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JAMB Commerce 1994 Question 20

Question 20

Transport

Which of the following statements is TRUE about sea transport?

  1. A.all ships have specific routes to ply.
  2. B.all ships must be insured at every journey
  3. C.all ships are insured separately from the crew
  4. D.all ships normally arrive at their destination with goods.
Show the answer and explanation

Answer: C (all ships are insured separately from the crew)

Explanation

The ship (hull) is covered by marine insurance, while the crew are covered separately by other policies. Tramp ships have no fixed routes and some ships sail empty.