Insurance is very closely related to foreign trade. In international trade, the transportation of goods from the seller to the buyer is generally over a long distance by air, by land or by sea and has to go through the procedures of loading, unloading and storing. During this process it is quite possible that the goods will encounter various kinds of perils and sometimes suffer losses. In order to protect the goods against possible loss in case of such perils, the buyer or seller before the transportation of the goods usually buys insurance from an insurance company to cover the goods in transit.
As a high percentage of our trade in and out of the country goes by ship, our main concern is the Marine insurance. We should strive to win over the business of insurance, wherever favorable, as it is a form of intangible trade which helps us to accumulate foreign exchange.
