Freight insurance is the most established form of transport insurance. In this form of insurance, the insured can be both physical and legal persons. They can also be consignors and consignees. Depending on the economic and legal relationships, the contract is concluded either by the seller or the buyer.
Due to the terms of the contract, the risks associated with damage or loss of the goods are gradually transferred from the seller to the buyer. Therefore, the buyer is more interested in the possibilities of insurance of his cargo. In this case, the seller also has the right to conclude insurance contracts (at the request of the buyer). After that, insurance payments will be immediately included in the cost of the goods.
There are two types of insurance:
Insurance “with responsibility for all risks”, is a payment of damages from damage to the total loss of property. This also includes all the possible costs necessary to save, save and prevent further damage to cargo
Insurance “without liability damage”
Grounds for which payments are not made:
Contamination of cargo with radioactive substances or the impact of an atomic explosion
Corruption of cargo by insects, worms, rodents
Mass riots, strikes
Military coups with their consequences
Illegal seizure of cargo
Confiscation of a vehicle
Inspection, quarantine or arrest of cargo
Carelessness or intentional intent of damage on the part of the policyholder and his representative
Violation of norms and rules of trucking
Violation of norms and rules for storage of goods
Violation of the rules and regulations on packaging of goods
Violation of delivery of cargo
Negligent departure of goods in damaged condition
The ignition occurred as a result of loading spontaneously combustible and explosive substances and objects with the permission of the insured, however without the knowledge of the organization
Not fully loaded with the integrity of the outer packaging
Influence of a temperature mode and natural properties of a cargo.
The contract of insurance “without liability for damage” is a compensation for damage for damage to the carriage of a certain part or the whole of the goods for the following reasons
Natural cataclysms or other natural disaster
Collapse or collision of vehicles carrying cargo. Possible reasons for which payments can be made:
Defeat of bridges
Accident when loading, unloading a vehicle
Disappearance of the vehicle;
Costs for saving, saving, as well as extinguishing the cargo fire.
The grounds on which damages are not paid on the condition “with responsibility for all risks”. This also applies:
Damage due to fogging of the vessel and the wetting of cargo by atmospheric precipitation
Underestimation of the price of the goods due to its spoilage or contamination with the integrity of the outer packaging
Payment of insurance claimed by the insured may not exceed the value of the goods specified in the contract for the transport of the goods. The insurance company is responsible for the cargo throughout the whole route. Until the moment the cargo is delivered to the consignee. The contract for cargo insurance can be signed not only at the place of stay of the shipment, but also at the place of delivery. Data to be identified in the application for signing the insurance contract:
The correct name, type and type of packaging, number of seats and the exact weight of the cargo
Dates, numbers of receipts issued to the consignor and certifying acceptance of the goods for transportation or other transportation goods (bills of lading)
Type, vehicle type
Place of departure, transhipment and placement of cargo
Exact date of shipment
Cost of insurance (determine the sum insured)
Define the type of insurance liability (insurance conditions)
Often, an insurance company enters into a contract with the condition of inspecting the property and accurately drawing up its inventory, which states:
Markings (accession number)
Technical passport with number
Total amount of cargo
The cargo insurer is obliged to immediately inform the insurance company about all the changes that have occurred and the risk category. Due to the changes that have occurred, the insurance company must offer new insurance provisions or offer additional contributions.
In cases where the policyholder does not agree to the new terms of the contract and does not want to pay an additional fee, then the contract terminates its legal effect from the moment of change in risks. The insurer reimburses a certain part of the amount for the time remaining until the end of the insurance period.
The cost of insurance payments depends on the type of insurance liability and type of vehicle.