Cargo: War and Strikes Risk
Marine Cargo insurance insurers traditionally reserve the right to cancel War and Strikes insurance coverage by issuing 7 days' prior notice before such cancellation becomes effective.
Whilst in the vast majority of cases the existing Marine Cargo insurer is prepared to reinstate the war and strikes insurance coverage, this will be subject to the payment of additional premiums on shipments to or from the Gulf region of the Middle East and the cost of this can vary significantly.
Marsh's Cargo practice in London has an insurance product available designed specifically to provide insurance coverage for War and Strikes risks.
The insurers involved are Lloyd's syndicates and insurance companies trading in the insurance market in London.
This insurance product can provide up to US$225m of capacity for product on-board any one vessel or conveyance.
The capacity can be bound by the agreement of one insurer.
The intention of the product is to:
- Remove the Marine Cargo insurance insurer from facing such risks where they do not wish to do so.
- Secure an alternative pricing proposal for clients, which may prove more favourable for clients, particularly where large volumes/values are concerned. This can take the form of lower premium pricing or "no claim" rebates of premium at the end of the insurance policy period or sometimes both.
For more information on war and strikes risks in marine cargo, download our brochure or contact us directly.