Insurance Issue of the Week

Insurance issue of the week -26 (Marine)

Coverage of risk during Loading /unloading under Marine cargo Insurance

It is always been debated whether the loading/unloading is covered under Marine (cargo) insurance. Undoubtedly, it is not covered under Institute Cargo Clauses (ICC) 1/1/1982 unless and until it is covered specifically by paying the additional premium.

Now the ICC has been revised wef 1/1/2009 which is covering loading and unloading without paying the additional premium. It is covered under clause 8 Duration (Transit clause) reproduce as under:

2009

DURATION

Transit Clause

 

  1. 1 Subject to Clause 11 below (Existence of Insurable of Interests) , this insurance attaches from the time the subject-matter insured is first moved in the warehouse or at the place of storage (at the place named in the contract of insurance) for the purpose of the immediate loading into or onto the carrying vehicle or other conveyance for the commencement of transit, continues during the ordinary course of transit and terminates either

 

8.1.1  on completion of unloading from the carrying vehicle or other conveyance in or at the final warehouse or place of storage at the destination named in the contract of insurance,

 

  • on completion of unloading from the carrying vehicle or other conveyance in or at any other warehouse or place of storage, whether prior to or at the destination named in the contract of insurance, which the Assured or their employees elect to use either for storage other than in the ordinary course of transit or for allocation or distribution, or

 

  • when the Assured or their employees elect to use any carrying vehicle or other conveyance or any container for storage other than in the ordinary course of transit or

 

  • on the expiry of 60 days after completion of discharge overside of the subject-matter insured from the oversea vessel at the final port of discharge, whichever shall first occur.

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