Insurance

As previously reported, the Ever Forward, a Hong Kong flagged ship stuck near Gibson Island in the Chesapeake Bay channel since the 13th of March 2022...

In recent times, maritime disasters seem to have been dime a dozen.. Some disasters like the infamous Ever Given which got stuck diagonally across...

As reported previously, the Ever Forward, a Hong Kong flagged ship operated by Evergreen, the 7th largest container shipping line in the world, was on its way...

18 days and counting - that's the number of days that the Ever Forward, a 11,850 TEU capacity container ship has been stuck in...

There are cases where a container maybe discharged with a seal number that is different from what has been manifested and shown in the bill of lading..

Seal number discrepancy between manifest and container happens more times than you can imagine and this happens all over the world..

How and why does this seal number discrepancy happen and what steps should a consignee take when it happens..??

Recent changes to regulations in Russian law now make it possible for forwarders and road hauliers to access full liability cover, similar to that enjoyed by those in the global supply chain.

However, most insurance products on the market don’t offer comprehensive protection.

Whether for its size and status as one of the largest container ships in the world or because it was famously termed as a “boat that was stuck in a canal”, the Ever Given will remain in people’s minds either as a memorable incident (to those who worked to free it) or as a haunting incident (to the ship owner, ship operator, ship crew and soon maybe the customers)..

Muthu Jagannath of NAU Pte Ltd., provides relevant and pertinent information about the Ever Given, its arrest, the implications of the arrest, insurance and counter claims in this article originally published on their website..

With the Ever Given still “legally” stuck in the Great Bitter Lakes in Suez Canal, discussions and concerns have turned to various other issues relating to the cargo, the ship’s crew and General Average.

The “arrest” of the ship by the Suez Canal Authority (SCA) which intends to recover losses of around $916 million including $300 million for salvage bonus and $300 million for loss of reputation, has further complicated life for the ship crew who must have been having anxious moments no doubt.

Many journalists and Twitteratis around the world might be having withdrawal symptoms after the Ever Given has been refloated from being stuck diagonally across...

The fragility of trade routes which had been sorely tested by disruptions caused by Covid 19, shortage of containers and increased freight rates was...

The Suez Canal Authority officially announced on the 25th March 2021 that navigation through the Suez Canal is temporarily suspended. Announcing the suspension, Admiral Osama...

Cargo insurance is a type of insurance that protects a buyer or seller of goods against damages or loss of cargo..

Despite insurance having been around for centuries, there is still a feeling that any form of insurance is a “grudge purchase” and in the case of cargo shipments, many people ask the question "Do I need cargo insurance for my shipment"..??

In anything that we do in life, the first time is a scary thought - first time on a bike, first time driving a car, first time swimming, first date, first kiss .................... etc..

So why should shipping your first container be any different..??

It could be a scary thought if you are a first-time exporter or importing for the first time, but like everything else, if done and handled correctly, shipping your first container can be a good experience as well..

Here are some tips to assist you in shipping your first container..

P&I Clubs have become an integral and important part of the maritime business.. This article discusses what is a P&I Club, what they do and why we need them..

For obvious reasons, no one wants to receive cargo claims. More so, carriers who carry the cargo from A to B. It could possibly be the reason why there is a lot of misunderstanding among BCOs and OTIs about which documents are really necessary to submit and which are completely irrelevant in the process of claims recovery.

Below are some simple guidelines for claims handling and submissions. I hope this will help to make the claim submission process as efficient and as simple as possible for you.

As we have all seen, COVID-19 is causing severe imbalances in world trade which is affecting everyone, whether it is an exporter, importer, shipping line, shipowner, freight forwarder, trucker, or a spaza shop around the corner..

While ships are moving, ports are discharging and loading containers, nothing is as yet at a 100% capacity in most of the countries around the world..

Ships are facing port congestion resulting in blank sailings, containers are stuck in storage at ports, terminals, and depots around the world for later deliveries creating longer delays than anticipated and also causing yard space congestion..

In view of the delays experienced by the trade, we look at the question - Does ICC (A) cover cargo claims due to COVID-19 delays..??

There are several reasons that cargo inside a container could damaged. It could be due to improper packing of cargo inside a container, incorrect container used for the cargo carried, but one of the main reasons for cargo damage inside a container is the condition of the container itself.

• Wet damage due water ingress (rain, seawater etc) into the container ;
• Wet damage due to condensation inside the container when an incorrect type of container is used like using a normal container instead of a ventilated container ;
• Contamination due to adjacency risk or odor transfer ;
• Infestation damage

are some of the common types of damages reported on cargoes that are packed in containers. As a general rule, shipping lines reject these claims confirming that the gate out documents of the containers were clean at the time of release to the shipper. Insurance companies use Unseaworthiness and Unfitness Exclusion Clause stated in ICC (A) not to cover similar claims either, unless the insured can prove that he was not aware of the condition of the container at the time of loading. Obviously, this situation causes a lot of frustration, feelings of injustice, and could result in absorbed losses among shippers globally.

So should the shipper simply accept this rejection of claims and move on?

The world is in the midst of the COVID-19 pandemic and the global economy has been greatly hit due to this. You may agree that during such time, it’s important more than ever to find ways for saving costs and take all measures possible to safeguard your business.

As a small or midsize business, there is no doubt that you are familiar with the stress of operating on tight margins, and you know how valuable even a small percentage of cost-savings can be to your bottom line.

However, what many small businesses don’t realize, is that their supply chain – particularly when it comes to imports – can be a significant source of cost savings!

Abandoned cargo could be quite stressful for shipping lines, shippers, port authorities and forwarders alike and is considered to be a big headache for everyone concerned..

When a cargo is abandoned it causes severe financial losses to all parties concerned - seller, buyer, shipping line, freight forwarder, transporters, banks, Government etc etc..

It could also cause a rift in business relationships between a shipping line and their customer - whether it is an importer or a freight forwarder because it could create a blemish in the customer's record with the shipping line..

When is a cargo considered to be Abandoned Cargo..??