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Ocean Cargo

Coverage 

  • Comprehensive all risk programs
  • Our specialties include Stock Throughput, Multinational CMP programs and Captive Programs. For the Logistics industry we write Shippers Interest, 3rd party liabilities, Enhanced Contractual Liability and E&O coverages
  • Other specialty offerings include cargo coverage for Infrastructure Projects including Delay in Start-Up (DSU) and ALOP Advanced Loss of Profits
  • War Risk and Strikes, Riots and Civil Commotions are included:
    — Terrorism covered worldwide

Available Limits

Up to $50 m per conveyance  for 1st party cargo policies

Capacity

  • Transit = $50mil
  • Storage/Warehouse: $50m ( NatCat =$10m per occurrence and in the annual aggregate)
  • Retail STP = $2.5m per location ( NatCat = $10m per occurrence and in the annual aggregate)

Minimum Premium

$10K

Minimum Deductible

Varies on a risk by risk basis

Form(s)

  • Standard AIG Ocean Cargo Form
  • Freight Pak Form
  • Property Performance/Ocean Cargo Form
  • Manuscript wordings accepted

Targeted Classes/Industries

Manufacturers, Importers, Exporters, Freight forwarders, Retailers, Logistic Providers 3PL and 4PL, Petrochemical, High Tech, Pharmaceutical, Transportation Companies, Food Products Industry, Distributors

Targeted Classes/Industries

Agriculture, Automotive, Capital Equipment, Chemicals, Computer Hardware, Software, Consumer Electronics, Consumer Goods, Energy, Food, Metals

Targeted Geographies

Worldwide

Additional Product Eligibility 

  • Property
  • Inland Marine
  • Trade Credit 
  • Financial Lines
  • Construction

AIG Ocean Cargo Insurance covers the transportation of lawful goods and/or merchandise by vessels crossing both foreign and domestic waters including any inland or aviation transit associated with the shipment. Coverage is  typically provided on an All Risks basis for physical loss or damage throughout the supply chain.

 

Clients have access to our global network of full time, marine loss control consultants who can help identify and quantify clients’ marine exposures and deliver on solutions to minimize risk. The team’s seasoned professionals average 25 years of experience in the industry and most are licensed as Master Mariners with sea-going experience.

Discovering the Truth Behind Goods Damaged in Transit:

Our client, a trading company importing kitchen goods, had shipped a cargo of silicon cooking equipment valued at approximately USD $1.3 million. AIG received a claim for damage to the goods which had occurred during transit from a chemical smell which had rendered the equipment unusable for sale. The loss was covered under our ‘Stock Through Put’ Ocean Cargo Policy which provides coverage during inland transit and storage. The cargo had been stored in a warehouse for a period during transportation under the risk management of a local forwarding company.

 

AIG assigned a local surveying company with a chemical analyzing laboratory to investigate and through detailed investigation of the transportation and warehousing environment, it was concluded the cause of smell came from another cargo which had been located beside the cooking equipment in the warehouse.

 

AIG discussed the handling of this loss with our client and agreed to try to recover the loss from the warehousing forwarder directly to protect their loss record. In the negotiation with the forwarder, the detailed evidence was overwhelming in proving the direct cause of loss. Our client successfully recovered the loss at full amount from the forwarder – saving the penalty of deteriorating their loss record and ensuring they could renew their policy at a minimum.

 

Fire and Water Damage Fertilizer Chemicals Cargo:

While en route on a voyage from Europe to Asia, a bulk carrier carrying approximately 55,000 metric tons of fertilizer discovered that fumes were coming from two of the holds. The vessel had to divert to the nearest port and the cargo holds were flooded with seawater to reduce the rising temperature. The vessel then proceeded to her destination where all the cargo was discharged.

 

AIG had insured the entire cargo on board for approximately USD $20 million and about half the cargo was affected by the fire and the extinguishing water.

A team that included marine surveyors, fire experts, the carrier’s Protection & Indemnity representatives and AIG’s Marine Complex Adjuster provided guidance to the insured during the claims process. After forensic investigations confirmed that the cargo did not cause the fire AIG visited the insured and swiftly issued an advance payment of USD $3 million. In addition, our surveyors were able to minimize loss damages by obtaining good values from salvage sales before the start of the rainy season. Nine months after the loss occurred, the insured was fully
compensated for USD $6.8 million dollars. We also assisted the insured in recovering their uninsured loss in a subsequent recovery claim against the carrier.
 

 

Large global footprint of both skilled marine loss control consultants, underwriters, and claims staff. Leading Provider of Controlled Master Programs, allowing for seamless marine coverage worldwide.

 

Team of loss control consultants averaging 25 years of experience in the industry to help identify and quantify a client’s unique exposures and help them to minimize their risk.

 

Over $1 billion in claims paid since 2015 by our dedicated claims team who average 18 years of experience in handling marine claims for
clients and helping them achieve the best possible outcome in their time of need.

  • Expedited claim handling for losses less than $10,000
  • Unique General Average and Salvage Claim Solution

     

 

Interested in Ocean Cargo Insurance?