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Captive insurance is a type of insurance that the parent company establishes to ensure and provide coverage to the company. For a marine company, the chances of accidents are much higher, so captive insurance can be the right choice. Talisman Casualty has a marine program that provides maritime employers’ liability, full protection, and comprehensive general liability. Small and medium-sized companies can greatly benefit from captive insurance. There are 4 ways through which marine business owners can use captive insurance and benefit from it.
The captive insurance program’s main aim for marine owners is to develop a long-term relationship, understand the business, and manage any business experiences fluctuation. There are 4 ways through which marine business owners can use captive insurance and benefit from it.
- Maritime Employer’s Liability
When working on a vessel, the employees are at constant risk of an unfortunate situation, and that is where Maritime Employer’s liability comes in. The owner can get insurance for the employees working as employees who will then become insured employees. The coverage provides insurance for employees working on non-owned and operated vessels. Marine owners will also hire more employees when having good insurances to offer them.
- Hull Insurance
Hull insurance protects the owners from any loss or damage to a waterborne vessel or an aircraft. For marine business owners, the chances of damage to a vessel are higher since they are waterborne most of the time. Many companies have restrictions about geographic location. The Hull insurance constitutes many clauses, and the collision clause is one of them.
- Protection and Indemnity
This protection provides complete coverage to the marine owner; all the maritime liability risks are covered under this indemnity coverage. All the operations that are performed on the vessel can include dock operation or lifting operation. Some benefits covered under the workers’ compensation policy or the Hull insurance will not be covered under this protection. For 360 degree coverage, the marine business owner must look at different options available to them through their insurance company.
- Commercial General Liability
In a marine business, there are several liabilities that a marine owner may face regularly. Liabilities like an injury to an employee, property damage, and personal damage are specifically covered. Advertising injury insurance is another important aspect of this program. Being involved in a business, the business owner or the business itself will face false advertising or slander; this could be unintentional, or a charade played on the competitors’ part. This could include hefty lawsuits, advertising claims, etc., and to cover these, a general commercial liability plays an important role.
Captive insurance provides the marine company the risk management it’s looking for. It not only reduces the costs that are involved but it also provides flexibility for cost adjustments. Companies like Talisman casualty are the perfect options for marine business owners looking for complete protection and coverage. Each owner will have a different set of requirements, and these companies provide customized plans as well. In order to remain competitive in such an industry, it is essential to have a competent insurance partner.