Construction Risks During the period of the construction of a vessel, it may be insured with an insurance company familiar with handling of such insurance. Due to the fact that a Ship-owner's Yard is essentially a static, non-marine risk, it is possible that basically non-marine insurer will take on the risk of covering a vessel while it is under construction, but generally it is unsatisfactory. Cover will be required for a whole period of construction, which may last for two or three years and as the builder frequently accepts responsibility for the launching of the vessel, its tests, sea-trials and possibly its delivery voyage, builder's risks policies issued in the marine market include full marine cover accordingly. The Institute Clause for Builders' Risks provides a comprehensive form of cover in this respect. Cover can be extended to include War risks but due to the operation of the "Waterborne Agreement"; the vessel is only insured while she is waterbo...

Comments
Post a Comment