Marine Commercial Insurance

Hull and machinery (H&M) insurance covers physical loss or damage to a vessel — its hull, machinery, and equipment — arising from the wide range of perils inherent in commercial maritime operations: collision, grounding, storm damage, fire, sinking, and more.

A standard H&M policy covers the cost of repairs or, in the event of a total loss, the agreed or market value of the vessel. It also typically includes sue and labour costs — the reasonable expenses incurred to prevent or minimise a loss — and the vessel's contribution to general average, where all parties to a maritime venture share the cost of a sacrifice made to save the ship and cargo.

Alongside hull cover, third-party liability is essential for any commercial operator. This covers the vessel owner's liability to other vessels, structures, and persons for damage or injury caused by the vessel in operation. For most commercial operators, this is arranged either through a standalone liability policy or through protection and indemnity cover (see below).

We arrange H&M and liability cover for commercial vessels of all types and sizes, including workboats, patrol vessels, charter and passenger vessels, fishing vessels, tenders, and specialist craft. We work to secure competitive terms regardless of vessel age or operational profile.

Protection and indemnity insurance is the primary liability cover for commercial vessel owners and operators. Where hull insurance covers the vessel itself, P&I covers the third-party liabilities that arise from operating it — crew injury and illness, cargo damage, pollution, collision liability beyond the hull policy's limits, wreck removal, and a wide range of regulatory and contractual obligations.

P&I cover can be arranged on a fixed premium basis or through membership of a mutual P&I club. Fixed premium policies offer certainty of cost and are often appropriate for smaller vessels or operators who require more straightforward terms. Mutual club membership offers broader cover for larger operators and access to the clubs' specialist expertise and resources, but involves an element of mutual calls alongside the premium.

We engage with each client to find the right structure for each operation, ensuring that the P&I cover integrates properly with the hull policy to avoid gaps, and access both the fixed premium market and the mutual clubs on behalf of our clients.

For operators of passenger vessels, charter boats, ferry services, and other craft carrying the public or operating in busy waterways, marine operator's liability provides protection against claims arising from passenger injury, third-party property damage, and the operational risks specific to their type of service.

Combined packages bring together hull, liability, and other relevant sections into a single, coordinated policy — simplifying administration, ensuring consistent coverage across all the insured's operations, and often delivering better overall terms than separately placed covers. We arrange bespoke combined packages for a range of operator types, tailored to the specific activities and trading areas of each client.

Builder's risk insurance protects a vessel under construction or undergoing significant refit or conversion. From the moment materials arrive at the yard through launch, sea trials, and delivery, the vessel faces exposures that neither a standard property policy nor a conventional hull policy is designed to address.

Cover typically includes physical loss or damage to the vessel at every stage of the build, liability arising from the construction process, and — importantly — the shipyard's liability to the vessel owner and third parties during the period of work. We structure builder's risk policies to align with the contract schedule and payment milestones, ensuring that the insured interest at each stage is correctly reflected.

Vessels and marine equipment frequently move between locations by road, sea, or a combination of both — whether for delivery from a manufacturer, transfer between marinas, or transportation for repair. Standard hull policies often have territorial restrictions or do not extend to land transit.

Transit risk cover ensures that vessels and their equipment are protected during these movements, including loading, unloading, and any intermediate storage. Cover can be arranged for individual movements or on an annual basis for operators who move vessels regularly.

Floating assets cover addresses the insurance needs of structures and equipment that are on the water but do not operate as conventional vessels — pontoons, floating docks, platforms, barges used as accommodation or workspace, and similar assets. These do not always fit neatly within either a property policy or a marine hull policy, and specialist cover is required to ensure they are adequately protected.

For businesses engaged in the sale of vessels — boat dealerships, brokers, and distributors — dealer's stock cover protects the inventory of vessels held for sale. This includes vessels on the water, in the yard, and undergoing demonstration or delivery. A single storm or fire can cause losses across an entire stock portfolio, and standard property cover rarely addresses the specific risks involved in keeping multiple vessels in and around the water.

Businesses that work on other people's vessels carry a specific liability exposure: damage to the customer's vessel in their care. A fire in the yard, a crane failure during a lift, a mistake during a refit — any of these can result in a significant liability claim from a vessel owner whose property has been damaged while in the repairer's custody.

Boat and ship repairer's liability provides specialist cover for this exposure, protecting the repairer against claims for damage to vessels in their care, custody, and control, as well as third-party liabilities arising from their operations. Combined packages can extend to include buildings, contents, stock, employers' liability, public liability, business interruption, and other exposures relevant to the marine trade business.