Overview
Chadwicks are proficient in securing an insurance solution for your international cargo risk, including access to Stock Throughput policies (cradle to grave cover for certain property or consignment stock).
Marine Cargo Incoterms
Incoterms were designed to standardize contract terms – thus making it easier to follow what obligations, expenses, risks & other elements affect international trade.
The terms are divided into four categories:
- E-Terms – where the Seller (Exporter) makes the goods available to the Buyer (Importer) at the Seller’s own premises only
- F-Terms – where the Seller is called upon to deliver the goods to the carrier appointed by the Buyer
- C-Terms – where the Seller has to contract for carriage, but without assuming the risk of loss to the goods or additional costs due to the loss occurring after shipment. CIF & CIP being exceptions where the seller is compelled by the terms to arrange Marine Insurance in addition to contracting for carriage (no greater obligation than Institute C Clauses & valuation of CIF plus 10%).
- D-Terms – where the Seller has to bear all costs & risks needed to bring the goods to the country of destination (these terms are normally only used by the motor trade)
Key risk questions, other than the terms of sale (Incoterms) include:
- The method of transit i.e. ship, airfreight, rail etc.
- Whether any transshipment will occur (off loading of containers from one ship to another)
- The basis of valuation
- How the goods will be packed
- The type of commodities
- Any deliberate or intermediate storage
- Type of container eg temperature controlled, FCL,LCL etc
- Any bonded storage
Please contact Chadwicks should you require assistance with regard to your international cargo risk or marine cargo insurance.
Get a Quote
