marine insurance that protects the shipper of the goods against financial. Legal and documentary aspects of the marine insurance. Here is some of the basic terminology for life insurance. The clause in a marine policy which sets out the cover. Renewable term insurance insurance that is renewable for a limited number of successive terms by the policyholder and is not contingent upon medical examination. Brown, dictionary of marine insurance terms london, ded twice, once in 1979 and once in 1980. Learn vocabulary, terms, and more with flashcards, games, and other study tools. Rvcf glossary of retail supply chain terms term acronym definition all risk insurance a clause included in marine insurance policies to cover loss and damage from external causes, such as fire.
Glossary of insurance terms donegal insurance group. Insurance holding company system consists of two or more affiliated persons, one or more of which is an insurer. Generalinsurancedefinitions institute and faculty of. Common law and civil law definitions of marine insurance. Consumer glossary national association of insurance. The terminology used is peculiar to insurance but the declarations, insuring.
Insurer the party who pays for losses in an insurance arrangement. So marine insurance insures the coverage of all types of risks which occur during the transit. Glossary of insurance terms actuary a professional trained in the mathematics of insurance and risk management, including the calculations of premiums, policy reserves and other values. Oct 14, 2014 gerber life insurance offers adult and childrens life insurance to help you protect your familys future. The information has been gathered from many sources believed to be reliable, but the association assumes no responsibility for the accuracy of the information. In order for the insured to be sure that the insured values are for an adequate amount, it is important to understand the meaning of these terms. Insurance companies established and owned by a parent firm in order to insure its loss exposures while reducing premium costs, providing easier access to a reinsurer, and perhaps easing tax burdens.
Insurance regulatory information system iris a baseline solvency screening system for the national association of insurance commissioners naic and state insurance regulators established in the mid1970s. The british columbia statute is the insurance marine act, rsbc 1996 c. Glossary of commercial insurance terms commercial insurance is divided into two main categories. In marine insurance, a term used to define the act of an insured giving up the proprietary rights in insured property to the underwriter in exchange for payment of a constructive total loss. Motor insurance handbook english final policyholder. Motor vehicles act, marine insurance act, employees state insurance act etc. Insurance definitions premium insurable interest subject matter perils underwriters insured loss marine insurance warranty contract. Different from freight class, this is a very specific number that corresponds to your commodity and how it is packaged. Gerber life insurance offers adult and childrens life insurance to help you protect your familys future. This value is typically defined by subtracting the depreciation value from the replacement cost of the item in question.
All are extremely important but on this first page, we have tried to explain in plain english what the most important and common terms mean. Insurer the party who pays for losses in an insurance. Lesson nineteen marine insurance insurance is a means of. A guide to incoterms terms of sale a merchants requirements for marine insurance are determined by the terms of sale heshe negotiates with the party to whom heshe is selling or buying from. Seller does not arrange the insurance, this is the responsibility of the buyer.
Rvcf glossary of retail supply chain terms term acronym. Marine insurance legal definition merriamwebster law. Cif a marine cargo insurance term meaning cost, insurance and. Cif a marine cargo insurance term meaning cost, insurance and freight. Insurance glossary understanding common insurance terms. Marine insurance a form of insurance primarily concerned with means of transportation and communication, and with goods in transit see inland marine insurance and ocean marine insurance.
Ppt marine insurance powerpoint presentation free to. Terms commercial insurance is divided into two main categories. Personal inland marine insurance see inland marine insurance. This book expertly introduces and clearly explains all topics covered in marine insurance law. Irmi offers the most exhaustive resource of definitions and other help to insurance professionals found anywhere. Protection and indemnity will cover you if you are sued for. Agent the insurance company representative who sells policies on behalf of the insurer. Property insurance provides coverage for property that is stolen, damaged, or destroyed by a covered peril. The irwin series in financial planning and insurance marine insurance law marine insurance. In marine insurance, to establish a claim for constructive total loss the assured must give notice of abandonment, and. This act is modelled on the english marine insurance act of 1906. Be sure to refer to our tips for marine insurance as well.
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