Marine Transit Insurance Explained: Protecting Goods on the Move
Marine insurance is not just for ships. It covers goods moved by road, rail and sea, from dispatch to delivery. Here is how transit cover works in Australia.
Key takeaways
- Marine (transit) insurance covers goods moved by road, rail, sea or a combination.
- Inland marine covers land transport; ocean marine covers sea and waterways.
- Cover applies from dispatch to final delivery, including loading and unloading.
- Marine liability is a separate cover for damage to other vessels, cargo and property.
The name causes confusion. Marine insurance in Australia covers goods in transit by any mode, including trucks on the Hume Highway, freight trains and container ships. If your business moves goods, whether to customers, between sites or from overseas suppliers, transit cover protects the value of those goods from the moment they leave until the moment they arrive.
Inland versus ocean marine
Inland marine insurance covers goods transported by land, including road and rail. Ocean marine insurance covers goods transported by sea or waterways, including international shipments. Multimodal policies cover the whole journey when goods change between modes.
What transit cover protects against
Loss or damage caused by accidents, collision and overturning, rain and water exposure, hail, fire, theft and, depending on the policy, loading and unloading incidents. Cover can be arranged for commercial stock, machinery, personal effects during relocation and high-value single items.
Marine liability insurance
Separate from transit cover, marine liability protects operators against third-party claims, including loss of or damage to other vessels or property, personal injury caused by insured activities, wreck removal, damage to vessels in your care, car park and tenant's liability, pollution incidents and cargo loss during transit.
Who should hold transit cover
- Importers and exporters
- Wholesalers, distributors and manufacturers
- Transport and logistics operators
- Retailers shipping high-value or fragile goods
- Anyone relocating valuable personal effects
Tailored to your routes and cargo
Kasana Insurance Brokers works with trusted marine insurers to match cover to your transport operations, cargo types and risk exposure, so your goods stay protected from dispatch to delivery.
Frequently asked questions
Does the carrier's insurance cover my goods?
Not necessarily. Carriers often limit their liability under their terms of trade, and some transport contracts exclude liability altogether. Transit insurance in your own name protects the goods regardless of who is at fault.
Is marine transit insurance annual or per shipment?
Both options exist. Businesses that ship regularly usually hold an annual policy declared on turnover or shipment value, while one-off consignments can be insured per voyage.
Related cover
This article provides general information only and does not take into account your objectives, financial situation or needs. Consider the relevant Product Disclosure Statement and speak with a broker before acquiring any insurance product.
