Bank of China Group Insurance Company Limited

Cargo Insurance || Marine Cargo Insurance || Overland Transportation Insurance || Air Transportation Insurance

Cargo Insurance

The benefit of this policy provides protection for the loss of or damage to the goods they suffered during the course of transit.

Marine Cargo Insurance

The usual insurance clauses under Institute Cargo Clauses are (A), (B) and (C), details of each coverage:

1.	Institute Cargo Clauses (A):
	Insurer will indemnify the Insured the following losses : -
	i.	all risks of loss of or damage to the cargo arising from fortuitous causes;
	ii.	general average and salvage charges;
	iii.	the proportion of liability under the contract of affreightment "Both to Blame Collision" Clause as is in respect of a loss recoverable hereunder;
2.	Institute Cargo Clauses (B):
	Insurer will indemnity the insured in respect of the losses caused by above point (ii) & (iii) of ICC (A) and loss of or damage to cargo reasonably attributable to : -
	i.	fire or explosion;
	ii.	vessel or craft being stranded, grounded, sunk or capsized;
	iii.	overturning or derailment of land conveyance;
	iv.	collision or contract of vessel, craft or conveyance with any external object other than water;
	v.	discharge of cargo at a port of distress;
	vi.	earthquake, volcanic eruption or lightning Loss of or damage to the cargo insured caused by
	vii.	general average sacrifice
	viii.	jettison
	ix.	washing overboard
	x.	entry of sea, lake or river water into vessel, craft, hold conveyance, container, liftvan or place of storage
	xi.	total loss of any package lost overboard or dropped whilst loading on to, or unloading from, vessel or craft
3.	Institute Cargo Clauses (C):
	Insurer will indemnify the insured in respect of the losses caused by the above ICC (B) except the point vi, ix, x & xi.
4.	General exclusions :
	In no case shall this insurance cover loss damage or expense attributable to
	i.	willful misconduct of the Assured;
	ii.	ordinary leakage, ordinary loss in weight or volume, or ordinary wear and tear of the subject-matter insured;
	iii.	insufficiency or unsuitability of packing or preparation of the subject matter insured (for the purpose of this Clause "packing" shall be deemed to include stowage in a container or liftvan but only when such stowage is carried out prior to attachment of this insurance or by the assured or their servants);
	iv.	inherent vice or nature of the subject-matter insured;
	v.	delay, even though the delay be caused by a risk insured against;
	vi.	insolvency or financial default of the owners managers charterers or operators of the vessel;
	vii.	the use of any weapon of war employing atomic or nuclear fission and/or fusion or other like reaction or radioactive force or matter.
	viii.	Unseaworthiness and Unfitness Exclusion Clause;
	ix.	War Exclusion Clause;
	x.	Strikes Exclusion Clause.

Overland Transportation Insurance

It covers loss of or damage to the cargo arising from the accident during the course of transit by land conveyances for example derailment of trains, collision of trains or trucks, overturn of conveyance, collapse of tunnels or fire risk in transit etc.

Air Transportation Insurance

It covers loss of or damage to the cargo arising from the accident during the course of transit by aircraft for example collision or contact of aircraft with any external object, fire, explosion etc.

Besides Institute Cargo Clauses (A), (B) and (C), the Insured can choose the additional cover for the War Risks – It covers the loss of or damage to the cargo reasonably attributable to

1.	war civil war revolution rebellion insurrection, or civil strife arising therefrom, or any hostile act by or against a belligerent power
2.	capture seizure arrest restraint or detainment, arising from risks covered under 1. above, and the consequences thereof or any attempt thereat
3.	derelict mines torpedoes bombs or other derelict weapons of war.

i.	When cargo has arrived at the port of discharge or final destination named on the policy, Insured must take delivery of the cargo on time and inspect the cargo immediately. If you find any damage or shortage of the cargo, please notify the claims / survey agent named on the policy for survey immediately and request the carriers to issue documentation to certify the loss or damage.
ii.	If the goods are non-delivery, please obtain the documentary evidence and written confirmation from the carriers to certify the loss of goods, and formally lodge a claim for the loss against the carriers.
iii.	If the damage is obvious, you should give a notice of loss/damage to the carrier, warehouse or authorities concerned (customs or port authorities) in writing and ask them to attend a joint survey or certify the loss / damage by issuing a duly, signed documentary evidence like shortlanding certificate, exception list, etc. (or if such evidence is not available, the loss / damage shall be caused on the delivery receipt accordingly); If the damage is not obvious, a written notice of loss should be given to the carriers within 3 days from the date of delivery.
iv.	If you feel any queries of the cargo was damaged, please do not issue a clean receipt to the carrier.
v.	If the cargo was in delivery inside a container, Insured must take delivery of the cargo on time and inspect the container immediately. If you find any damage or breakage of the seal or the seal no. in difference under the cargo document. Please take note on the cargo receipt and keep the breakage or irregular seal for inspection.

i.	Where there is a claim under this Insurance, the insured may call us immediate (please provide us the policy number, cause of damage and claims amount), or you may just let us have a claim notice for record.
ii.	the Insured should submit the following supporting documents immediately :
	-	Original of Policy
	-	Original or duplicate of Commercial Invoice, packing list and weight note
	-	Original or duplicate of Bill of Lading and/or other shipping contract
	-	Survey Report and other documentary evidence to prove the cargo damage
	-	Weight note or unloading report for the goods at final destination
	-	Correspondence exchanged with the carriers and other parties regarding their liability for the loss or damage

For the claim of loss, the insured and their agent's should

1.	minimize the loss
2.	protect the insurer's right of the claims recovery against the carrier or third party.

Product Enquiry : (852) 31875100

* The information contained in this website is a general summary. All terms and conditions are set out in the policy