How Does Inland Marine Insurance Work?

Inland marine insurance might sound like it’s strictly related to nautical endeavors, but its scope extends far beyond the reach of marine activities. Originally designed to cover the transportation of goods over water, this insurance has evolved to fill gaps in commercial property protection, particularly for goods in transit over land or held at off-site locations.

What Is Inland Marine Insurance?

Inland marine coverage dates back to when most goods were shipped by sea. As transportation methods expanded to include railroads and trucks, so did this insurance coverage.

Today, inland marine policies primarily cover property in transit over land, mobile equipment and properties that are often moved or temporarily stored in locations other than the insured’s primary location.

What Does Inland Marine Insurance Cover?

Inland marine insurance may help cover the following:

• Goods in transit—This includes transporting merchandise over land, such as by truck or train.
• Mobile equipment—This includes items that move from location to location, such as construction equipment or medical diagnostic machines.
• Unique and high-value items—This could be anything from artwork to specialized tools used in different locations.

Who Needs Inland Marine Insurance?

Companies in the following industries may require this insurance coverage:

• Construction companies, for coverage of equipment and materials from one job site to another
• Retailers and wholesalers, to protect goods during delivery or transport to various locations
• Service providers, especially those that use high-value equipment at off-site locations (e.g., healthcare, technical services)
• Exhibition organizers, such as for art shows and trade exhibitions
• Logistics and transportation companies, to cover the goods they transport on behalf of others
• Farmers and agricultural producers, for machinery and equipment transported between locations or to service centers
• Mobile operations, such as pet groomers, food trucks and companies that operate from a moveable setup or vehicle

Contact Us

Inland marine coverage is a vital yet often overlooked component of business insurance. It may help provide specialized coverage for goods in transit, mobile equipment, and unique or high-value items, ensuring that businesses can operate confidently, knowing their valuable assets are protected by appropriate insurance coverage.

Whether your business involves frequent transportation of goods or using expensive equipment off-site, an inland marine policy is a critical asset in your risk management strategy.

Contact Cormack-Routhier Agency, Inc. in Cranston, RI, to learn more about how an inland marine policy can help provide vital financial protection for your organization.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.