The level of insurance cover depends on the type of goods, destination, mode and transport situation, and it can encompass:
BASIC RISKS (immediately associated with transport, can be obtained for every type of goods):
- Navigational or traffic accident (sinking, stranding, collision, impact, slipping, capsizing, fall and the like)
- Natural disasters (windstorm, high waves, cloudburst, avalanche, flood, thunder strike and the like);
- Fire or explosion
SUPPLEMENTARY RISKS (can be obtained only for specific types of goods):
- Theft and failure to deliver;
- Handling risks (breakage, tearing of packing material, indentation and alike during loading, unloading and transhipment) and
- other supplementary risks (moistening, rust, ship sweat, leakage of liquid and the like)
Insurance AGAINST ALL RISKS encompasses both basic and supplementary risks.
- SPECIFIC RISKS are the risks related to the natural properties of goods with very high probability of their occurrence. The specific risks include: spoilage of meat due to any cause, bulging cans due to any cause, spoilage of fresh fruits and vegetables due to any cause, appearance of weevil in grain crops due to any cause, shortage due to any cause, among the other. Insurance of these risks is conditioned by special goods inspection prior to loading, under insurance cover AGAINST ALL RISKS.
- WAR AND POLITICAL RISKS imply every war action, the risk of strike as well as actions of military forces and political authorities which, as its consequence, have a loss of or damage to the insured goods in international sea and air transport.
Insurance of goods in transit is an important factor in international trade. In some cases, stipulation of insurance of goods in transit is not a voluntary act of goods owners, but their obligation. This obligation can arise:
- provided that CIF and CIP (INCOTERMS 2010) clauses are stipulated;
- according to the provisions of the sales agreement and
- at request of the Opening bank (who issues documentary Letter of Credit).
INCOTERMS is a series of commercial concepts and/or terms that directly and exhaustively regulate economic and legal relationship between the seller (exporter) and the buyer (importer). Stipulation of specific clauses determine which costs associated with transportation, insurance, handling of goods and the like shall be borne by the seller and which by the buyer as well as the moment when the ownership over goods (risk of damage to and/or destruction of goods) is transferred from the seller to the buyer.
Wiener Städtische osiguranje a.d.o. Beogradshall provide professional and efficient service relative to issuance of insurance policies for the cargoes in transit which meet all requirements from INCOTERMS and Letters of Credit. Prompt and expert assessment and damage settlement is implied.