Class III - TRADE DISRUPTION INSURANCE FOR THE CRUISE AND PASSENGER VESSEL INDUSTRY

A collision, fire or the emergency closure of a port could play havoc with the schedules of a cruise or passenger vessel

In an increasingly competitive world operators of passenger vessels endeavour to outshine their competitors by providing higher levels of service and quality entertainment. Today's cruise passengers expect an adventure on the high seas, visiting exotic new locations and enjoying the best of what nature has to offer. 

But what happens when a fault develops in the engine room or a fire in the main restaurant - this could lead to a cruise being cut short or terminated, frustrated passengers being sent home with compensation and perhaps the following two weeks sailings cancelled.

TDI (Trade Disruption Insurance) can respond in four distinct ways:
Loss of Revenue

You can insure your daily net loss of revenue, covering ship running costs, mortgage payments, crew costs and in addition loss of on-board sales or loss of shore-side excursion revenue can be covered.
Additional Costs and Expenses

Significant costs can be incured by an operator following a casualty in order to get passengers to their intended destination. We also cover substitute charter hire costs and other costs associated with keeping your business running.

  Contractual Penalties

Many tickets are sold subject to a tour operator's Fair Trading Charter or within the EEC are subject to the EU Directive on Passenger Compensation. In the event of a cruise being cancelled following a grounding, for example, the Transmarine cover could pay the operators' compensation payments to passengers.
Extraordinary Costs

Following an incident, whether this be a breakdown or an illness cancelling a cruise, an assured may need to instigate a new marketing campaign to re-build customer confidence, a sub limit appropriate to the scale of operation will be included to cover these costs.
What Perils can be insured against ?    More Details