Marine and Cargo Insurance

Marine and Cargo Insurance is as old as marine trade and has existed in various forms dating back to 3000 BC. However the oldest marine policy known to have been issued was on a vessel named Santa Clara, and the oldest policy document in existence was dated April 24th, 1384 covering four bales of textiles on a journey from Pisa to Savona.

Basic concepts of marine insurance were brought by the Lombards to northern Europe and England in the 13th Century. By the 17th Century, London, with the emergence of the Lloyd’s of London Association, had developed into a leading center for marine insurance. The well-known Lloyd’s of London traces its roots to a coffee shop founded by Samuel Lloyd in 1688 and was favoured as a meeting place for the transaction of insurance business amongst underwriters and merchants. By 1734, the official list of vessels and values known as the “Lloyd’s List” was first published. More than 250 years later, it continues to serve as the leading shipping list in the marine insurance industry and Lloyd’s of London is still acknowledged as the largest meeting place for underwriters and shippers to transact marine insurance business.

What is cargo?

Simply stated, cargo is defined as all goods which are sent abroad by sea, air or post, or which are waterborne during any stage of their transportation. Cargo can be insured under a marine cargo policy. This insurance can be placed for individual shipments or under a permanent contract known as an open policy.

What is meant by an “open” policy or cover?

An open policy is a contract prepared in general terms covering specified goods on agreed conditions. Although no sums insured are stated, limits are applied to any one conveyance or location. It is not uncommon for open policies to be written on a very wide basis to cover all goods and merchandise of every description shipped anywhere in the world. These policies require fairly prompt notification of each shipment; however, failing to do so does not necessarily void the contract. Ogilvy Insurance has designed an Importers Policy that, like open policies, is suitable for most merchants sending or receiving goods, and its chief advantage is that coverage is automatic. Rates and conditions can vary, so the best way to get the coverage and rating that best suits your company’s needs is to fill in the Ogilvy application. Included is information such as the type of goods involved, where shipments are going to or originating, the limit required for each shipment and any previous losses.

Please contact one of our marine experts today to inquire how the Ogilvy Importers policy can protect you.