Inland marine insurance covers businesses from loss or damage to machinery, equipment, products, and other property through land. It offers protection to properties used at job sites, warehouses, or other properties transported by train or truck. This means that business properties transported by sea or air are not covered by these insurance policies.
It is a part of ocean marine insurance, which covers business properties transported by sea. However, properties covered by inland marine coverage include computer equipment and construction machinery. If you own a business that requires you to move equipment from one place to another, buying inland marine insurance is a good idea.
This insurance provides protection for valuable business assets that are not covered by traditional property insurance policies. It can be bought as an add-on to your existing business insurance policy. If you do not have one, you may decide to get this insurance as a separate policy. However, confirm with your insurer to see their options.
What is inland marine insurance?
Inland marine insurance provides property coverage for movable and transportable products, materials, or equipment. It also covers items that are instrumental in communication and transportation. Properties that belong to someone but are in the custody and vicinity of a policyholder are also covered by this insurance.
What Does It Cover?
Damage costs to moveable commercial property caused by a covered risk are covered by inland marine insurance. These properties include building materials, construction machinery, business tools and equipment, and so on. It covers risks associated with the transportation of high-value items not covered by a business owner’s insurance policy. Its all-risk insurance policy covers damage expenses caused by any event excluded from your policy.
It is bound better than a named perils policy that covers events listed in your policy. Depending on the damaged or destroyed properties, inland marine policies vary. Some insurance policies cover losses based on the value of replacements of the property at a recent price without regulating depreciation. However, the following items are covered by inland marine insurance.
- Electronics.
- Transported properties.
- Special event equipment.
- Media equipment like TV.
- Medical diagnostic equipment.
- Solar panels.
- Fine art and collections.
- Bridges and radio towers.
- Miscellaneous property.
- Trade show exhibits.
These and much more are covered under inland marine insurance policies.
What Does It Not Cover?
These insurance policies may vary by insurer, but most of them do not cover wear and tear, floods, mold, and earthquakes. Some insurers do not cover vehicles or stationary properties at your business place, properties that are damaged before shipping, and properties shipped by air or sea. Some lenders may offer this coverage, but many of them do not. However, you may need to check with your insurer and read through your policy details to know what is not covered.
Events Inland Marine Insurance Covers?
If ever your business property gets damaged due to events listed on your policy, inland insurance will offer financial protection over it. Events covered under your policy vary by insurance company. Generally, the following events are covered by most inland marine companies.
- Fire.
- Hail.
- Theft.
- Wind.
- Flood.
- Mysterious disappearance.
- Accidental damage and drop.
If your properties get damaged or destroyed through the following events, your policy will cover replacements and repairs of your properties. However, if any of these events are not covered under your policy, you may not be covered if ever there is an occurrence that causes damage to your property.
Does My Business Need Inland Marine Insurance?
If your company ships its assets by land via truck or train, you might need inland marine coverage. You may also need insurance if you ship or move your business equipment from one job site to another. Inland insurance may also be needed to protect properties that are not covered under business owner insurance policies.
Is inland marine insurance the same as general liability insurance?
Inland marine insurance is different from general liability insurance. Inland marine is one of the types of property coverage that covers the financial loss of business equipment, tools, and other movable business items. On the other hand, general liability insurance covers claims made by your customers or any other third-party individual for body-related injuries or property damage caused as a result of negligence.
