Boat Insurance Online
When buying online boat insurance one should get proper coverage for man-made catastrophes, burglaries, or natural disasters. By taking advantage of certain offers, one should be able to obtain a discount on online boat insurance rates.
A marine insurance expert may be able to bargain for lower premiums. Depending on lesser loss ratios, one can shun payment of insurance deductibles and depreciation allowances sustained by losses, and an individual can play a role in minimizing the damages.
Boat insurance is often overlooked by boat owners. It is not mandatory, and is only imposed on consumers if there is an outstanding loan on the boat.
Nevertheless, online boat insurance has turned out to be a reasonably priced means for boat owners to safeguard their assets. It is important to get liability coverage and property coverage at a minimum; one can also get further coverage like towing coverage and trailer coverage.
Boat insurance should be procured with the help of a veteran insurance agent or broker, who has expertise in writing boat insurance. There is no substitute for knowledge, where searching for a source of boat insurance is concerned.
Premiums depend on the size of the boat, its horsepower and navigational range, and the experience of operator. Boats which are over 25 years old are usually written under a different category of boat programs, and a majority of insurers will need a survey for boats and yachts over 10 years old.
Some insurance carriers impose a surcharge of up to 30% because of the disastrous loss character of a specific region. Yet most online insurers offer discounts and anti-burglary plans.
Boat Insurance - Peace of Mind for Your Marine Adventures
As with all vehicles a boat is legible for an insurance policy, under the Marine Insurance Act. While some small boats kept on your premises can be covered by home insurance, Marine insurance can cover not just a seafaring boat but also the goods, as throughout marine history ships have been lost with very expensive cargoes aboard, due to the dangerous nature of sea voyages.
Boat insurance is often cheaper than car insurance especially for a small boat. A comprehensive plan will cover damage to the hull, the machinery and the parts. It is also worth checking if the plan covers theft, injury and any specialist equipment on board like fishing tackle.
Insurance varies a lot depending on the boat. Narrow boats, speedboats, dinghies, yachts, rowing boats and motorboats all have different systems for working out a quote. A fibreglass boat (usually GRP, glass reinforced plastic), like most speedboats, is in a higher insurance band than a wooden or steel boat such as a narrow boat. This is because fibreglass hulls can be damaged or dented very easily while steel hulls for example are very hard to cause any significant damage to. You can get cheaper insurance for diesel powered boats, as they are less likely to explode, and also for using coast guard approved fire extinguishers. A certification in a boat safety course may also reduce insurance.
It also depends on where you intend to sail the boat. The boat will be in a different insurance category depending on whether you intend to sail it in canals (least expensive), rivers, lakes and tidal waters (more expensive) and the ocean.
There are also insurance policies for special circumstances. You can have a boat insured for damage while it is being built, or for a vessel sailing into a war zone or terrorist associated waters, or for specific cargoes such as highly perishable goods that may fail due to delays.
Motor Boat Insurance Basics
Sailing off into the blue yonder, has the salutary effect of blowing cares and stresses away with the winds. However, before you sail away in your new boat, consider the merits of these questions. Do you have boat insurance? Moreover, are your insurance needs fully met?
Marine insurance defines vessels according certain measurements. A boat is defined as one measured between 16 feet and 25 feet, 11 inches in length. If that’s the length and width of your seaworthy vessel, then you have a boat.
Here are the pertinent components your boat insurance policy should have:
Physical Damage Coverage
The insurer pays you for the repair or replacement of your boat, under the following circumstances: Theft, vandalism, lightning, fire, tornadoes, or hurricanes. Included in this coverage is the boat itself, outboard motors, engines, and your boat trailer.
Excluded from the coverage are the following items, which are not, considered a part of your boat’s operations: camera or video equipment, clothing, fashion accessories, or jewelries, food or beverages, cell phones, stereo equipment, portable television, personal computers or scuba gear. Alternatively, you can ask for separate coverage for these items.
Tip. Read the fine print and so that you know what restrictions could apply to your coverage. Can your boat be stored at your place of residence? Alternatively, should the boat be at your vacation spot? Where does the coverage begin? Some policies specifically limit the uses of your boat and list the exceptions.
Liability Coverage
You’ll find this coverage quite useful. You may also wish you‘d paid a bigger premium, when there’s an accident and your boat is liable for damaging another boat, property, or injury.
Uninsured Boat Coverage
This is the marine insurance equivalent of the road vehicle’s uninsured motorist coverage. In this case, your boat’s repairs are covered, in the event the owner of the property your boat collided with has expired insurance or worse, doesn’t have it.
Passenger Medical Coverage
This coverage pays for the medical expenses incurred by people on your boat. This is a must-have clause and the limit can be inexpensive, from $450.00 to $10,000.00, is quite common.
Towing & Assistance Coverage
With this coverage, you’ll get reimbursement for the costs you’ve incurred for availing of emergency services. Examples of these, your vessel breaks down, and a commercial outfit tows your vessel to the port, you’ve paid for delivery to replace your fuel, oil, or engine parts, or for someone to repair your engine.
The bottom line to all this? Be pro-active and arm yourself with knowledge, which among the different policies possible, your boat insurance should have.
Then, you’ll sail confidently into the sun, because your insurance policy will cover you where it’s most necessary.
Fire Insurance Under Indian Insurance Law
A contract of Insurance comes into being when a person seeking insurance protection enters into a contract with the insurer to indemnify him against loss of property by or incidental to fire and or lightening, explosion, etc. This is primarily a contract and hence as is governed by the general law of contract. However, it has certain special features as insurance transactions, such as utmost faith, insurable interest, indemnity, subrogation and contribution, etc. these principles are common in all insurance contracts and are governed by special principles of law.
FIRE INSURANCE:
According to S. 2(6A), “fire insurance business” means the business of effecting, otherwise than incidentally to some other class of insurance business, contracts of insurance against loss by or incidental to fire or other occurrence, customarily included among the risks insured against in fire insurance business.
According to Halsbury, it is a contract of insurance by which the insurer agrees for consideration to indemnify the assured up to a certain extent and subject to certain terms and conditions against loss or damage by fire, which may happen to the property of the assured during a specific period. Thus, fire insurance is a contract whereby the person, seeking insurance protection, enters into a contract with the insurer to indemnify him against loss of property by or incidental to fire or lightning, explosion etc. This policy is designed to insure one’s property and other items from loss occurring due to complete or partial damage by fire.
In its strict sense, a fire insurance contract is one:
1. Whose principle object is insurance against loss or damage occasioned by fire.
2. The extent of insurer’s liability being limited by the sum assured and not necessarily by the extent of loss or damage sustained by the insured: and
3. The insurer having no interest in the safety or destruction of the insured property apart from the liability undertaken under the contract.
LAW GOVERNING FIRE INSURANCE
There is no statutory enactment governing fire insurance, as in the case of marine insurance which is regulated by the Indian Marine Insurance Act, 1963. the Indian Insurance Act, 1938 mainly dealt with regulation of insurance business as such and not with any general or special principles of the law relating fire of other insurance contracts. So also the General Insurance Business (Nationalization) Act, 1872. in the absence of any legislative enactment on the subject , the courts in India have in dealing with the topic of fire insurance have relied so far on judicial decisions of Courts and opinions of English Jurists.
In determining the value of property damaged or destroyed by fire for the purpose of indemnity under a policy of fire insurance, it was the value of the property to the insured, which was to be measured. Prima facie that value was measured by reference of the market value of the property before and after the loss. However such method of assessment was not applicable in cases where the market value did not represent the real value of the property to the insured, as where the property was used by the insured as a home or, for carrying business. In such cases, the measure of indemnity was the cost of reinstatement. In the case of Lucas v. New Zealand Insurance Co. Ltd.[1] where the insured property was purchased and held as an income-producing investment, and therefore the court held that the proper measure of indemnity for damage to the property by fire was the cost of reinstatement.
INSURABLE INTEREST
A person who is so interested in a property as to have benefit from its existence and prejudice by its destruction is said to have insurable interest in that property. Such a person can insure the property against fire.
The interest in the property must exist both at the inception as well as at the time of loss. If it does not exist at the commencement of the contract it cannot be the subject-matter of the insurance and if it does not exist at the time of the loss, he suffers no loss and needs no indemnity. Thus, where he sells the insured property and it is damaged by fire thereafter, he suffers no loss.
RISKS COVERED UNDER FIRE INSURANCE POLICY
The date of conclusion of a contract of insurance is issuance of the policy is different from the acceptance or assumption of risk. Section 64-VB only lays down broadly that the insurer cannot assume risk prior to the date of receipt of premium. Rule 58 of the Insurance Rules, 1939 speaks about advance payment of premiums in view of sub section (!) of Section 64 VB which enables the insurer to assume the risk from the date onwards. If the proposer did not desire a particular date, it was possible for the proposer to negotiate with insurer about that term. Precisely, therefore the Apex Court has said that final acceptance is that of the assured or the insurer depends simply on the way in which negotiations for insurance have progressed. Though the following are risks which seem to have covered Fire Insurance Policy but are not totally covered under the Policy. Some of contentious areas are as follows:
FIRE: Destruction or damage to the property insured by its own fermentation, natural heating or spontaneous combustion or its undergoing any heating or drying process cannot be treated as damage due to fire. For e.g., paints or chemicals in a factory undergoing heat treatment and consequently damaged by fire is not covered. Further, burning of property insured by order of any Public Authority is excluded from the scope of cover.
LIGHTNING : Lightning may result in fire damage or other types of damage, such as a roof broken by a falling chimney struck by lightning or cracks in a building due to a lightning strike. Both fire and other types of damages caused by lightning are covered by the policy.
AIRCRAFT DAMAGE: The loss or damage to property (by fire or otherwise) directly caused by aircraft and other aerial devices and/ or articles dropped there from is covered. However, destruction or damage resulting from pressure waves caused by aircraft traveling at supersonic speed is excluded from the scope of the policy.
RIOTS, STRIKES, MALICIOUS AND TERRORISM DAMAGES: The act of any person taking part along with others in any disturbance of public peace (other than war, invasion, mutiny, civil commotion etc.) is construed to be a riot, strike or a terrorist activity. Unlawful action would not be covered under the policy.
STORM, CYCLONE, TYPHOON, TEMPEST, HURRICANE, TORNADO, FLOOD and INUNDATION: Storm, Cyclone, Typhoon, Tempest, Tornado and Hurricane are all various types of violent natural disturbances that are accompanied by thunder or strong winds or heavy rainfall. Flood or Inundation occurs when the water rises to an abnormal level. Flood or inundation should not only be understood in the common sense of the terms, i.e., flood in river or lakes, but also accumulation of water due to choked drains would be deemed to be flood.
IMPACT DAMAGE: Impact by any Rail/ Road vehicle or animal by direct contact with the insured property is covered. However, such vehicles or animals should not belong to or owned by the insured or any occupier of the premises or their employees while acting in the course of their employment.
SUBSIDENCE AND LANDSLIDE INCULUDING ROCKSIDE: Destruction or damage caused by Subsidence of part of the site on which the property stands or Landslide/ Rockslide is covered. While Subsidence means sinking of land or building to a lower level, Landslide means sliding down of land usually on a hill.
However, normal cracking, settlement or bedding down of new structures; settlement or movement of made up ground; coastal or river erosion; defective design or workmanship or use of defective materials; and demolition, construction, structural alterations or repair of any property or ground-works or excavations, are not covered.
BURSTING AND/OR OVERFLOWING OF WATER TANKS, APPARATUS AND PIPES: Loss or damage to property by water or otherwise on account of bursting or accidental overflowing of water tanks, apparatus and pipes is covered.
MISSILE TESTING OPERATIONS: Destruction or damage, due to impact or otherwise from trajectory/ projectiles in connection with missile testing operations by the Insured or anyone else, is covered.
LEAKAGE FROM AUTOMATIC SPRINKLER INSTALLATIONS: Damage, caused by water accidentally discharged or leaked out from automatic sprinkler installations in the insured’s premises, is covered. However, such destruction or damage caused by repairs or alterations to the buildings or premises; repairs removal or extension of the sprinkler installation; and defects in construction known to the insured, are not covered.
BUSH FIRE: This covers damage caused by burning, whether accidental or otherwise, of bush and jungles and the clearing of lands by fire, but excludes destruction or damage, caused by Forest Fire.
RISKS NOT COVERED BY FIRE INSURANCE POLICY
Claims not maintainable/ covered under this policy are as follows:
• Theft during or after the occurrence of any insured risks
• War or nuclear perils
• Electrical breakdowns
• Ordered burning by a public authority
• Subterranean fire
• Loss or damage to bullion, precious stones, curios (value more than Rs.10000), plans, drawings, money, securities, cheque books, computer records except if they are categorically included.
• Loss or damage to property moved to a different location (except machinery and equipment for cleaning, repairs or renovation for more than 60 days).
CHARACTERICTICS OF FIRE INSURANCE CONTRACT
A fire insurance contract has the following characteristics namely:
(a) Fire insurance is a personal contract
A fire insurance contract does not ensure the safety of the insured property. Its purpose is to see that the insured does not suffer loss by reason of his interest in the insured property. Hence, if his connection with the insured property ceases by being transferred to another person, the contract of insurance also comes to an end. It is not so connected with the subject matter of the insurance as to pass automatically to the new owner to whom the subject is transferred. The contract of fire insurance is thus a mere a personal contract between the insured and the insurer for the payment of money. It can be validly assigned to another only with the consent of the insurer.
(b) It is entire and indivisible contract.
Where the insurance is of a binding and its contents of stock and machinery, the contract is expressly agreed to be divisible. Thus , where the insured is guilty of breach of duty towards the insurer in respect of one subject matters covered by the policy , the insurer can avoid the contract as a whole and not only in respect of that particular subject mater , unless the right is restricted by the terms of the policy.
(c) Cause of fire is immaterial
In insuring against fire, the insured wishes to protect him from any loss or detriment which he may suffer upon the occurrence of a fire, however it may be caused. So long as the loss is due to fire within the meaning of the policy, it is immaterial what the cause of fire is, generally. Thus , whether it was because the fire was lighted improperly or was lighted properly but negligently attended to thereafter or whether the fire was caused on account of the negligence of the insured or his servants or strangers is immaterial and the insurer is liable to indemnify the insured. In the absence of fraud, the proximate cause of the loss only is to be looked to.
The cause of the fire however becomes material to be investigated
(1). Where the fire is occasioned not by the negligence of, but by the willful
(2) Where the fire is due is to cause falling with the exception in the contract.
LIMITATION OF TIME
Indemnity insurance was an agreement by the insurer to confer on the insured a contractual right, which prima facie, came into existence immediately when the loss was suffered by the happening of an event insured against, to be put by the insurer into the same position in which the accused would have had the event not occurred but in no better position. There was a primary liability, i.e. to indemnify, and a secondary liability i.e. to put the insured in his pre-loss position, either by paying him a specifying amount or it might be in some other manner. But the fact that the insurer had an option as to the way in which he would put the insured into pre-loss position did not mean that he was not liable to indemnify him in one way or another, immediately the loss occurred. The primary liability arises on the happening of the event insured against. So, the time ran from the date of the loss and not from the date on which the policy was avoided and any suit filed after that time limit would be barred by limitation.[2]
WHO MAY INSURE AGAINST FIRE?
Only those who have insurable interest in a property can take fire insurance thereon. The following are among the class of persons who have been held to possess insurable interest in, property and can insure such property:
1. Owners of property, whether sole, or joint owner, or partner in the firm owning the property. It is not necessary that they should possession also. Thus a lesser and a lessee can both insure it jointly or severely.
2. The vender and purchaser have both rights to insure. The vendor’s interest continues until the conveyance is completed and even thereafter, if he has an unpaid vendor’s lien over it.
3. The mortgagor and mortgagee have both distinct interests in the mortgaged property and can insure, per Lord Esher M.R.”The mortgagee does not claim his interest through the mortgagor , but by virtue of the mortgage which has given him an interest distinct from that of the mortgagor”[3]
4. Trustees are legal owners and beneficiaries the beneficial owners of trust property and each can insure it.
5. Bailees such as carriers, pawnbrokers or warehouse men are responsible for there safety of the property entrusted to them and so can insure it.
PERSON NOT ENTITLED TO INSURE
One who has no insurable interest in a property cannot insure it. For example:
1. An unsecured creditor cannot insure his debtor’s property, because his right is only against the debtor personally. He can, however, insure the debtor’s life.
2. A shareholder in a company cannot insure the property of the company as he has no insurable interest in any asset of the company even if he is the sole shareholder. As was the case of Macaura v. Northen Assurance Co.[4] Macaura. Because neither as a simple creditor nor as a shareholder had he any insurable interest in it.
CONCEPT OF UTMOST FAITH
As all contracts of insurance are contracts of utmost good faith, the proposer for fire insurance is also under a positive duty to make a full disclosure of all material facts and not to make any misrepresentations or misdescreptions thereof during the negotiations for obtaining the policy. This duty of utmost good faith applies equally to the insurer and the insured. There must be complete good faith on the part of the assured. This duty to observe utmost good faith is ensured b requiring the proposer to declare that the statements in the proposal form are true, that they shall be the basis of the contract and that any incorrect or false statement therein shall avoid the policy. The insurer can then rely on them to assess the risk and to fix appropriate premium and accept the risk or decline it.
The questions in the proposal form for a fire policy are so framed as to get all information which is material to the insurer to know in order to assess the risk and fix the premium, that is, all material facts. Thus the proposer is required too give information relating to:
o The proposer’s name and address and occupation
o The description of the subject matter to be insured sufficient for the purpose of identifying it including,
o A description of the locality where it is situated
o How the property is being used, whether for any manufacturing purpose or hazardous trade.etc
o Whether it has already been insured
o And also ant personal insurance history including the claims if any made buy the proposer, etc.
Apart from questions in the proposal form, the proposer should disclose whether questioned or not-
1. Any information which would indicate the risk of fire to be above normal;
2. Any fact which would indicate that the insurer’s liability may be more than normal can be expected such as existence of valuable manuscripts or documents, etc, and
3. Any information bearing upon the more; hazard involved.
The proposer is not obliged to disclose-
1. Information which the insurer may be presumed to know in the ordinary course of his business as an insurer;
2. Facts which tend to show that the risk is lesser than otherwise;
3. Facts as to which information is waived by the insurer; and
4. Facts which need not disclosed in view of a policy condition.
Thus, assured is under a solemn obligation to make full disclosure of material facts which may be relevant for the insurer to take into account while deciding whether the proposal should be accepted or not. While making a disclosure of the relevant facts, the
DOCTRINE OF PROXIMATE CAUSE
Where more perils than one act simultaneously or successively, it will be difficult to assess the relative effect of each peril or pick out one of these as the actual cause of the loss. In such cases, the doctrine of proximate cause helps to determine the actual cause of the loss. Proximate cause was defined in Pawsey v. Scottish Union and National Ins. Co.,[5]as “the active, effective cause that sets in motion a train of events which brings about a result without the intervention of any force started and working actively from a new and independent source.” It is dominant and effective cause even though it is not the nearest in time. It is therefore necessary when a loss occurs to investigate and ascertain what is the proximate cause of the loss in order to determine whether the insurer is liable for the loss.
PROXIMATE CAUSE OF DAMAGE
A fire policy covers risks where damage is caused by way of fire. The fire may be caused by lightening, by explosion or implosion. It may be result of riot, strike or on account of any, malicious act. However these factors must ultimately lead to a fire and the fire must be the proximate cause of damage. Therefore, a loss caused by theft of property by militants would not be covered by the fire policy. The view that the loss was covered under the malicious act clause and therefore .the insurer was liable to meet the claim is untenable, because unless and until fire is the proximate cause f damage, no claim under a fire policy would be maintainable.[6]
PROCEDURE FOR TAKING A FIRE INSURANCE POLICY
The steps involved for taking a fire insurance policy are mentioned below:
1. Selection of the Insurance Company:
There are many companies that offer fire insurance against unforeseen events. The individual or the company must take care in the selection of an insurance company. The judgment should rest on factors like goodwill, and long term standing in the market. The insurance companies can either be approached directly or through agents, some of them who are appointed by the company itself.
2. Submission of the Proposal Form:
The individual or the business owner must submit a completed prescribed proposal form with the necessary details to the insurance company for proper consideration and subsequent approval. The information in the Proposal Form should be given in good faith and must be accompanied by documents that verify the actual worth of the property or goods that are to be insured. Most of the companies have their own personalized Proposal Forms wherein the exact information has to be provided.
3. Survey of the Property/ Consideration:
Once the duly filled Proposal Form is submitted to the insurance company, it makes an “on the spot” survey of the property or the goods that are the subject matter of the insurance. This is usually done by the investigators, or the surveyors, who are appointed by the company and they need to report back to them after a thorough research and survey. This is imperative to assess the risk involved and calculate the rate of premium.
4. Acceptance of the Proposal:
Once the detailed and comprehensive report is submitted to the insurance company by the surveyors and related officers, the former makes a thorough perusal of the Proposal Form and the report. If the company is satisfied that their is no lacuna or foul play or fraud involved, it formally “accepts” the Proposal Form and directs the insured to pay the first premium to the company. It is to be noted that the insurance policy commences after the payment and the acceptance of the premium by the insured and the company, respectively. The Insurance Company issues a Cover Note after the acceptance of the first premium.
PROCEDURE ON RECEIPT OF NOTICE OF LOSS
On receipt of the notice of loss, the insurer requires the insured to furnish details pertaining to the loss in a claim from relating to the following information-
1. Circumstances and cause of the fire;
2. Occupancy and situation of the premises in which the fire occurred;
3. Insured’s interest in the insured property; that is capacity in which the insured claims and whether any others are interested in the property;
4. Other insurances on the property;
5. Value of each item of the property at the time of loss together with proofs thereof , and value of the salvage ,if any; and
6. Amount claimed
Furnishing such information relating to the claim is also a condition precedent to the liability of the insurer. The above information will enable the insurer to verify whether-
(1) The policy is in force;
(2) The peril causing the loss is an insured peril;
(3) The property damaged or lost is the insured property.
Rules for calculation of value of property
The value of the insured property is-
1) Its value at the time of loss, and
2) At the place of loss, and
3) Its real or intrinsic value without any regard for its sentimental vale. Loss of prospective profit or other consequential loss is not to be taken into account.
FILING OF CLAIMS
How a claim arises?
After a contract of fire insurance has come into existence, a claim may arise by the operation of one or more insured perils on an unsecured property. There may in addition one or more uninsured perils also operating simultaneously or in succession of the property. In order that the claim should be valid the following conditions must be fulfilled:
1. The occurrence should take place due to the operation of an insured peril or where both insured and other perils operated , the dominant or efficient cause of the loss must have been an insured peril;
2. The operation of the peril must not come within the scope of the policy exceptions;
3. The event must have caused loss or damage of the insured property;
4. The occurrence must be during the currency of the policy;
5. The insured must have fulfilled all the policy conditions and should also comply with requirements to be fulfilled after the claim had arisen.
MATERIAL FACTS IN FIRE INSURANCE: PREVIOUS CONVICTION OF THE ACCUSED
The criminal record of an assured could affect the moral hazard, which insurers had to assess, and the non-disclosure of a serious criminal offence like robbery by the plaintiff would a material non-disclosure.
INSURED’S DUTY ON OUTBREAK OF FIRE, IMPLIED DUTY
On the outbreak of a fire the insured is under an implied duty to observe good faith towards the insurers and the in pursuance of it the insured must do his best to avert or minimize the loss. For this purpose he must (1) take all reasonable measures to put out the fire or prevent its spread, and (2) assist the fire brigade and others in their attempts to do so at any rate not come in their way. With this object the insured property may be removed to a place of safety. Any loss or damage the insured property may sustain in the course of attempts to combat the fire or during its removal to a place of safety etc., will be deemed to be loss proximately caused by the fire.
If the insured fails in his duty willfully and thereby increases the burden of the insurer, the insured will be deprived of his right to revive any indemnity under the policy.[7]
INSURER’S RIGHTS ON THE OUTBREAK OF FIRE
(A) Implied Rights
Corresponding to the insured’s duties the insurers have rights by the law, in view of the liability they have undertaken to indemnify the insured. Thus the insurers have a right to-
o Take reasonable measures to extinguish the fire and to minimize the loss to property, and
o For that purpose, to enter upon and take possession of the property.
The insurers will be liable to make good all the damage the property may sustain during the steps taken to put out the fire and as long as it in their possession, because all that is considered the natural and direct consequence of the fire; it has therefore been held in the case of Ahmedbhoy Habibhoy v. Bombay Fire Marine Ins. Co [8] that the extent of the damage flowing from the insured peril must be assessed when the insurer gives back and not as at the time when the peril ceased.
(B) Loss caused by steps taken to avert the risk
Damage sustained due to action taken to avoid an insured risk was not a consequence of that risk and was not recoverable unless the insured risk had begun to operate. In the case of Liverpool and London and Globe Insurance Co. Ltd v. Canadian General Electric Co. Ltd., [9] the Canadian Supreme Court held that “the loss was caused by the fire fighters’ mistaken belief that their action was necessary to avert an explosion , and the loss was not recoverable under the insurance policy, which covered only damage caused by fire explosion., and the loss was not recoverable under the insurance policy, which covered only damage caused by fire or explosion.”
(C) Express rights
Condition 5- in order to protect their rights well insurers have prescribed for better rights expressly in this condition according to which on the happening of any destruction or damage the insurer and every person authorized by the insurer may enter, take or keep possession of the building or premises where the damage has happened or require it to be delivered to them and deal with it for all reasonable purposes like examining, arranging, removing or sell or dispose off the same for the account of whom it may concern.
When and how a claim is made?
In the event of a fire loss covered under the fire insurance policy, the Insured shall immediately give notice thereof to the insurance company. Within 15 days of the occurrence of such loss, the Insured should submit a claim in writing, giving the details of damages and their estimated values. Details of other insurances on the same property should also be declared.
The Insured should procure and produce, at his own expense, any document like plans, account books, investigation reports etc. on demand by the insurance company.
HOW INSURANCE MAY CEASE?
Insurance under a fire policy may cease in any of the following circumstances, namely:
(1) Insurer avoiding the policy by reason of the insured making misrepresentation, misdescription or non-disclosure of any material particular;
(2) If there is a fall or displacement of any insured building range or structure or part thereof , then on the expiry of seven days wherefrom, except where the fall or displacement was due to the action of any insured peril; notwithstanding this, the insurance may be revived on revised terms if express notice is given to the company as soon as the occurrence takes place;
(3) The insurance may be terminated at any tie at the request of the insured and at the option of the company on 15 days notice to the insured
CONCLUSION
Tangible property is exposed to numerous risks like fire, floods, explosions, earthquake, riot and war, etc. and insurance protection can be had against most of these risks severally or in combination. The form in which the cover is expressed is numerous and varied. Fire insurance in its strict sense is concerned with giving protection against fire and fire only. So while granting a fire insurance policy all the requisites need be fulfilled. The insured are under a moral and legal obligation to be at utmost good faith and should be telling true facts and not just fake grounds only with the greed to recover money. Further all insurance policies help in the development of a Developing nation. Hence insurance companies have a burden to help the insured when the insured are in trouble.
Marine Insurance and Freight Forwarding
Cost is the main concern
When choosing any freight exchange company you need to keep the overall costs down to the bare minimum possible. To do this you will most likely need to compare the charges being asked by various freight forwarders and then decide. The job of any freight forwarder is always complex as he or she needs to negotiate on prices and routes with other parties. They also sometimes entrust the delivery work of goods to third party agencies, whom neither you know or recognize. Hence in such cases there is always an element of risk involved. Goods can get damaged or spoilt during the transportation process. This is one reason why proper marine insurance is absolutely vital in international trading activities.
Prevention is better than cure
As this popular adage goes, it is always better to insure your goods while in transit rather than wait for them to suffer damage and then pay exorbitant prices. While most freight exchange companies will try their best to minimize damages to the best possible extent, it isn’t always possible to ensure this. Unforeseen circumstances such as inclement weather or a theft on board can result in serious losses to you and your company. Hence with this perspective in mind, it is always better to go for a good quality cargo insurance deal. You can even get the assistance of a qualified marine insurance agent who will actually bargain on your behalf to land you great deals and the best prices.
Why it is beneficial
When it comes to cargo insurance schemes there are plenty of options you can choose from. You will also typically find that the cost of obtaining a marine insurance is actually significantly lesser as compared to the overall freight charges. Also the fact that you can avail significant financial reimbursement makes any investment in this insurance well worth the costs.
Types of coverage
There are essentially 4 types of marine insurance coverage:
* Physical damage: In such cases the motor, boat and equipment is safeguarded against lightning, wind, theft, fire as well as other natural calamities.
* Liability: This safeguards your goods in cases when an accident or collision happens while on board.
* Medical: This kind of marine insurance coverage provides medical protection in case of accidents.
* Extensive: These include miscellaneous items you want insured like mobile phone, television, stereo, fishing gear etc.
Make Sure You and Your Home are Covered
Most Britons aspire to owning their own home, and those about to get on the first step of the property ladder need to ensure that they have all the relevant insurances against mishaps, not just those relating to the home but also to the homeowner.
Buildings insurance is a requirement of any mortgage lender, and it must be adequate enough to cover the entire cost of rebuilding the property. However, many people are unaware that it is not obligatory to have buildings insurance with their lender, and so do not shop around for quotes. Often cheaper insurance is available from other sources than the lender. Recent research from the Post Office suggests that mortgage borrowers lose an estimated £600million taking out the lender’s insurance rather than shopping around.
Having contents insurance ensures that the homeowner’s possessions will be replaced in case of disaster or theft or even accidental damage, depending upon the level of cover. Again it is important to shop around as levels of cover and premiums vary from insurer to insurer. Also ensure that cover is adequate for the entire value of possessions on a like-for-like replacement basis, and that insurers know about expensive or valuable items that may need to be recorded on the policy document.
Many people also opt to protect their income to ensure that they can continue to meet their monthly mortgage payments in case of their incapacity. There are two options; critical illness cover will pay out a lump sum if the policyholder contracts an illness preventing them from ever working again, or income protection cover which provides a monthly payout in cases where the policyholder is unable to work because of accident or illness.
Life insurance is also a must, especially in cases where the homeowner has dependents. In cases where uninsured persons leave behind a mortgage and have no life cover, those left behind may find it difficult to continue the mortgage repayments and the property may well end up being repossessed. In order to stop that happening take out adequate life insurance that will pay off the mortgage and provide a lump sum for any dependents.
The UK life insurance industry is currently very buoyant, offering lots of competition, so it is very important to compare life insurance quotes to get the best deal. Many homeowners opt for decreasing term life assurance which reduces the level of cover in line with reducing mortgage debt. That type of cover tends to be cheaper than level term assurance which provides a fixed amount of payout throughout the term of the insurance. In many cases employers offer life insurance as a part of their remuneration package so it is worth checking before taking out a policy.
Buying those four insurances ensures that homeowners can sleep soundly in their new house, confident that should any disaster befall them they will be covered. But remember whenever considering buying insurance it is advisable to first get independent financial advice.
Taking A Look At Boat Insurance
Next to the continued maintenance of your boat, boat insurance is the most important aspect of owning a boat. You admit that you would never consider driving your car without car insurance.
Likewise, you ought to never think about using your boat without some form of boat insurance. It will protect you, your boat, and anyone traveling in your boat. It will also provide you with a great deal of peace of mind. That is priceless!
Boat insurance is available from a variety of sources. Many car and property insurance companies also insure boats. Alternatively, you can purchase boat insurance from one of many specialized companies that focus exclusively on marine vessels. Which type of insurer you choose will depend on many factors including price and the type of boat you own.
Boat insurance is very similar to car insurance. Your basic policy will cover physical damage to the boat itself from many different causes. Depending on your specific policy, acts of vandalism, acts of God and even latent defects in craftsmanship may be covered. Generally your boat trailer will also will be insured at no additional charge, but you should always check your policy documents to make sure.
In the event of a boating accident, your medical expenses and those of your guests will also be covered. This is true whether the accident occurs in the water or while entering or exiting the boat at boat docks.
As with a car insurance policy, the limits of this coverage will vary by policy. Safe boating should always be your first priority, but when an accident strikes, will you be prepared with the right policy in place to protect you?
Your boat insurance policy will cover those that you hire to work on your boat as long as they are contractors and not regular employees of the boatyard. Covered contractors may include carpenters, cleaners and others. Again, check your policy for specific information.
Optional coverage’s that you may wish to consider include uninsured boater; personal property; and even fishing equipment coverage. Whether to purchase these optional items depends on your individual circumstances.
There are many special considerations for boat insurance. Make sure that you understand your insurer’s policies on these considerations. One of the biggest concerns is the possibility of grounding the boat. Depending on your insurer’s policies, this could be handled in a couple of different ways.
The vessel could be towed out, which might result in further damage, or it could be considered a salvage, which involves special procedures to protect the boat. Another consideration is wreck removal. If your vessel is completely wrecked, you will be held responsible for removing it from the water.
Some insurance companies cover this while others do not. Also be sure that your insurer will cover towing, which is no longer provided free of charge by the Coast Guard.
If you own a boat that is over 40 feet long, you might consider insuring it as a yacht. but expect to pay quite a bit more. However, the upside is that you will enjoy a form of insurance that comprehensively covers your needs as the owner of a very large boat.
What Is The Best Boat Insurance Company?
There is no right answer when someone asks which boat insurance company is the best. There are so many choices available that it is hard to determine the very best. It really all depends on what the specific needs of the person wanting to insure the boat are.
Facing the facts, there are pros and cons about every insurance company that you will deal with. After all, insurance companies are in business to make money, not to pay it out. This means that they will do anything in their power to not have to pay for claims, as this is the way they make money. If they do happen to pay for a claim then they will raise the rates on your insurance to help cover the loss or they will simply cancel the policy, whichever best suits their needs. For an insurance company to cancel a policy they have most likely determined that the policy is too much of a risk to continue to prevent any further claims. Having a policy cancelled can make it difficult to get insurance elsewhere.
BoatU.S. has been insuring boats, and only boats, since they opened in the late 1960’s. They are said to offer some of the lowest rates and best coverage depending on the craft covered. Their web site offers free instant quotes.
National Marine Underwriters is another strictly boat insurance company. They offer insurance in the 48 contiguous states with some limited territory extensions from time to time. In business since 1983, they offer lower rates and comprehensive coverage for all risk factors.
Progressive Boat, a division of Progressive Auto is one of the cheaper boat insurance companies but they are said to not offer nearly as many services and less comprehensive coverage. They do offer free online instant quotes and their staff is said to be one of the most knowledgeable and friendly groups in the business.
American Boating Association is also an option in the boat insurance world. They offer competitive rates that are comparable to Progressive Boat but they are a little shy in the services area. Free instant online quotes are available. Quotes are also available by telephone but it you should expect a long wait on the line. Their staff is professional and friendly.
To determine the best boat insurance for you then go to a site that offers multiple quotes from several different insurance companies. This will provide you with the best basic information about several companies at the same time which will save you time versus calling all the individual insurance companies.
Many sites offer guaranteed rates if you accept one of the quotes they provide but this is not a widely accepted practice. Keep in mind that insurance companies are not necessarily bound to a quote they provide. Insurance companies will want to verify all information provided to them before making a policy available for purchase. This is required to protect against insurance fraud, which is quite commonplace in this world sadly enough.
Boat Insurance - Peace of Mind for Your Marine Adventures
As with all vehicles a boat is legible for an insurance policy, under the Marine Insurance Act. While some small boats kept on your premises can be covered by home insurance, Marine insurance can cover not just a seafaring boat but also the goods, as throughout marine history ships have been lost with very expensive cargoes aboard, due to the dangerous nature of sea voyages.
Boat insurance is often cheaper than car insurance especially for a small boat. A comprehensive plan will cover damage to the hull, the machinery and the parts. It is also worth checking if the plan covers theft, injury and any specialist equipment on board like fishing tackle.
Insurance varies a lot depending on the boat. Narrow boats, speedboats, dinghies, yachts, rowing boats and motorboats all have different systems for working out a quote. A fibreglass boat (usually GRP, glass reinforced plastic), like most speedboats, is in a higher insurance band than a wooden or steel boat such as a narrow boat. This is because fibreglass hulls can be damaged or dented very easily while steel hulls for example are very hard to cause any significant damage to. You can get cheaper insurance for diesel powered boats, as they are less likely to explode, and also for using coast guard approved fire extinguishers. A certification in a boat safety course may also reduce insurance.
It also depends on where you intend to sail the boat. The boat will be in a different insurance category depending on whether you intend to sail it in canals (least expensive), rivers, lakes and tidal waters (more expensive) and the ocean.
There are also insurance policies for special circumstances. You can have a boat insured for damage while it is being built, or for a vessel sailing into a war zone or terrorist associated waters, or for specific cargoes such as highly perishable goods that may fail due to delays.
Motor Boat Insurance Basics
Sailing off into the blue yonder, has the salutary effect of blowing cares and stresses away with the winds. However, before you sail away in your new boat, consider the merits of these questions. Do you have boat insurance? Moreover, are your insurance needs fully met?
Marine insurance defines vessels according certain measurements. A boat is defined as one measured between 16 feet and 25 feet, 11 inches in length. If that’s the length and width of your seaworthy vessel, then you have a boat.
Here are the pertinent components your boat insurance policy should have:
Physical Damage Coverage
The insurer pays you for the repair or replacement of your boat, under the following circumstances: Theft, vandalism, lightning, fire, tornadoes, or hurricanes. Included in this coverage is the boat itself, outboard motors, engines, and your boat trailer.
Excluded from the coverage are the following items, which are not, considered a part of your boat’s operations: camera or video equipment, clothing, fashion accessories, or jewelries, food or beverages, cell phones, stereo equipment, portable television, personal computers or scuba gear. Alternatively, you can ask for separate coverage for these items.
Tip. Read the fine print and so that you know what restrictions could apply to your coverage. Can your boat be stored at your place of residence? Alternatively, should the boat be at your vacation spot? Where does the coverage begin? Some policies specifically limit the uses of your boat and list the exceptions.
Liability Coverage
You’ll find this coverage quite useful. You may also wish you‘d paid a bigger premium, when there’s an accident and your boat is liable for damaging another boat, property, or injury.
Uninsured Boat Coverage
This is the marine insurance equivalent of the road vehicle’s uninsured motorist coverage. In this case, your boat’s repairs are covered, in the event the owner of the property your boat collided with has expired insurance or worse, doesn’t have it.
Passenger Medical Coverage
This coverage pays for the medical expenses incurred by people on your boat. This is a must-have clause and the limit can be inexpensive, from $450.00 to $10,000.00, is quite common.
Towing & Assistance Coverage
With this coverage, you’ll get reimbursement for the costs you’ve incurred for availing of emergency services. Examples of these, your vessel breaks down, and a commercial outfit tows your vessel to the port, you’ve paid for delivery to replace your fuel, oil, or engine parts, or for someone to repair your engine.
The bottom line to all this? Be pro-active and arm yourself with knowledge, which among the different policies possible, your boat insurance should have.