The complete cargo insurance solution
Every business that makes or trades physical products needs some form of cargo insurance, yet all too often importers and exporters tell their brokers that they’ve already got it covered.
When their storage and distribution needs are catered for by commercial combined policies, many businesses simply relinquish control of the insurance of imports and exports, leaving it to suppliers or freight forwarders.
Our specialist underwriters help brokers to explain the pitfalls of this approach, securing better insurance cover for their clients business while also saving them money. Further benefits are achieved by packaging the import, export, storage, and distribution risks into one ‘stock throughput’ policy.
Where exporters need certificates of insurance to comply with Incoterms requirements, particularly where ‘Letters of Credit’ are involved, our online NMU Certs system gives them the ability to produce electronic certificates in-house.
Who needs cargo insurance?
Cargo insurance is required by any business that manufactures or buys or sells finished products, components or raw materials.
What does cargo insurance cover?
Cargo insurance typically covers all risks of physical loss of or damage to goods during transit, imports, exports and domestic carriage, including any incidental storage. Storage outside the ordinary course of transit can be added as an extension to a cargo insurance policy.
Are there any geographical restrictions?
Cargo insurance is generally available to or from ports or places worldwide; however
- terms and conditions may vary for countries where there are higher than normal risks of war or terrorism;
- cover may not be available where trade is subject to international sanctions;
- cover may not be available for the inland leg to or from the port in countries where the infrastructure is poor or where there is an unacceptable theft risk;
- some countries require insurance to be placed locally or restrict the terms of sale or purchase (Incoterm) that can be used.
What should buyers look out for?
Problems sometimes arise where buyers or sellers don’t arrange their own insurance, relying instead on:
- their suppliers or customers arranging cargo insurance, or
- a freight forwarder arranging insurance for them.
Those who think that carriers will pay for loss or damage may be surprised that contracts of carriage, generally limit the liability of the carrier and can exclude it altogether in circumstances beyond their control…Read more
Fast Track Claims
We recognise the importance of enabling our policyholders to resume their operations and manage day-to-day business as quickly as possible after a loss. To speed up the claims process, Fast Track allows small losses to be submitted via a simple web form.
Losses submitted via NMU Fast Track Claims:
- don’t normally require formal supportive documentation,
- are handled by a dedicated in-house team of experts to process settlement, and
- paid directly via BACS within 72 working hours, if the criteria are met
NMU Cargo policyholders can submit claims of GBP2,500 or less (before application of any deductible) via Fast Track Claims.
BSI supply chain analysis
Our collaboration with BSI Supply Chain Services and Solutions enables brokers to further support NMU policyholders and, through leveraging the consultative partnership, to better understand clients’ supply chain risks to address potential areas of vulnerability…Read more
For more information about Cargo Insurance, contact your local NMU Development Underwriter.