Marine cargo insurance covers loss of or damage to goods in transit. This guide sums up the coverage scope (ICC A/B/C), how the insured amount is set, exclusions, and how to compare six insurers.
Marine cargo insurance covers loss of or damage to goods during sea, air or inland carriage. Depending on the Incoterms (CIF, FOB, etc.), the shipper has either the duty or the right to arrange it.
Term — cargo: the goods being carried · Related law: Korean Commercial Act Ch. 5 (Insurance), Insurance Business Act Art. 2.
The current ICC clauses come in three scopes. (A) is all-risks; (B) and (C) are named-perils.
| Item | ICC(A) | ICC(B) | ICC(C) |
|---|---|---|---|
| Basis | All risks | Named perils | Named perils (reduced) |
| Fire / explosion | Covered | Covered | Covered |
| Stranding / sinking | Covered | Covered | Covered |
| Washing overboard | Covered | Covered | Not covered |
| Theft / loss | Covered | Not covered | Not covered |
Source: ICC standard clauses (2009 revision). Actual cover and exclusions vary by insurer wording.
It is usually set at 110% of invoice value.
The actual design varies with the trade terms (CIF/FOB) and Incoterms.
The following are typically excluded under the wording.
Inherent vice of the goods (spontaneous combustion, ordinary wastage, etc.) is usually excluded.
Loss caused by insufficient packing may be excluded.
War and strikes are excluded by default and can be added back by separate clauses (War·SRCC).
Loss caused by the insured's wilful misconduct is excluded.
Note — exclusions vary by insurer and wording. Review the wording before purchase.
N2N Insurance Brokerage reviews acceptance across six insurers (AIG, Chubb, DB Insurance, KB Insurance, Meritz Fire, Hyundai Marine — listed alphabetically) from one application.
※ Our fee is paid by the insurer and is never added to the premium you pay (Insurance Business Act Art. 98). Premiums and acceptance are confirmed after each insurer's underwriting review.
Q. How much do ICC(A) and (C) premiums differ?
A. It depends on the cargo, route and insurer. Comparing quotes is the most accurate way to tell.
Q. Can I insure by the container?
A. There are two forms — per shipment and annual (open policy). The design follows your shipping frequency.
Q. Can goods already in transit be insured?
A. Some insurers restrict in-transit cover. We recommend arranging cover before departure.
Q. What is the claims procedure after a loss?
A. Notify both the carrier and the insurer immediately and proceed with loss adjustment. Documents: site photos, B/L, invoice, survey report.
References: ICC(A)/(B)/(C) standard clauses (2009) · Korean Commercial Act Ch. 5 · Insurance Business Act Art. 98 · insurer materials (AIG, Chubb, DB, KB, Meritz, Hyundai — alphabetical).
