Marine insurance is a Form M requirement and a working safety net — what it covers, what it doesn't and how Nigerian practice works.
Every Nigerian import file includes marine insurance from a Nigerian insurer — it is both a Form M requirement and your protection on the water. Here is what it actually does.
What it covers
- Transit risks — loss and damage from loading to discharge under the Incoterm you chose (CIF quotes include it; FOB buyers arrange it in Nigeria)
- General average — your share when a vessel sacrifices cargo to save the voyage
What it usually doesn't
- Pre-shipment defects — that is what factory QC and pre-shipment inspection cover (arrange SGS/BV inspection as a payment condition)
- Post-clearance damage — once the truck is driving, your motor policy takes over
Nigerian practice
Policy placement with an NDIC-regulated insurer goes into the Form M pack; the insured value follows your trade documents. Costs scale with value and route — factor roughly one to two percent of CIF in budgeting models (confirm with your insurer/broker for current rates).
Sequence it with the import process and the payment guide; for landed-cost modelling see the price center.
Local market notes are general guidance. Confirm current port tariffs, state waste management rules and road restrictions with local authorities and your clearing agent before committing.