What does P&I Insurance cover in shipping liabilities?

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Multiple Choice

What does P&I Insurance cover in shipping liabilities?

Explanation:
P&I insurance covers third-party liabilities arising from vessel operation. It protects the shipowner against claims from others for injuries, property damage, pollution, or financial losses caused by the vessel’s activities, and it also handles legal costs and defense for those claims. It does not insure the ship’s own physical damage (that’s hull insurance), it does not insure the cargo (that’s cargo insurance), and it isn’t meant to cover crew medical expenses (those are handled by separate medical or personal accident policies).

P&I insurance covers third-party liabilities arising from vessel operation. It protects the shipowner against claims from others for injuries, property damage, pollution, or financial losses caused by the vessel’s activities, and it also handles legal costs and defense for those claims. It does not insure the ship’s own physical damage (that’s hull insurance), it does not insure the cargo (that’s cargo insurance), and it isn’t meant to cover crew medical expenses (those are handled by separate medical or personal accident policies).

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