Marine Hull Insurance UAE | Vessel Protection

from 0.45% | H&M | P&I | eSanad

Marine Hull Insurance UAE 2026

Marine Hull Insurance covers the physical vessel and its machinery against perils of the sea. eSanad serves UAE’s 2,800+ commercial vessels including OSVs, tugs, barges, dhows, and tankers.

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2026 Hull Premium Guidance

Estimated market rates based on vessel type and agreed value. Actual premiums vary based on classification and loss history.

Vessel Type	GT / Value	H&M Rate	Premium (AED)
Small dhow	100 GT / AED 800K	0.60%	4,800
Wooden abra/launch	50 GT / AED 400K	0.80%	3,200
Tugboat (2,500 BHP)	400 GT / AED 8M	0.55%	44,000
AHTS / OSV	1,800 GT / AED 45M	0.50%	225,000
Crew boat	300 GT / AED 6M	0.60%	36,000
Container feeder	7,000 GT / AED 60M	0.45%	270,000
Tanker (product)	12,000 DWT / AED 90M	0.60%	540,000
Dredger (TSHD)	6,000 GT / AED 180M	0.75%	1,350,000
Luxury charter yacht	500 GT / AED 75M	0.55%	412,500

H&M vs P&I — Standard Marine Wordings

Understand the distinction between physical damage protection and liability obligations.

ITC Hulls (H&M)

Physical Protection

Covers the vessel and machinery against perils of the sea, fire, and theft. Institute Time Clauses Hulls.

Hull & Machinery

Collision Liability (3/4th)

General Average

Salvage Expenses

P&I Cover

Liability Protection

Covers liabilities to third parties, crew injury, cargo damage, and pollution. Essential for ship owners.

Crew injury & death

Oil pollution (CLC)

Wreck removal

Cargo liability

Builders Risk

Construction Protection

Covers vessels during construction or major refit at UAE shipyards against all physical risks.

Shipyard accidents

Sea trials

Launching risks

Contract value basis

Specialist Marine Extensions

War Risks

Provides cover for vessels trading through Red Sea, Gulf of Aden, and other JWC listed areas.

Loss of Hire

Covers charter hire income lost while the vessel is undergoing repairs after an insured peril.

What Marine Hull Covers

Standard Inclusions

Perils of the sea (stranding, sinking, collision).

Fire and explosion on board or in port.

Violent theft by persons outside the vessel.

Piracy and barratry of master and crew.

Jettison and washing overboard.

Contact with aircraft, satellites, or land conveyances.

Earthquake, volcanic eruption, or lightning.

Accidents in loading, discharging, or shifting fuel.

Bursting of boilers or breakage of shafts.

Negligence of master, officers, crew, or pilots.

3/4ths Collision Liability (Running Down Clause).

General average and salvage contributions.

Policy Exclusions

Wilful misconduct of the assured.

Ordinary wear and tear of the vessel.

Slow or gradual deterioration.

Ordinary breakdown without external cause.

Unseaworthiness known to the assured.

Chemical, biological, bio-chemical, or electromagnetic weapons.

Nuclear risk and radioactivity.

War risks (unless separate war policy purchased).

H&M vs P&I Club Cover

Vessel owners typically require both policies to ensure complete operational protection.

Coverage Aspect	H&M (Hull & Machinery)	P&I (Protection & Indemnity)
Primary Focus	Owner's Vessel Asset	Third-party Liabilities
Main Risks	Sinking, Fire, Collision damage	Crew injury, Pollution, Fines
Coverage Basis	Agreed Market Value	Mutuality / Pool Limits
Collision	3/4ths RDC Liability	1/4ths RDC + Excess
Port Reqs.	Optional but recommended	Mandatory for UAE Port entry
Best for	Asset Protection	Lawsuit & Penalty Protection

UAE Port & Shipyard Compatibility

Accepted by all major UAE port authorities, the Federal Transport Authority (FTA), and leading regional shipyards.

Primary Hubs

Jebel Ali Port — DP World accepted

Khalifa Port — Abu Dhabi Maritime

Port of Fujairah — Bunkering hub

Khor Fakkan Container Terminal

Specialist Ports

Hamriya Port & Free Zone

Port Rashid (Cruise & Small craft)

Port Khalid (Sharjah)

Mina Saqr (Ras Al Khaimah)

Shipyards & Refit

Drydocks World Dubai

Abu Dhabi Ship Building (ADSB)

Grandweld Shipyards (DMC)

Albwardy Damen (Hamriya/Sharjah)

Marine Hull Insurance UAE 2026 — FAQs

Physical damage to the vessel and machinery plus 3/4ths collision liability. Typically written on ITC Hulls 1/10/83 or 1/11/95 clauses.

H&M = your own vessel’s damage + collision with property. P&I = liabilities to crew, passengers, cargo, pollution, wreck removal. Most owners need both.

Not federally mandatory, but required by the Federal Transport Authority - Land & Maritime (FTA) for vessel registration and by banks for mortgaged vessels.

Two standard London wordings. 1/10/83 is broader; 1/11/95 is slightly restricted. Newer 2003 wording also available.

Agreed value at inception (appraisal by surveyor or broker’s certificate). Revalued periodically. Under-insurance triggers average clause.

Mutual association (Gard, Skuld, Britannia, Steamship, UK Club) providing liability cover on a not-for-profit call basis. Alternative: fixed-premium P&I for small tonnage.

No – separate War Risks policy required, especially for vessels trading through Red Sea, Gulf of Aden, and Persian Gulf Joint War Committee listed areas.

Crew injury/illness/death is covered under P&I, not H&M. Some employers also buy separate personal accident for senior officers.

Optional cover for charter hire lost while vessel undergoes repair after insured peril. Typical 14-day deductible, 90-day maximum.

Yes – specialist UAE underwriters cover wooden dhows and abras with survey. Rates 0.60 – 1.20% depending on age and condition.

USA-specific – largely irrelevant for UAE-flagged vessels unless trading US coastwise.

Yes – sue and labour clause plus salvage remuneration covered under H&M.

Piracy included under ITC Hulls as covered peril. Crew ransom/kidnap covered under P&I or specialist K&R.

Yes – Builders All Risks for new construction at Drydocks World, ADSB, Grandweld, Albwardy Damen. Rate 0.60 – 1.20% of final contract value.

marine_hull_insurance.faqs.q15_a

Wreck removal is a P&I liability, not H&M. Essential cover given UAE MEPA/port authority enforcement of removal orders.

Standard CL380 excludes cyber. Add cyber carve-back/extension for navigation system attacks, ransomware impacting ECDIS.

P&I covers up to club limits. Oil pollution (CLC Convention) up to USD 1 billion typical for tankers.

Commercial charter yachts use hybrid Pleasure/Commercial wording. Premium 0.55 – 0.80% of hull value depending on charter radius.

Simple tugs/dhows: 3–5 working days. OSVs, tankers, dredgers: 2–4 weeks with survey, particulars, class certificates.

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Marine Hull Insurance UAE 2026

Proposal Details

Marine Hull Insurance UAE 2026 — FAQs

Q1What does marine hull insurance cover?

Q2What’s the difference between H&M and P&I?

Q3Is hull insurance mandatory in UAE?

Q4What is ITC Hulls 1/10/83 vs 1/11/95?

Q5How is hull sum insured determined?

Q6What is a P&I Club?

Q7Is war risk included?

Q8Does hull insurance cover crew?

Q9What is Loss of Hire?

Q10Are dhows and traditional craft insurable?

Q11What’s the Jones Act relevance?

Q12Does insurance cover salvage tow costs?

Q13Is piracy covered under hull?

Q14What surveys are required?

Q15Can I cover builders risk at UAE shipyards?

Q16Does hull cover wreck removal?

Q17Is cyber risk covered?

Q18What about pollution liability?

Q19Can I insure a yacht used commercially?

Q20How long does underwriting take?

Explore All UAE-Licensed Insurance Companies

Marine Hull Insurance UAE 2026

Proposal Details

Marine Hull Insurance UAE 2026 — FAQs

Q1What does marine hull insurance cover?

Q2What’s the difference between H&M and P&I?

Q3Is hull insurance mandatory in UAE?

Q4What is ITC Hulls 1/10/83 vs 1/11/95?

Q5How is hull sum insured determined?

Q6What is a P&I Club?

Q7Is war risk included?

Q8Does hull insurance cover crew?

Q9What is Loss of Hire?

Q10Are dhows and traditional craft insurable?

Q11What’s the Jones Act relevance?

Q12Does insurance cover salvage tow costs?

Q13Is piracy covered under hull?

Q14What surveys are required?

Q15Can I cover builders risk at UAE shipyards?

Q16Does hull cover wreck removal?

Q17Is cyber risk covered?

Q18What about pollution liability?

Q19Can I insure a yacht used commercially?

Q20How long does underwriting take?

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