Dansk
In 2009, the Danish Goods Committee set up a work group with the task of revising these conditions. The first draft of the conditions was issued in 2009. It was examined by the insurance market and its participants (lawyers, insurance brokers, and underwriters) and subsequently returned to the work group with comments and proposals. The final draft of the conditions was published in March 2010. The clauses can be provided by your local If office or contact person.
Amendments and additions
The main differences between the old and new cargo insurance conditions are shown in the table below.
TRANSPORT INSURANCE
2010 Cover guidelines |
|
|
| |
Old conditions |
New conditions 2010 |
| Cargo handling |
Not covered |
Extension |
| Loading and unloading |
Not covered |
Extension |
| Carrier insolvency |
Partly covered |
Extension |
| Defective packaging |
Partly covered |
Extension |
| Unseaworthiness/ unsuitability |
Partly covered |
Extension |
Cargo handling and loading/unloading 1
Covers the risk from the time that goods are taken from the storage area and loaded directly into or onto the carrying vehicle or other conveyance for the commencement of transit.
After loading of the goods, transportation will begin immediately. Conditions do not therefore cover storage in the cargo hold of the means of transport, which is not a matter of an ordinary transit stop. Insurance ceases at unloading at the specified place of delivery (e.g. store or storage area). Previously, cargo handling and loading/
unloading were not covered by insurance conditions, so there is considerably wider cover than before.
Both in loading and unloading it is however assumed that the insured assumes the risk for the goods, as described in INCOTERMS.
Carrier insolvency 2
Covers the loss that an insured party or insured suffers in connection with the carrier’s insolvency or financial neglect, insofar as the insured was ‘not aware of or should have been aware of conditions at the time of loading’. The previous version did not distinguish between the above, but excluded every form of financial neglect.
Defective packaging
Covers the loss that the insured party or insured suffers in connection with defective packaging carried out by third parties (external firms, e.g. forwarding agents or other packing centres). Previously, it was only the forwarding agent and carrier who were excluded, so this represents an extension of cover.
It is now defined that packaging should protect against the normal effects of transport - not extraordinary conditions.
Unseaworthiness/unsuitability
Covers the loss that the insured party or insured suffers in connection with unseaworthiness or unsuitability of the ship, vessel, or container for the transportation in question, insofar as it is a third party who has carried out the task. Previously it was only the forwarding agent and carrier who were excepted, so this represents an extension of cover.
Comments
With regard to Notes 1 and 2, it is a requirement for insurance cover that the insured party or insured has acted in good faith and therefore was not aware of the ship’s unseaworthiness or the carrier’s financial neglect.
If’s recommendation
If recommends that an insured party should update its transport insurance policy with the new insurance conditions. This is because they represent an extension of the old insurance conditions, and this gives the insured party better cover in the event of damage.
The following conditions have been updated:
- Extended Danish conditions
- Limited Danish conditions
- Danish strike conditions
Further information
