Types of Policies

While the movement of cargo within the country is covered under inland policies, cargo going out of India/ cargo coming to India from broad are covered under overseas policies. One has the option of covering the voyage under a specific policy. However, if the voyages are frequent and it is difficult/ cumbersome to take specific policies, option is also available to obtain cover of all dispatches under an open policy/Cover. Scope of Cover
The scope of cover
under inland policies are determined by Inland Transit Clauses A, B and C. While C covers the losses arising due to fire and lightning, B covers losses arising due to accident of the carrying vehicle besides whatever is covered in C. Inland Transit Clause A is an All Risk policy.
The scope of cover under inland policies are determined by Institute Cargo Clauses A, B and C.
While C broadly covers the losses arising due to fire/ explosion/ sinking/ stranding/ jettison/ General Average, B covers losses arising due to earthquake, entry of sea water, washing overboard etc besides whatever is covered in C.
Institute Cargo Clause A is an All Risk policy.
War, SRCC, loading & unloading, warehouse to warehouse clause are not inbuilt covers of this policy but can be Extended by mentioning clearly on the proposal/quotation.
All the policies are subject to certain exclusions like inherent vice, losses arising due to war and nuclear perils etc.
Sum Insured
The sum insured is based on cost, insurance, freight and other incidental expenses. This is an agreed value policy.
Premium Rate
Premium rate depends on various factors associate with the risk. Important amongst them are nature of cargo, scope of cover, packaging, mode of conveyance, past claims experience, Age of the vessel etc.