Article 327 of the Saudi Commercial Maritime Law
المادة 327 من النظام البحري التجاري · الفصل الثاني: التأمين على السفينة
The article sets the period of cover in voyage insurance from the start of loading to the end of unloading, not exceeding fifteen days from arrival and the declaration of readiness to unload, and for an empty ship from sailing until anchoring.
Official text (Arabic)
This article has not been amended since the law was issued.
1- يسري ضمان المؤمِّن في التأمين بالرحلة منذ البدء في شحن البضائع إلى الانتهاء من تفريغها دون أن تتجاوز مدة سريان التأمين -على أي حال- خمسة عشر يوماً من وصول السفينة إلى المكان المقصود وإعلان الربان عن استعداد السفينة لتفريغ الشحنة.
2- إذا كانت السفينة فارغة من البضائع سرى ضمان المؤمِّن من وقت تحركها للسفر حتى رسوها في المكان المقصود.
This is the official Arabic wording, the only legally binding version. We do not translate the law itself; the explanation below is ours. Official source: Bureau of Experts at the Council of Ministers
Article 327 explained in plain English
This article sets out when the insurer's cover starts and when it ends in ship insurance by voyage:
A loaded ship (paragraph 1):
- Start: from the start of loading the goods.
- End: when unloading them is finished.
- Maximum: the period the insurance remains in force may not, in any case, exceed fifteen days from the ship's arrival at the intended place and the master's declaration that the ship is ready to unload the cargo.
If unloading takes more than fifteen days from this declaration, the cover ends when they have passed, even if unloading is not finished.
An empty ship (paragraph 2): if the ship is empty of goods, the insurer's cover runs from the time it sets out on the voyage until it anchors at the intended place.
Article 326 allows ship insurance for a single voyage, several successive voyages or a limited period, while Article 328 provides that if the insurance covers several successive voyages, the place named in the policy for the end of the last voyage is treated as the place where cover ends. To learn the scope of cover in a particular case, it is advisable to consult a lawyer who specializes in insurance.
Practical example
A ship insured by voyage arrives at the port of Jeddah, and its master declares that it is ready to unload, but unloading is delayed because of congestion at the port. Cover remains in force until unloading is finished, provided that it does not exceed fifteen days from arrival and the master's declaration of readiness to unload.
Translated from our Arabic explanation with machine assistance. For guidance only; it does not replace advice from a lawyer on your situation.
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Frequently asked questions about Article 327 of the Saudi Commercial Maritime Law
When does cover start in voyage insurance?
From the start of loading the goods, and if the ship is empty, from the time it sets out on the voyage.
When does cover end in voyage insurance?
When unloading of the goods is finished, without exceeding fifteen days from the ship's arrival at the intended place and the master's declaration that it is ready to unload; for an empty ship, when it anchors at the intended place.
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يجب أن يكون لدى الناقل تأمين أو ضمان من جهة معترف بها، لتغطية مسؤوليته عن الوفاة والإصابات البدنية. وفي هذه الحالة يجوز للمتضرر الرجوع المباشر على المؤمن أو الض
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The texts are reproduced from the official website of the Bureau of Experts at the Council of Ministers for reference; where they differ, the officially published Arabic text prevails. This content is not legal advice.