Loss of Hire insurance covers daily loss of income following a physical damage to the vessel. The loss as a general rule must be recoverable under the H&M cover, but can be extended to respond to war risk, and certain non-physical events.
Loss of Hire Insurance is based on days (or part of days) when the vessel is off-hire due to a claim recoverable under H&M insurance.
When the period exceeds and agreed number of deductible days – commonly 14 days – the assured has a valid claim under the policy.
There is also a set upper limit per claim, specifying the number of days the assured is paid under the insurance (normally 60, 90, or 180 days). There is also an overall limit per policy year.
Days the assured is paid
Days the assured is paid
Days the assured is paid
