Article 344 of the Saudi Commercial Maritime Law
المادة 344 من النظام البحري التجاري · الفصل الرابع: التأمين على البضائع
The article makes goods covered by the insurance without interruption during the voyage set out in the policy, with the insurer allowed to ask for a higher premium if they stay in a port, or the ship takes refuge or changes route.
Official text (Arabic)
This article has not been amended since the law was issued.
تكون البضائع مشمولة بالتأمين دون انقطاع في أي مكان توجد فيه أثناء الرحلة كما يحددها المتعاقدان في وثيقة التأمين. ومع ذلك يجوز للمؤمِّن طلب زيادة قسط التأمين إذا بقيت البضائع في ميناء أو استغرق مرور السفينة وقتاً للالتجاء إلى أحد الموانئ أو تغيير طريقها المعتاد, وذلك مع مراعاة أحكام المادة (الأولى بعد الثلاثمائة) من النظام.
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 344 explained in plain English
This article states the principle of continuity of cover in goods insurance:
The rule: the goods are covered by the insurance without interruption in any place where they are during the voyage, as the contracting parties define it in the insurance policy. Cover is not interrupted merely because the goods move from one place to another during the voyage.
Premium increase: the insurer may ask for an increase in the insurance premium if:
- The goods stay in a port, or
- The ship's passage takes time to take refuge in a port, or
- It takes time to change its usual route.
Subject to Article 301: it requires the insured to notify the insurer within three working days of learning of the circumstances that increase the risk, failing which the insurer may terminate the contract. If he notifies in time and the increase was not by his act, the insurance remains in force in return for an increase in the premium. If it was by his act, the insurer may, within three working days of being notified, terminate the contract or keep it with an increase in the premium.
Article 343 provides that insurance on goods is made by a single-voyage policy or a floating policy, and Article 345 extends the provisions of marine insurance to land, river or air carriage that completes the voyage unless otherwise agreed.
Practical example
An insured shipment is on its way to the port of Jeddah, and the ship is forced to take refuge in another port because of a fault and stays there for two weeks. The goods remain covered by the insurance, but the insurer may ask for an increase in the premium, subject to the provisions on notification of increased risk in Article 301.
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 344 of the Saudi Commercial Maritime Law
Is goods insurance interrupted if they are delayed in a port during the voyage?
No. The goods are covered by the insurance without interruption in any place where they are during the voyage as the contracting parties define it in the policy.
Can the insurance company increase the premium?
It may ask for an increase in the premium if the goods stay in a port or the ship's passage takes time to take refuge in a port or change its usual route, subject to Article 301.
Articles this article refers to
More articles on Marine Insurance
- Article 139
Ships carrying the Kingdom's nationality are not permitted to sail to areas dominated by the dangers of war, piracy or armed robbery until proof of insurance of their crew against these dangers is provided.
لا يصرح للسفن التي تحمل جنسية المملكة بالسفر إلى المناطق التي تغلب عليها أخطار الحرب, أو أعمال القرصنة أو السطو المسلح, إلا بعد تقديم مالكها أو مجهزها أو مستأجر
- Article 215
Any agreement made before the incident that exempts the carrier from liability for loss of or damage to the goods, alters the burden of proof placed on him, or assigns to him the rights arising from cargo insurance is void.
يقع باطلاً كل اتفاق يتم قبل وقوع الحادث الذي نشأ عنه الضرر, ويكون موضوعه أحد الأمور الآتية: 1- إعفاء الناقل من المسؤولية عن هلاك البضائع أو تلفها. 2- تعديل عبء
- Article 236
The carrier must hold insurance or a guarantee from a recognized body covering its liability for death and bodily injury, and the injured party may claim directly against the insurer or guarantor.
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
- Article 293
The article provides that the maritime insurance provisions apply to an insurance contract covering maritime risks, without prejudice to the Law on Supervision of Cooperative Insurance Companies.
دون إخلال بالأحكام الواردة في نظام مراقبة شركات التأمين التعاوني, تسري أحكام هذا الباب على عقد التأمين الذي يكون موضوعه تغطية الأخطار البحرية.
- Article 294
The article requires a maritime insurance contract and any change to it to be proved in writing, sets the particulars of the insurance policy, and makes a provisional policy binding on both parties until the final policy is issued.
1- لا يثبت عقد التأمين وكل ما يطرأ عليه إلاَّ بالكتابة. 2- يصدر بموجب عقد التأمين وثيقة تأمين تتضمن البيانات الآتية: أ- تاريخ عقد التأمين ومكانه. ب- اسم المؤمِّ
- Article 295
The article allows a maritime insurance policy to be issued in the name of the insured, to his order or to bearer, and gives its lawful holder the right to claim compensation, subject to the insurer's defenses against the insured.
1- تكون وثيقة التأمين باسم المؤمن له أو لأمره، أو لحاملها. 2- يكون لحامل الوثيقة الشرعي الحق في المطالبة بالتعويض, وللمؤمِّن أن يحتج في مواجهته بالدفوع التي يجو
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.