Lesson 3 - Inland/Ocean Marine

Question 1

Form of insurance protection provides coverage for goods being transported from 1 site to another on inland waterways

Answer 1

Inland Marine Insurance

Question 2

Nationwide Marine definition

Answer 2

Risk must include element of transportation to be eligible for inland marine contract

Question 3

Coverage forms available under Commercial Inland Marine Coverage

Answer 3

1) Valuable Papers & Records
2) Equipment Dealers
3) Jewelers Block Policy
4) Signs Coverage Form
5) Accounts Receivable
6) Commercial Articles

Question 4

Coverage available for single shipments while in transit by any mode of transportation

Answer 4

Trip Transit

Question 5

Coverage for all shipments in a given year during transportation

Answer 5

Transportation Policy-Annual Form

Question 6

Protection provided for truckman’s legal liability as a carrier of goods

Answer 6

Motor Truck Cargo

Question 7

Liability where maximum amount for which the carrier will be held liable is stipulated

Answer 7

Released Bill of Lading

Question 8

Watercraft Coverage Endorsement provides liability coverage for

Answer 8

1) Outboard Motors over 25 horsepower
2) Inboard Motors over 50 horsepower
3) Sailboats over 26ft in length

Question 9

Known as Outboard policy that provides coverage for physical damage on smaller boats

Answer 9

Boat Owners Insurance

Question 10

Laws which apply to Ocean Marine insurance and shipping

Answer 10

Admiralty Law

Question 11

Covers physical damage to the ship & is always written with a deductible

Answer 11

Hull Insurance

Question 12

Covers owner’s liability if ship collides with other vessel or damages cargo

Answer 12

Running Down Clause

Question 13

Covers shipper of cargo if goods are damaged or lost

Answer 13

Cargo Insurance

Question 14

Open-Cargo Policy

Answer 14

Automatically insures cargo when shipment is made

Question 15

Protection & Indemnity Insurance

Answer 15

Provides comprehensive liability insurance for property damage and bodily injury to 3rd parties

Question 16

Indemnifies ship owners for loss of earnings

Answer 16

Freight Insurance

Question 17

Act of voluntarily throwing cargo of a ship overboard to save vessel

Answer 17

Jettison

Question 18

When act of fraud/criminal acts are committed by ship master/crew that results in loss

Answer 18

Barratry

Question 19

When cargo is thrown overboard to save other property, loss must be distributed among owners of property saved

Answer 19

General Average Losses

Question 20

Loss that does not require contributions from other parties & covers partial loss

Answer 20

Particular Average Losses

Question 21

Targets various types of cargo upon which insurer will be relieved of partial losses

Answer 21

Memorandum clause

Question 22

Relieves insurer of any loss if it amounts to less than certain percentage of cargo

Answer 22

Free of Particular Average clause

Question 23

In event of loss, insured is permitted to take action to prevent/limit loss

Answer 23

Sue & Labor clause

Question 24

Common types of ocean marine insurance warrantied

Answer 24

1) Ship is seaworthy
2) Voyage is legal
3) Course will not deviate

Question 25

Allows insurer to take title to damaged property after payment of loss

Answer 25

Salvage Provision