What Does Inchmaree Clause Mean?
An Inchmaree clause is a provision common in maritime insurance policies that cover a ship's loss or damage due to reasons such as:
- Erroneous actions or decisions made by personnel
- Damage to important ship equipment and overall machinery
- Errors in navigation
- Damages related to docking
In short, this clause covers most damages to the ship unrelated to "perils of the sea."
Insuranceopedia Explains Inchmaree Clause
An Inchmaree clause is also called the negligence provision in maritime policies. This clause is named after the ship Inchmaree, a ship that sank in the 19th century and which figured in a historic court case that brought about this clause. Prior to the existence of this clause, insurers only covered damage or loss due to perils in the open sea, such as a ship being damaged because of hostile weather. The introduction of this clause made it possible for ship owners or operators to seek insurance money if the damage or loss is caused by the negligent behavior of the ship workers such as the captain or crew.