Those of you that provide insurance solutions to those in the trade and logistics business understand the importance of having solid marine insurance. Marine insurance provides coverage for goods often exposed to the possibility of the risk of physical loss, which may occur during transit whether via ocean, air, ground or rail. Goods often suffer damage while traveling domestically and/or abroad. Companies need to be covered when goods are at risk throughout the supply chain and this policy helps to avoid coverage gaps.
Stock throughput insurance policies are designed for those companies that import, distribute, or export merchandise worldwide. It provides coverage for any and all movable goods, including such items as raw materials, semi-finished goods, along with finished products. The great thing about stock throughput insurance is that it provides protection for many types of damage or loss that may occur during shipment. This includes damage due to rough handling, collision, overturning, theft, delivery to the wrong location, non-delivery of goods, jettison, General Average and of course, natural disasters.
Stock throughput insurance (STP) combines cargo insurance and warehouse insurance
STP includes in its coverage, CAT Peril coverage, (i.e. Earthquake, Wind & Flood, elements of business income insurance and contingency insurance) all in a single package. It’s important to understand that standard cargo insurance and property policies contain several exclusions and gaps, many of which go unrecognized until there is a claim, and then the claim can be denied due to a lack of proper coverage.
A STP policy helps to eliminate these gaps and creates a policy that not only protects merchandise from loss or damage anywhere in the world, during the entire time the insured is responsible for the goods, it also provides continuous coverage, includes an easy single claims process, and comes with reduced premium expenses.
With this policy in place the goods are covered at all times whether in transit, undergoing processing (although damage caused by the manufacturing process is excluded), or while in storage at owned or at a third party’s premises. Speak to an agent with questions or concerns.