large volumes and diverse nature of goods, Ports and Terminals are exposed to various Risks.
Insurance solutions are required to cover exposures such as Liability, Property, Machinery Breakdown, Business Interruption and Errors & Omissions Risks
Key Risk Issues facing Ports and Terminals
Damage to Port Equipment or Infrastructure (eg. natural disasters or ship contact, loss of warehouse contents - fire and theft)
Port/Berth blockage (wreck, storm, pollution, etc.) and consequential loss of income to Port and dependent companies. India has seen a major claim of Port Blockage in recent history
Unsafe Port/Berth claims (grounded, collided ships)
Errors & Omissions (incorrect draft information, incorrect shipment destination, incorrect handling/storage methods or instructions, document errors)
Personal Injuries (stevedores or ships’ crew), 3rd parties e.g. truck drivers, cargo owners, surveyors and officials, passengers, etc.
Political Risk - especially where ports have sister companies in high risk countries
Terrorism – Ports are being considered at a major threat from Terrorist strikes.
The Port & Terminal Insurance markets normally arrange insurance cover for Port Authorities and/or Terminal Operators in the following manner:
- Handling Equipment
- Business Interruption
In addition, depending on circumstances, the following can be considered:
- Fidelity Guarantee
- Motor Vehicles / Auto liability.
- Personal Accident – Travel, Assault, Vehicles.
- Directors and Officers Liability Insurance
- Cover for Terrorism – both liability and property / business interruption.