Inland Transit Insurance Policy for Goods by Road, Rail - Definition, Coverage, Exclusions, Cost, Claims Process, Companies, Quotes

What is an Inland Transit Insurance Policy? – Definition

An Inland Transit Insurance Policy is a type of Marine Insurance Policy which reimburses the Insured Party for loss or Damage to Goods whilst in transit. An Inland Transit Insurance Policy is also known as a Specific Voyage Marine Policy or a Domestic Transit Insurance Policy. An Inland Transit Insurance Policy or Insurance for Transit of Goods is the best option to protect your Goods from any Losses or Damages that might occur whilst in Transit within the Country.

What are the coverages in an Inland Transit Insurance Policy?

An Inland Transit Insurance Policy offers cover for goods in transit under 3 types of clauses:

1. Inland Transit Clause (A): Inland Transit Clause (A) or ITC (A) Clause provides the most comprehensive coverage to Cargo whilst in Transit. The Clause provides coverage on an All-Risk Basis, meaning that all types of losses are covered unless specifically excluded.
2. Inland Transit Clause (B): Inland Transit Clause (B) or ITC (B) Clause is a more basic cover and provides lesser coverage as compared to ITC (A) Clause. The ITC (B) Clause provides coverage against the following Perils:

• fire or explosion
• vessel or craft being stranded grounded sunk or capsized
• overturning or derailment of land conveyance
• collision or contact of vessel craft or conveyance with any external object other than water
• discharge of cargo at a port of distress,
• general average sacrifice
• jettison or washing overboard
• entry of sea lake or river water into vessel craft hold conveyance container lift van or place of storage
• total loss of any package lost overboard or dropped whilst loading on to, or unloading from, vessel or craft.

3. Inland Transit Clauses (C): Inland Transit Clause (C) or ITC (C) Clause is the most basic cover and provides the least coverage amongst all Inland Transit Clauses. The ITC (C) Clause provides coverage against the following Perils:

• Fire
• Lightning Coverage for War and Strikes can be added by paying additional Premium

What are the major exclusions under Inland Transit Insurance Policy?

Inland Transit Insurance Policy excludes Loss or Damage to the cargo on account of the following:

1. Loss, Damage or Expense attributable to Willful Misconduct of the Assured
2. Ordinary Leakage, Ordinary Loss in weight or volume, or Ordinary Wear and Tear of the Subject-Matter Insured
3. Loss, Damage or Expense caused by the insufficiency or unsuitability of packing or preparation of the Subject-Matter Insured
4. Loss, Damage or Expense proximately caused by delay, even though the delay be caused by a risk insured against
5. Loss, Damage or Expense caused by Inherent Vice or Nature of the Subject-Matter Insured.
6. Loss or Damage caused by war civil war revolution rebellion insurrection, or civil strife arising there from, or any hostile act by or against a belligerent power
7. Loss or Damage caused by capture seizure, arrest, restraint or detainment and the consequences thereof or any attempt thereat
8. Loss or Damage caused by derelict mines bombs or other derelict weapons of war.
9. Loss or Damage caused by caused by strikers, locked-out workmen or persons taking part in labour disturbance, riots or civil commotions
10. Loss or Damage caused by resulting from strikes lock-outs, labour disturbances, riots or civil commotions
11. Loss or Damage caused by caused by any terrorist or any person acting from a political motive.

What is the Cost for an Inland Transit Insurance Policy?

The Cost of an Inland Transit Insurance Policy ranges from 0.03% to 0.05% of the Sum Insured. The Premium of an Inland Transit Insurance Policy depends on various factors listed below:

1. Sum Insured: The higher the Sum Insured, higher will be the premium.
2. Nature of Goods: Type and Nature of goods also impact premiums. Certain goods have higher risk and therefore the Inland Transit Insurance Policy Premium will be higher.
3. Coverages: The Type of Coverage required also impact the Premium of Inland Transit Insurance Policy. A Policy with ITC (A) Coverage will have higher premium than a Policy with ITC (B) Coverage.

What is the Claims Process for an Inland Transit Insurance Policy?

The Insured needs to follow the below mentioned steps to file a Claim under an Inland Transit Insurance Policy:

1. Intimation: Intimate the Claim to the Insurance Company as soon as possible
2. Submit Details: Submit the necessary details such as Policy Number, Date and Time of Accident, Description of the Accident etc. The Insurer will provide a Claim Reference Number.
3. Surveyor Appointment: The Insurance Company will appoint a surveyor who will inspect the Damage and submit a report.
4. Document Submission: Submit the required documents as per the Letter of Requirement (LOR) such as Claim Form, Invoice Copt, Lorry Receipt etc.
5. Claim Assessment and Settlement: The Insurance Company reviews the facts of the case and assess the Claim based on the Policy Terms and Conditions. If the claim is approved, the Insurance Company will settle the claim and transfer the Claim Settlement Amount via NEFT Transfer.

What are the documents required to file a claim under an Inland Transit Insurance Policy?

Following Documents are required to file a claim under an Inland Transit Insurance Policy

1. Claim form
2. Lorry receipt
3. Photos of damage good
4. Invoice Copy
5. Policy Copy
6. Claim bill
7. FIR Report

Which Insurance Companies provide an Inland Transit Insurance Policy?

The list of Insurance companies providing an Inland Transit Insurance Policy in India are as follows:

1. ICICI Lombard General Insurance Company
2. New India Assurance Company
3. Bajaj Allianz General Insurance Company
4. GoDigit General Insurance Company
5. HDFC Ergo General Insurance Company
6. Future Generali General Insurance Company
7. National Insurance Company

What is the Sum Insured for an Inland Transit Insurance Policy?

Generally, the Sum Insured for an Inland Transit Insurance Policy is usually taken as Invoice Value + 10%.

Get Best Quotes for Inland Transit Insurance Policy with Qian!

If you are looking to purchase an Inland Transit Insurance Policy, you can request a free 60-minute Consultation with the experts at Qian. Qian is an experienced Insurance Broker for Inland Transit Insurance. We work with you to understand your business exposures and give you a Comprehensive Inland Transit Insurance Cover. You will also have the comfort of our experienced claims settlement team which will assist you in getting your claims resolved quickly. Our team would recommend the appropriate coverages and the Best Quotes for your Inland Transit Insurance Policy. Contact us now at insurance@qian.co.in or 022-35134695. We would be glad to assist you.

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