01 / The meaning
What it means.
The clause addresses loss mitigation under the marine contract. Depending on its terms and the applicable law, expenses incurred for the purpose of averting or minimising a loss covered by the insurance may be recoverable. It does not make every emergency expense insured, and expenses directed solely at an excluded loss require different consideration. Notify the marine insurer or claims contact as soon as practicable.
Distinguish these expenses from maritime salvage charges, general average contributions and ordinary freight or maintenance. Those categories have their own legal and contractual treatment. The owner should document why action was needed, what alternatives were available and how the spending protected the insured interest. Avoid treating this specialised marine term as an automatic feature of a general business pack or road transit policy.
02 / Put it in context
A practical example.
Hypothetical example: a shipment of machinery is exposed to seawater after damage during transport. The cargo owner arranges urgent protective work with appropriate guidance and records its purpose and cost, then asks how the marine wording treats the expenditure.
This example illustrates the term. It does not predict a claim outcome.
03 / Read the detail
What to check.
- Locate the actual marine clause and identify which insured losses it addresses.
- Separate preservation expenses from salvage, general average and routine transport charges.
- Keep records of urgency, decisions, approvals and the property protected.
04 / Start a useful conversation
A question for your broker.
Under this marine contract, which reasonable actions and expenses to protect the insured property could be considered?
05 / Connect the terms
Keep the meaning in context.
06 / Apply it to your business
Related insurance guides.
Further reading
Read the source guidance alongside the relevant policy wording.
General information only. This does not take into account your objectives, financial situation or needs. Before acting, consider whether the information is appropriate for you. Cover is subject to insurer acceptance and the policy terms, conditions, limits and exclusions. Read the Financial Services Guide and the relevant PDS (where applicable) and/or policy wording before deciding.
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