You are using an outdated browser that is not supported by Marsh.com.

For the best experience, please upgrade to a supported browser:

X
Frequently Asked Questions

Frequently Asked Questions

Frequently Asked Questions

Choose between "CargoCover FAQs" or "Insurance FAQs" to help answer any questions you may have regarding the CargoCover system or insurance and brokerage topics.


A: Click on the Forgot Your Password link on the Login Page. You will be prompted to enter your User ID and Email Address. Once submitted, the system will send you an email which will contain a secure password link which you can select to create a new password.
A: Your certificate went into referral because the information entered was beyond the confines of your policy and as such has to be reviewed by your insurance representative before it is released. If you need the certificate urgently you can try contacting your insurance representatives to see if they can speed up the release.
A: Go to the shipment tab, navigate to "Query/List", in the search criteria form enter any information known about the certificate you are trying to find and click search. A list of results matching the criteria entered will appear, select the appropriate certificate.
A: Once you have retrieved your certificate from the Query List, click on the Change button at the bottom of the shipment screen. If you have the rights you may be able to directly edit certain shipment fields and Confirm your Change. Otherwise, you will be prompted to type in your change request details and Submit the request to your Broker.
A: Go to Shipments > Certificates/Quotes and enter your shipment details.
Click on the Verify Coverage button at the bottom of the page. The premium and rate will display on screen. Click on the Save Template button to keep your request on the system for future use. Once you are ready to bind the coverage you can resubmit the shipment using the template you have saved. To issue a certificate, click on the Confirm Booking button. The quote request will then be converted into a booked and confirmed certificate.
Please refer to the Shipment User Guide found in the Ref. Library / CargoCover Library for more detailed instructions.
A: Invoices are located in the Billing/Invoice Report tab. You can retrieve an invoice using the Search function in the Invoice Report, either by Invoice Number, Invoice Issue Date, Invoiced Amount or Outstanding Amount.

Please refer to the Billing User Guide found in the Ref. Library / CargoCover Library for more detailed instructions.

A: If you are the Primary User in your company you will have the ability to manage employee access for your organization. To access your employee list click on Company/Employee in the Tools tab and then click on the Search button. Select Navigate To: Employees from the drop down menu. A list of your company employees will appear; you can select an employee name and modify their profile, or click on the Create button to add a new user to the system.

Please refer to the User Permissions User Guide found in the Ref. Library / CargoCover Library for more detailed instructions.

A: It is physical loss or damage insurance of goods carried by vessel, road, rail, aircraft, post, or by any other conveyance. This insurance protects those who have an insurable/financial interest in the cargo (buyer or seller and intermediaries, if so structured). Shipping insurance coverage ranges from All Risks to Named Perils, with common extensions as well as customized wordings.
A: Your own transit insurance policy ensures sufficient limits of liability, known coverage conditions and consolidated claims handling. Additionally, your own shipping insurance policy will be a less expensive alternative to transit carrier provided insurance.
A: Inland transit insurance covers domestic transits via land conveyances and/or air shipments (domestic vessel transits are usually insured under an Ocean Cargo Policy). Ocean cargo insurance provides coverage for international ocean and/or air shipments on a warehouse to warehouse basis (including the land connecting conveyance transits).
A: CIF+10% stands for:

C = Cost/invoice value (purchase cost if your client is the buyer, or selling price if they are the seller)
I = Insurance premium
F = Freight and associated charges (e.g. customs clearance charges)

PLUS an additional 10% to cover additional charges incurred due to fluctuations in currency or additional freight cost.

The intention is to indemnify your client, including allowances for additional cost for reshipping.
A: Transit insurance coverage is often referred to as warehouse to warehouse. It is important to note, however, that coverage may be more accurately determined by the terms of sale used in each transaction (e.g. Free on Board (FOB), etc.). Transit insurance coverage is warehouse to warehouse only when the insured is responsible to provide such coverage based on the sales terms. In this case coverage attaches at the point at which transit commences, and terminates when the cargo is delivered to the final destination subject to certain restrictions. Both the attachment and termination points may be inland, many miles from the ports of loading and discharge, and may include interim storage, but only during the ordinary course of transit.
A: Shipments of personal effects may contain a warranty that requires the submission of an itemized and valued inventory prior to shipment. If this is not provided, in the event of a loss an average value per package may be determined based on the total insured value of the shipment and the total number of packages.
A: The value of the shipment declared for insurance should accurately reflect the full value of the shipment at the intended final destination, including the costs incurred to get the goods to the final destination. If a loss occurs and the amount declared is found to be less than the true value, the claim settlement may be pro-rated to a lesser amount. In these situations, it is if the insured is acting as a co-insurer of the shipment and sharing in the loss.
A: Follow the instructions outlined on your Certificate of Insurance. Report the loss to the carrier in writing advising them that you intend to submit a claim for the loss. Contact the surveyor at the destination (usually shown on the Certificate of Insurance), who will attend and establish the cause and extent of the loss. Advise your shipping insurance broker, who will assist with managing the claims process.
A: The insured must at all times act in the same manner as they would if they were uninsured, or what is called “acting as a prudent uninsured.” This is the basis on which all insurance is governed and prevents an insured from simply abandoning their cargo.
A: War Risks Insurance is a separate contract/policy which offers protection against war perils (stray mines and torpedoes, terrorist acts at sea, etc.), while the cargo is at sea. Combined with the Cargo Policy, there is coverage for Missing Vessels in one policy or the other. Consideration for Strikes riots and Civil Commotions (SR & CC) coverage is included in the War Risks premium. The SR&CC coverage is added on to the Cargo Policy by endorsement.
A: A loss arising through a voluntary sacrifice of any part of the ship or cargo, or an expenditure to safeguard the ship and the rest of the cargo. When the vessel owner declares a general average, the vessel owner and all the cargo interests will share the expenses associated with the general average on a pro-rata basis. These expenses are covered under your Marine Cargo Policy. Such losses can be significant and may require letters of guarantee to have the cargo released. A letter of guarantee would be issued by the cargo underwriters and is an agreement to meet the insured’s liability for contribution.
A: Incoterms are a frame work that help define responsibilities of the buyer and the seller and are recognized as the international standard by custom authorities and courts in all the main trading nations. They are standard trade definitions and are issued by the International Chamber of Commerce. Incoterms reduce the risk of misunderstandings and legal disputes. Incoterms also specify the loading and unloading responsibilities of the buyer and seller. There are 11 Incoterms, each denoted by a 3-letter code. The terms are grouped in four categories based on the first letter in the three-letter abbreviation.

INCOTERM Definitions

Term
Definition

Rules for Any Mode or Modes of Transport
EXW
Ex Works

FCA
Free Carrier

CPT
Carriage Paid To

CIP
Carriage and Insurance Paid (To)

DAT
Delivered At Terminal

DAP
Delivered At Place

DDP
Delivered Duty Paid

Rules for Sea and Inland Waterway Transport

FAS
Free Alongside Ship

FOB
Free on Board

CFR
Cost and Freight

CIF
Cost, Insurance, and Freight


See http://www.iccwbo.org/incoterms for more information.
A: A shipping company does not provide first party insurance for cargo. They do have liability insurance to cover the company should you make a claim against them. To make a claim you must:

  1. Prove the shipping company is at fault - there may be more than one shipping company involved in the transport of your goods
  2. Understand that a shipping company has many exemptions from liability - “Acts of God”, riots, strikes, etc.
  3. Realize there is a maximum amount you can claim - it is limited by law
  4. Act quickly – there are time limits for making a claim
A: FOB presents unique challenges. At times, it is difficult to determine at what point the shipping insurance actually goes into effect. Also, portions of the travel may not be covered—you need to review the specific language of the policy document. Keep in mind that you are relying on a foreign shipping insurance policy if you need to make a claim. How strong is the currency of the country where the policy is written? What currency restrictions does that country have in place? These can severely hamper your claim and collection.
A: You might want to ask these important questions: What is the level of freight insurance provided? Does it cover partial loss, or only total loss? Can you, as the importer, collect payment for a claim outside of the country of origin? How much is this insurance costing you? Many times that price is hidden in the total charges, and you may be able to secure better freight insurance coverage yourself.
A: Ask your insurer what conditions and exclusions your policy has. What are the deductibles if you need to make a claim? What conditions are covered—all-risk, war clauses, riots, strikes, civil disobedience? There may be a more cost-effective freight insurance solution available to you.
A: That is a wonderful position to be in, but the more you ship, the more the law of averages works against you. Current risk management estimates calculate that nearly 30 percent of losses are unavoidable. Having the right freight insurance manages that risk in the most cost effective way. If you ship by ocean, then you also need to consider that you can bear the cost of someone else’s loss through “General Average”, where all parties transporting by ship bear the loss of one or more parties.
A: Current estimates say that nearly 30 percent of losses are unavoidable. While your shipments are safe the majority of times, you may want to consider what even one loss will cost you. Consider the time it takes to make a liability claim, prove that the carrier is responsible, replace the loss, and get the product to your client, loss of business or market due to delays, loss of good will, legal fees and so on—and compare that to the cost of an all-risk transit insurance policy that can be put in place before your cargo ever leaves.

If you require further assistance, please Contact Us.