Unvalued Marine Policy
What Does Unvalued Marine Policy Mean?
An unvalued marine policy is an insurance policy that does not specify the value of the marine asset covered, such as a ship's hull or cargo. Unlike with a valued marine policy, the insurer only assesses property value and damages after the policyholder files a claim, rather than determining it beforehand.
Insuranceopedia Explains Unvalued Marine Policy
An example of an unvalued marine policy is a shipping company who insures the cargo on one of its ships without tabulating the worth of the cargo. However, if the cargo is lost at sea, the exact losses would be calculated upon a claim being filed. Then, if the claim is approved, the insurance company would reimburse the shipping company for the loss. Some container ships can carry millions of dollars' worth of cargo, so this sum could be quite large.
