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RISKS COVERED |
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1. -
Risks Clause |
1 This insurance covers, except
as provided in Clauses 4, 5, 6 & 7 below,
1.1 all risks
of loss of or damage to the subject-matter
insured, other than loss or damage resulting
from any variation in temperature howsoever
caused,
1.2 loss of
or damage to the subject-matter insured
resulting from any variation in temperature
attributable to
1.2.1
breakdown of refrigerating machinery resulting
in its stoppage for a period of not less than 24
consecutive hours
1.2.2 fire
or explosion
1.2.3
vessel or craft being stranded grounded sunk or
capsized
1.2.4
overturning or derailment of land conveyance
1.2.5
collision or contact of vessel craft or
conveyance with any external object other than
water
1.2.6
discharge of cargo at a port of distress. |
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2. -
General Average Clause |
2 This
insurance covers general average and salvage
charges, adjusted or determined according to the
contract of affreightment and/or the governing
law and practice, incurred to avoid or in
connection with the avoidance of loss from any
cause except those excluded in Clauses 4, 5, 6
and 7 or elsewhere in this insurance. |
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3. - "Both
to Blame" Collision Clause |
3. This
insurance is extended to indemnify the Assured
against such proportion of liability under the
contract of affreightment "Both to Blame
Collision" Clause as is in respect of a loss
recoverable hereunder. In the event of any
claim by shipowners under the said Clause the
Assured agree to notify the Underwriters who
shall have the right, at their own cost and
expense, to defend the Assured against such
claim. |
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EXCLUSIONS |
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4. - General Exclusions Clause |
4 In no case shall this
insurance cover
4.1 loss
damage or expense attributable to wilful
misconduct of the Assured
4.2 ordinary
leakage, ordinary loss in weight or volume, or
ordinary wear and tear of the subject-matter
insured
4.3 loss
damage or expense caused by insufficiency or
unsuitability of packing or preparation of the
subject-matter insured (for the purpose of this
Clause 4.3 "packing" shall be deemed to include
stowage in a container or liftvan but only when
such stowage is carried out prior to attachment
of this insurance or by the Assured or their
servants)
4.4 loss
damage or expense caused by inherent vice or
nature of the subject-matter insured (except
loss damage or expense resulting from variation
in temperature specifically covered under Clause
1.2 above)
4.5 loss
damage or expense proximately caused by delay,
even though the delay be caused by a risk
insured against (except expenses payable under
Clause 2 above)
4.6 loss
damage or expense arising from insolvency or
financial default of the owners managers
charterers or operators of the vessel, where, at
the time of loading of the subject-matter
insured on board the vessel; the Assured are
aware, or in the ordinary course of business
should be aware, that such insolvency or
financial default could prevent the normal
prosecution of the voyage
This exclusion
shall not apply where the insurance has been
assigned to the party claiming hereunder who has
bought or agreed to buy the subject-matter
insured in good faith under a binding contract
4.7 loss
damage or expense arising from the use of any
weapon of war employing atomic or nuclear
fission and/or fusion or other like reaction or
radioactive force or matter
4.8 loss
damage or expense on shore caused directly or
indirectly by earthquake, volcanic eruption
and/or fire resulting therefrom
4.9 loss
damage or expense arising from any failure of
the Assured or their servants to take all
reasonable precautions to ensure that the
subject-matter is kept in refrigerated or, where
appropriate, properly insulated and cooled
space. |
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5. -
Unseaworthiness and Unfitness Exclusion Clause |
5.1 In no case shall this
insurance cover loss damage or expense arising
from
5.1.1 unseaworthiness of vessel
or craft, or unfitness of vessel or craft for
the safe carriage of the subject-matter insured,
where the Assured are privy to such
unseaworthiness or unfitness, at the time the
subject-matter insured is loaded therein,
5.1.2 unfitness of container,
liftvan, or land conveyance for the safe
carriage of the subject-matter insured, where
loading therein is carried out prior to
attachment of the insurance or by the Assured or
their servants.
5.2 Where the insurance has
been assigned to the party claiming hereunder
who has bought or agreed to buy the
subject-matter insured in good faith under a
binding contract, exclusion 5.1.1 above shall
not apply.
5.3 The Underwriters waive any
breach of the implied warranties of
seaworthiness of the ship and fitness of the
ship to carry the subject-matter insured to
destination. |
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6. - War Exclusion Clause |
6. In no
case shall this insurance cover loss damage or
expense caused by
6.1 war
civil war revolution rebellion insurrection, or
civil strife arising therefrom, or any hostile
act by or against a belligerent power
6.2
capture seizure arrest restraint or detainment
(piracy excepted), and the consequences thereof
or any attempt thereat
6.3
derelict mines torpedoes bombs or other derelict
weapons of war. |
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7. -
Strikes Exclusion Clause |
7. In no
case shall this insurance cover loss damage or
expense
7.1 caused
by strikers, locked-out workmen, or persons
taking part in labour disturbances, riots or
civil commotions
7.2
resulting from strikes, lock-outs, labour
disturbances, riots or civil commotions
7.3 caused
by any terrorist or any person acting from a
political motive. |
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DURATION |
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8. -
Transit Clause |
8.1 This
insurance attaches from the time
8.1.1 the
goods pass into the cooling and/or freezing
chambers of the works at the place named herein,
provided that the period in such chambers prior
to shipment on board the overseas vessel shall
not exceed 60 days unless prompt notice be given
to Underwriters and an additional premium paid
for each further period of 30 days or part
thereof
8.1.2 the
goods are loaded into the conveyance at the
freezing works or cold store at the place named
herein for the commencement of the transit.
8.1.3 of
loading of the goods into the overseas vessel
8.2 This
insurance continues during the ordinary course
of transit to and whilst in
8.2.1 cold
store at the destination names herein
or
8.2.2 any
other cold store which the Assured elect to use
following the discharge of the goods from the
overseas vessel at the port of discharge either
8.2.2.1 for
storage other than in the ordinary course of
transit, or
8.2.2.2 for
allocation or distribution
8.3 This
insurance terminates
8.3.1 for
transit to a destination in the Continent of
Europe (including Eire and the United Kingdom),
USA, or Canada on the expiry of 30 days
8.3.2 for
transit to a destination elsewhere on the expiry
of 5 days
after final
discharge of the goods from the overseas vessel
at the port of discharge.
8.4 Any
disposal of the goods other than by storage as
in 8.2.1 or 8.2.2 above (except with the prior
consent of the Underwriters) or any removal from
cold store before the expiry of the relevant
period in 8.3.1 or 8.3.2 above shall terminate
the insurance on such goods.
8.5 If, after
discharge overside from the overseas vessel at
the final port of discharge, but prior to the
termination of this insurance, the goods are to
be forwarded to a destination other than that to
which they are insured hereunder, this
insurance, whilst remaining subject to
termination as provided for above, shall not
extend beyond the commencement of transit to
such other destination.
8.6 This
insurance shall remain in force (subject to
termination as provided for above and to the
provisions of Clause 9 below) during delay
beyond the control of the Assured, any
deviation, forced discharge, reshipment or
transhipment and during any variation of the
adventure arising from the exercise of a liberty
granted to shipowners or charterers under the
contract of affreightment. |
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9. -
Termination of Contract of Carriage Clause |
9. If owing to
circumstances beyond the control of the Assured
either the contract of carriage is terminated at
a port or place other than the destination named
therein or the transit is otherwise terminated
before delivery of the goods as provided for in
Clause 8 above, then this insurance shall also
terminate unless prompt notice is given to
the Underwriters and continuation of cover is
requested when the insurance shall remain in
force, subject to an additional premium if
required by the Underwriters, either
9.1 until
the goods are sold and delivered at such port or
place, or, unless otherwise specially agreed,
until the expiry of 30 days after arrival of the
goods hereby insured at such port or place,
whichever shall first occur,
or
9.2 if the
goods are forwarded within the said period of 30
days (or any agreed extension thereof) to the
destination named herein or to any other
destination, until terminated in accordance with
the provisions of Clause 8 above. |
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10. -
Change of Voyage Clause |
10. Where,
after attachment of this insurance, the
destination is changed by the Assured, held
covered at a premium and on conditions to be
arranged subject to prompt notice being given to
the Underwriters. |
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CLAIMS |
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11. -
Insurable Interest Clause |
11.1 In
order to recover under this insurance the
Assured must have an insurable interest in the
subject-matter insured at the time of the loss.
11.2
Subject to 11.1 above, the Assured shall be
entitled to recover for insured loss occurring
during the period covered by this insurance,
notwithstanding that the loss occurred before
the contract of insurance was concluded, unless
the Assured were aware of the loss and the
Underwriters were not.
11.3 Prompt
notice of any deterioration loss or damage shall
be given to Underwriters upon first discovery
and any claim for depreciation or damage is
conditional upon Underwriters having been given
an opportunity to inspect such depreciation or
damage before termination of the insurance. |
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12. -
Forwarding Charges Clause |
12. Where,
as a result of the operation of a risk covered
by this insurance, the insured transit is
terminated at a port or place other than that to
which the subject-matter is covered under this
insurance, the Underwriters will reimburse the
Assured for any extra charges properly and
reasonably incurred in unloading storing and
forwarding the subject-matter to the destination
to which it is insured hereunder.
This Clause
12, which does not apply to general average or
salvage charges, shall be subject to the
exclusions contained in Clauses 4, 5, 6 and 7
above, and shall not include charges arising
from the fault negligence insolvency or
financial default of the Assured or their
servants. |
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13. -
Constructive Total Loss Clause |
13. No
claim for Constructive Total Loss shall be
recoverable hereunder unless the subject-matter
insured is reasonably abandoned either on
account of its actual total loss appearing to be
unavoidable or because the cost of recovering,
reconditioning and forwarding the subject-matter
to the destination to which it is insured would
exceed its value on arrival. |
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14. -
Adjustment Clause |
14 Should
the subject-matter insured or any part thereof
not be shipped any claim in respect thereto
shall be adjusted on the basis of its insured
value less, where included, freight, duty, and
all charges not incurred. |
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15. -
Increased Value Clause |
15.1 If any
Increased Value insurance is effected by the
Assured on the cargo insured herein the agreed
value of the cargo shall be deemed to be
increased to the total amount insured under this
insurance and all Increased Value insurances
covering the loss, and liability under this
insurance shall be in such proportion as the sum
insured herein bears to such total amount
insured.
In the event
of claim the Assured shall provide the
Underwriters with evidence of the amounts
insured under all other insurances.
15.2 Where
this insurance is on Increased Value the
following clause shall apply:
The agreed
value of the cargo shall be deemed to be equal
to the total amount insured under the primary
insurance and all Increased Value insurances
covering the loss and effected on the cargo by
the Assured, and liability under this insurance
shall be in such proportion as the sum insured
herein bears to such total amount insured.
In the event
of claim the Assured shall provide the
Underwriters with evidence of the amounts
insured under all other insurances. |
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BENEFIT OF INSURANCE |
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16. -
Not to Inure Clause |
16 This insurance shall not
inure to the benefit of the carrier or other
bailee. |
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MINIMISING LOSSES |
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17. - Duty of Assured Clause |
17 It is the duty of the
Assured and their servants and agents in respect
of loss recoverable hereunder
17.1 to take such measures as
may be reasonable for the purpose of averting or
minimising such loss, and
17.2 to ensure that all rights
against carriers, bailees or other third parties
are properly preserved and exercised and the
Underwriters will, in addition to any loss
recoverable hereunder, reimburse the Assured for
any charges properly and reasonably incurred in
pursuance of these duties. |
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18. -
Waiver Clause |
18 Measures taken by the
Assured or the Underwriters with the object of
saving, protecting or recovering the
subject-matter insured shall not be considered
as a waiver or acceptance of abandonment or
otherwise prejudice the rights of either party. |
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AVOIDANCE OF DELAY |
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19. -
Reasonable Despatch Clause |
19 It is a condition of this
insurance that the Assured shall act with
reasonable despatch in all circumstances within
their control. |
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NOTE:- It is necessary
for the Assured when they become aware of an
event which is "held covered" under this
insurance to give prompt notice to the
Underwriters and the right to such cover is
dependent upon compliance with this obligation. |
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SPECIAL NOTE: -
This insurance
does not cover loss damage or expense caused by
embargo, or by rejection prohibition or
detention by the government of the country of
import or their agencies or departments, but
does not exclude loss of or damage to the
subject-matter insured caused by risks insured
hereunder and sustained prior to any such
embargo rejection prohibition or detention.
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1/1/86
CL324 © Copyright The Institute of London
Underwriters |
