Marine Insurance Quiz – Multiple Choice Questions (MCQs) | Marine Insurance

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Which of the following statements about marine insurance coverages is true?

A) Hull insurance limits coverage to the breakdown of a ship’s machinery and equipment.
B) Cargo insurance protects the shipowner for the loss of the earnings if a ship is lost of damaged and goods are not delivered.
C) Freight insurance covers the owner of cargo if the cargo is damaged or destroyed.
D) Protection and indemnity insurance provides liability insurance to the ship owner for bodily injury and property damage to third parties.

Answer: D

All of the following are true regarding Ocean Marine Insurance, except:

  • a. Rates for ocean marine insurance are strictly regulated
  • b. Cargo coverage is generally written on an open perils basis
  • c. Breach of certain implied warranties may cause the contract to become void
  • d. There is no standard Ocean Marine Form

Answer: a. Rates for ocean marine insurance are strictly regulated

All of the following are implied warranties in ocean marine insurance EXCEPT

A) seaworthiness
B) clear tile
C) no deviation
D) legal purpose

Answer: B

In ocean marine insurance, what is the purpose of the IVEL clause?

  1. To provide excess hull and collision liability coverage.
  2. To cover bulk shipments.
  3. To require the insured to take all reasonable steps to protect the property from further loss.
  4. To pay for the loss of shipper’s fees.

Answer: To provide excess hull and collision liability coverage.

The Collision or Running Down Clause in Ocean Marine Insurance covers:

  • A) Collision damage to another vessel when the shipper is liable
  • B) Collision damage to the insured vessel when it collides with another vessel
  • C) Damage to the insured vessel caused by running aground
  • D) Collision damage to the insured vessel when it collides with a pier or fixed object

Answer: Collision damage to another vessel when the shipper is liable

Under Personal Inland Marine Insurance, the Personal Articles Floater (Scheduled Articles Floater) is:

  • A) Used to insure individual personal property on an itemized or scheduled basis
  • B) Used to provide replacement cost coverage on personal property
  • C) Used to insure personal property on a blanket basis
  • D) Used to replace Coverage C of the Homeowners Policy

Answer: Used to insure individual personal property on an itemized or scheduled basis


Marine insurance was first started in

A. italy
B. germany
C. france
D. india.
Answer» A. italy

The Indian Marine Insurance Act was passed in

A. 1963
B. 1774
C. 1779
D. 1781.
Answer» A. 1963

is not a marine insurance policy.

A. hull insurance
B. time insurance
C. voyage plan
D. umbrella insurance
Answer» D. umbrella insurance

insurance is covered by Marine Insurance Act, 1963.

A. marine
B. life
C. medical
D. health
Answer» A. marine

In marine insurance, insurable interest is enough at the time of……..

A. claim
B. loss
C. maturity
D. insurance
Answer» B. loss

In the case of marine insurance reserve for unexpired risk is …..

A. 50%
B. 100%
C. 40%
D. none of these
Answer» B. 100%

Marine insurance may cover loss or damage to the ________

A. Ship
B. Cargo
C. Any other subject of Marine adventure
D. All of these
Answer» D. All of these

Marine insurance is for one year or for a specified ________

A. Voyage
B. Year
C. Loss
D. None
Answer» A. Voyage

A marine insurance is a contract of _________

A. Increment
B. Indemnity
C. Maturity
D. None
Answer» B. Indemnity


Which is not a subject matter of marine insurance

A. Hull insurance
B. Cargo insurance
C. Fright Insurance
D. Fire insurance
Answer» D. Fire insurance

Survey expenses for marine insurance claim must be

A. Added to claim;
B. Added to legal charges;
C. Added to administrative charges;
D. None of the above.
Answer» A. Added to claim;

Marine insurance is for one year or for a …………………………….. Specified period

A. Voyage
B. Year
C. Loss
D. None
Answer» A. Voyage

Marine insurance may cover loss or damage to the ___________

A. Ship
B. Cargo
C. Any other subject of marine adventure
D. All of these
Answer» D. All of these

In marine insurance insurable interest is enough at the time of_______________

A. Maturity
B. Insurance
C. Loss
D. Claim
Answer» C. Loss

Marine insurance protect against_______________

A. Fire perils
B. Marine perils
C. Both a and B
D. None
Answer» B. Marine perils

Which is not a subject matter of marine insurance

A. Hull insurance
B. Cargo Insurance
C. Fright Insurance
D. Fire insurance
Answer» D. Fire insurance


Constructive total loss in marine insurance means

A. same as total loss
B. a partial loss
C. the loss caused is so huge that the cost of repairs would exceed the actual amount, so it is adjudged as a total loss
D. a loss which is not covered
Answer» A. same as total loss

The major law governing marine insurance in India is

A. English Marine Insurance Act, 1906
B. Marine Insurance Act, 1963
C. IRDA Act, 1999
D. General Insurance Nationalisation Act, 1972
Answer» C. IRDA Act, 1999

A marine insurance policy is taken to cover the claims for loss of stock.

A. true
B. false
C. may be true
D. both a and b
Answer» B. false

In the case of marine insurance reserve for unexpired risk is …..

A. 50%
B. 100%
C. 40%
D. none of these
Answer» B. 100%

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