Policy snapshot
A formal insurance policy that provides ongoing protection for all shipments within a defined limit and period — similar to Open Cover but issued as a policy with set limits and automatic coverage.
What is Open Policy?
An Open Policy provides continuous marine cargo protection with a fixed coverage limit, eliminating the need for separate policies for each shipment. It's structured for recurring shippers.
What can it cover?
- The policy automatically covers all declared transits within the agreed parameters against accidental loss or damage, including collision, overturning, and weather-related risks. Depending on the chosen clause (A/B/C), it may also include theft, pilferage, non-delivery, and handling risks. It’s active until the coverage limit is exhausted or the policy period ends.
Who should consider it?
- Exporters/importers with predictable, ongoing transit, Distributors and logistics companies, FMCG and electronics manufacturers with frequent shipments
Key features to understand
- {"heading": "Key Features", "bullets": ["Pre-agreed sum insured and shipment limit", "Declarations must be submitted regularly", "Issued for a period (typically 12 months)", "Theft, pilferage, handling damage covered based on chosen clauses", "Optional: strikes, riots, war, and terrorism for international routes"]}
What deserves attention before you buy?
Coverage, exclusions, sub-limits, deductibles, waiting periods, warranties and underwriting can vary between insurers and policy versions. The policy wording and schedule remain the definitive contract. Novo can help you review the relevant terms for your requirement.
Read the wording, not just the brochure
The schedule and policy wording determine the actual contract.
Compare meaningful differences
Look at exclusions, limits, deductibles, conditions and claim requirements—not premium alone.
Think beyond purchase
Servicing and claims-related support can matter as much as placement.