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Household Goods Conditions

BASIS OF VALUATION

   It is agreed that the basis of valuation for the purpose of this Open Cover shall be the value declared for insurance, but in no case shall the valuation exceed CIF + 30% unless prior written consent of the Insurer is given. In the event of declaration after loss or arrival, the basis of valuation will be CIF + 10% only.

     Also to pay increased value by reason of Duty, Excise, Surcharge and/or Landing and similar charges, if incurred in anticipation of arrival and provided declared to and accepted by Insurers. The Insured agrees to take all reasonable steps to obtain a refund of such charges and return the net amount to Insurers.

INSURING TERMS
     Institute Cargo Clauses (A) CL 252 dated 1.1.82 and/or Institute Cargo Clauses (Air) CL 259 dated 1.1.82 as applicable.
     Institute War Clauses (Cargo) CL 255 dated 1.1.82 and/or Institute War Clauses (Air Cargo) CL 258 dated 1.1.82 as applicable.
     Institute Strikes Clauses (Cargo) CL 256 dated 1.1.82 and/or Institute Strikes Clauses (Air Cargo) CL 260 dated 1.1.82 as applicable.

Please note that cover in respect of War and Strikes is not automatic for all transits. For details, please refer to the Country Lists on this site: click here

REPLACEMENT CLAUSE
     Subject to the Institute Replacement Clause CL 161 dated 1.1.34 and/or the Secondhand Replacement Clause as below, as applicable.

SECONDHAND REPLACEMENT CLAUSE

     In the event of a claim for loss of or damage to any part or parts of the interest insured, in consequence of a peril covered by the policy, the amount recoverable hereunder shall not exceed such proportion of the cost of replacement of the part or parts lost or damaged as the insured value bears to the value of a new machine plus additional charges for forwarding and refitting the new part or parts if incurred. Provided always that in no case shall the liability of Underwriters exceed the insured value of the complete article.

INSTITUTE CLASSIFICATION CLAUSE

     This insurance is subject to the Institute Classification Clause CL 354 dated 1.1.2001

INSTITUTE CHEMICAL, BIOLOGICAL, BIO-CHEMICAL, ELECTROMAGNETIC WEAPONS AND CYBER ATTACK EXCLUSION CLAUSE – AMENDED
     Notwithstanding any coverage for terrorism given under this policy,

In no case shall this insurance cover loss damage liability or expense directly or indirectly caused by or contributed to by or arising from

     1.1 any chemical, biological, bio-chemical or electromagnetic weapon

     1.2 the use or operation, as a means for inflicting harm, of any computer, computer system, computer software programme, computer virus or process or any other electronic system

INSTITUTE EXTENDED RADIOACTIVE CONTAMINATON EXCLUSION CLAUSE
     This clause shall be paramount and shall override anything contained in this insurance inconsistent therewith.

     In no case shall this insurance cover loss damage liability or expense directly or indirectly caused by or contributed to by or arising from

     1.1 ionising radiations from or contamination by radioactivity from any nuclear fuel or from any nuclear waste or from the combustion of nuclear fuel

     1.2 the radioactive, toxic, explosive or other hazardous or contaminating properties of any nuclear installation, reactor or other nuclear assembly or nuclear component thereof

     1.3 any weapon or device employing atomic or nuclear fission and/or fusion or other like reaction or radioactive force or matter

     1.4 the radioactive, toxic, explosive or other hazardous or contaminating properties of any radioactive matter. The exclusion in this sub-clause does not extend to radioactive isotopes, other than nuclear fuel, when such isotopes are being prepared, carried, stored, or used for commercial, agricultural, medical, scientific or other similar peaceful purposes.

NON CONTRIBUTION CLAUSE

     This insurance does not cover any loss or damage which at the time of happening of such loss or damage is insured by or would but for the existence of this Policy, be insured by any other existing Policy or Policies except in respect of any excess beyond the amount which would have been payable under such other Policy or Policies had this Insurance not been effected.

UNPACKED / UNPROTECTED ITEMS

     Excluding Rust, Oxidisation, Discoloration, Wetting, Staining, Scratching, Bruising, Chipping, Denting, Marring and the Cost of Repainting as applicable.

ITEMS IN NON- WATERPROOF CRATES OR PACKAGING

     Excluding Rust, Oxidisation, Discoloration, Wetting, Staining and the Cost of Repainting as applicable.

USED GOODS 

     Unless otherwise agreed with Insurers prior to the commencement of transit, the Institute Cargo Clauses (A) or the Institute Cargo Clauses (Air) are deleted and replaced to the Institute Cargo Clauses (C). Subject also to the Secondhand Replacement Clause as above.

RECONDITIONED GOODS
     RECONDITIONED and / or REFURBISHED USED GOODS Warranted that the Interest insured is fully refurbished / reconditioned to a new standard. Excluding Rust, Oxidisation, Discoloration, Wetting, Staining, Scratching, Bruising Chipping, Denting, Marring and the Cost of Repainting as applicable unless caused by an Insured peril. Subject to the Secondhand Replacement Clause as above.

ELECTRICAL AND MECHANICAL DERANGEMENT

     Excluding loss or damage due to mechanical, electrical or electronic breakdown or derangement unless caused by a peril insured against under the terms of this policy and there is evidence of an external damage.

PAIRS AND SETS CLAUSE

     Where any insured item consists of articles in a pair or set this policy is not to pay more than the value of any particular part or parts which may be lost without reference to any special value which such article or articles may have as part of such pair or set, nor more than a proportionate part of such pair or set.

PROCESS CLAUSE

     Excluding loss and/or damage to the subject-matter hereby insured caused by processing, errors in processing and/or as a direct result of being worked upon unless due to an external cause otherwise covered by this policy

TEMPERATURE VARIATION

     Excluding any loss, damage or change in the nature of the subject matter insured caused by variation in temperature unless caused by a peril insured under the terms of the Institute Cargo Clauses (B).

DRIED FOODSTUFFS IN BAGS & SACKS

     Excluding Heating and Sweating
     Excluding Infestation arising from weevil, grub or web
     Excluding Rejection Risks
     Excluding any Natural loss in Weight

     Warranted shipped in ventilated container(s)

GENERAL AVERAGE

     This insurance covers General Average and Salvage Charges, adjusted or determined according to the contract of affreightment and/or the governing law and practice (or, if there is no contract of affreightment, according to Foreign Statement or to York - Antwerp Rules) incurred to avoid or in connection with the avoidance of loss from any cause except those specifically excluded herefrom.
    For the purpose of Claims for General Average contributions and Salvage Charges recoverable hereunder, the subject matter insured shall be deemed to be insured for its full contributory value.
    General Average deposits shall be payable on production of General Average deposit receipts.

INSOLVENCY AMENDMENTS CLAUSE

     Exclusions 4.6 of the Institute Cargo Clause (A), Institute Cargo Clauses (B), Institute Cargo Clauses (C) and Exclusions 3.6 of the Institute War Clauses (Cargo) and the Institute Strikes Clauses (Cargo) are amended to read;

     "Loss or damage or expense caused by insolvency or financial default of the Owners, Managers, Charters or Operators of the vessel where, at the time of loading of the subject-matter insured on board the vessel, the Insured is aware, or in the ordinary course of business should be aware, that such insolvency or financial default could prevent the normal completion of the voyage.

     This exclusion shall not apply where this 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".

     This amendment applies to all goods shipped on Conference Line Vessels.

LABELS CLAUSE

    In case of damage affecting labels, capsules or wrappers the Underwriters, if liable therefore under the terms of this Policy, shall not be liable for more than an amount sufficient to pay the cost of new labels, capsules or wrappers, and the cost of reconditioning the goods, but in no event shall the insurers be liable for more than the insured value of the damaged merchandise.

CARGO I.S.M. ENDORSEMENT

     Applicable to shipments on board Ro-Ro passenger ferries.

     Applicable with effect from 1st July 1998 to shipments on board:

     (1) passenger vessels transporting more than twelve passengers, and

     (2) oil tankers, chemical tankers, gas carriers, bulk carriers and cargo high speed craft of 500 gt or more.

     Applicable with effect from 1st July 2002 to shipments on board all other cargo ships and mobile offshore drilling units of 500 gt or more.

     In no case shall this insurance cover loss, damage or expense where the subject matter insured is carried by a vessel that is not I.S.M. Code certified or whose owners or operators do not hold an I.S.M. Code Document of Compliance when, at the time of loading of the subject matter insured on board the vessel, the Assured were aware, or in the ordinary course of business should have been aware;-

     (a) Either that such vessel was not certified in accordance with the I.S.M. Code.

     (b) Or that a current Document of Compliance was not held by here owners or operators.

     as required under the SOLAS Convention 1974 as amended.

      This exclusion shall not apply where this 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.

COMPUTER MILLENNIUM EXCLUSION CLAUSE (CARGO)

     In no case shall this insurance cover any loss, damage, expense or liability of whatever nature which might otherwise be recoverable under this insurance arising out of or in any way connected with, whether directly or indirectly, the use or operation of any computer, computer system, computer software, programme, or process or any electronic system where such a loss, damage, expense or liability arises, whether directly or indirectly, as a consequence of (i) the date change to the year 2000 or any other date change and/or (ii) any change or modification of or to any such computer, computer system, computer software, programme or process or any electronic system in relation to any such date change.

CHANGE OF DESTINATION / DEVIATION / DELAY

     In case of voluntary change of destination and/or deviation and/or delay within the AssuredÂ’s control, the insured goods are held covered hereunder subject to the Assured reporting, as soon as possible, all such events to Underwriters.

     In case of short shipment in whole or part by the vessel reported for insurance hereunder, Underwriters agree to hold the Assured covered against the risks insured hereunder until arrival at the final destination to which the goods are insured or until the goods are no longer at the risk of the Assured, whichever may first occur.

DECONSOLIDATION AND UNPACKING COVERAGE

     It is hereby understood and agreed that this policy is extended to cover, subject to its terms and conditions, goods and/or merchandise which have been or will be covered under this policy for the import or export voyage owned by the Assured or held by the Assured in trust or otherwise held or sold, or on joint account with or belonging to others, and for which the Assured can be liable while temporarily customs or elsewhere while awaiting shipment consolidation, repacking and other preparations for export or entry, including storage pending commencement of transit to final insured destination, for a period of not exceeding 30 (thirty) days. Held covered beyond 30 (thirty) days at premiums to be agreed.

     This extension of coverage shall not apply to goods and/or merchandise for which a charge has been made by the Assured or his agent for temporary storage.

     The insurance afforded by this endorsement shall be excess insurance over any other valid and collectable insurance available to the insured.

RETURN SHIPMENTS CLAUSE

     This Policy of insurance is extended to cover, at Policy terms and conditions, shipments of returned goods which have not been delivered to the final consignee and which have been continuously covered hereunder, provided such goods remain in their original approved overseas packing and the Assured warrants to report all such shipments as soon as practicable after they have knowledge of the refusal.

     Shipments returned to the Assured by the consignee shall be subject to the same terms, conditions and rate under which such shipments were insured under this Policy while in transit to such consignees.

     Returned merchandise other than as defined above is insured subject to the Institute Cargo Clauses (C) CL 254 dated 1.1.82 at rates to be agreed by Underwriters.

CRAFT CLAUSE

     Including transit by craft and/or lighter to and from the vessel. Each craft and/or lighter to be deemed a separate insurance. Also to cover any special or supplementary lighterage. The Assured are not to be prejudiced by any agreement exempting lightermen from liability.

ON DECK SHIPMENTS

     For the purpose of this Policy, "On Deck" shipments in containers, shall be considered as "Under Deck" shipments. All other shipments carried "On Deck" and subject to On Deck Bill of Lading are insured subject to Institute Cargo Clauses (C) CL 254 dated 1.1.82 conditions including Jettison and Washing Overboard or as separately agreed by Underwriters.

SUE AND LABOUR CLAUSE

     In case of any imminent or actual loss or misfortune, it shall be lawful and necessary to and for the Insured, his or their factors, servants and assigns, to sue, labour and travel for, in and about the defense, safeguard and recovery of the said goods and merchandise, or any part thereof, without prejudice to this insurance, to the charges whereof, Underwriters will contribute according to the rate and quantity of the sum hereby insured; nor shall the acts of the Insured or Underwriters, in recovering, saving and preserving the property insured, in case of disaster, be considered a waiver or an acceptance of abandonment.

CONTRACT (RIGHTS OF THIRD PARTIES) ACT 1999 EXCLUSION CLAUSE

     The provisions of the Contracts (Rights of Third Parties) Act 1999 do not apply to this insurance or to any certificate(s) of insurance hereunder. Neither this nor any certificates issued hereunder confer any benefits on any third parties. No third party may enforce any term of this insurance or of any certificate issued hereunder.

     This clause shall not affect the rights of the Assured (as assignee or otherwise) or the rights of any loss payee.

DELIBERATE DAMAGE POLLUTION HAZARD CLAUSE          

     This insurance is also extended to cover, but only while the subject-matter insured is on board a waterborne conveyance, loss of or damage to said property directly caused by governmental authorities acting for the public welfare to prevent or mitigate a pollution hazard or threat thereof, provided that the accident or occurrence creating the situation which required such governmental action would have resulted in a recoverable claim under the Policy (subject to all of its terms, conditions and warranties) if the property insured would have sustained physical loss or damage as a direct result of such accident or occurrence.

     This clause shall not increase the Limits of Liability provided for elsewhere herein.

OTHER INSURANCE

     In the event that the Assured shall also have placed specific insurance at any location covered hereunder, this insurance shall only be held for the excess amount of loss over that which shall be collectible from other insurance.

WAREHOUSING/ FORWARDING CHARGES

     Notwithstanding any average warranty contained herein, Underwriters agree to pay any landing, warehousing, forwarding or other expenses and/or particular charges should same be incurred, as well as any partial loss arising from transhipment. Also to pay the insured value of any package, piece or unit totally lost in loading, transhipment and/or discharge.

     Also to pay for any loss or damage to the interest insured which may be reasonably attributed to discharge of cargo at port of distress.

LETTERS OF CREDIT CLAUSE

     Where the Assured is obliged to arrange insurance in accordance with any instructions contained in a Letter of Credit such cover is granted hereunder, provided it does not exceed the existing provisions of this contract wording or held covered at a premium to be agreed.

     Notwithstanding the above and irrespective of the Letter of Credit requirements the interest of the Assured named herein shall always be protected hereunder against all the risks covered by this contract wording.

SOUTH AFRICA INLAND TRANSIT DEDUCTIBLE CLAUSE

     Any transit within South Africa is subject to a 10% of shipment value deductible in respect of hijack losses.

COLUMBIA INLAND TRANSIT DEDUCTIBLE CLAUSE

     Any transit within Columbia is subject to a 10% of shipment value deductible in respect of theft pilferage hijack or any attempt thereat, shortage or non delivery.

CERTIFICATE CLAUSE

     Notwithstanding the conditions of this contract, it is agreed that certificates and/or policies may be issued hereunder to the Assured to comply with the insurance requirements of any letter of credit and/or sales contract concerned, provided the cover required is not wider than that provided by the current contract wording. In the event that wider coverage is required, prior agreement of Underwriters is to be obtained at an additional premium to be agreed.

     If the conditions which appear on the certificate are wider than the conditions given by the wording or given by the Underwriters, the Assured remains liable for the difference between these conditions.

HELD COVERED

     It is necessary for the Insured or their Representatives or their Agents, when they become aware of an event which is held covered under this insurance, to give prompt notice to the Insurers via their representatives or agents.

SURVEY AND CLAIM SETTLEMENT

     In the event of loss or damage which may involve a claim under this policy, immediate notice of such loss or damage should be given to Underwriters or the Surveyor named in the Certificate.

When submitting a claim under this policy the following documents should be forwarded:

  1. A copy of the Certificate of Insurance (or quote the Certificate number).

  2. The Original or Copy shipping invoices, together with shipping specification and/or weight Notes.

  3. The Original bill of landing and/or Contract of Carriage.

  4. The Survey Report, or other documentary evidence to show the extent of the loss or damage.

  5. The landing account and weight notes at final destination.

  6. All correspondence exchanged with the Carriers and other parties regarding their liability for the loss or damage.

FAILURE TO COMPLY WITH THESE INSTRUCTIONS MAY PREJUDICE ANY CLAIM UNDER THIS POLICY.  

NO SURVEY CLAUSE

     No survey required on claims unlikely to exceed £1,000 or equivalent in any other currency.

LIABILITY OF CARRIERS BAILEES OR OTHER THIRD PARTIES

     It is the duty of the Assured and their Agents, in all cases, to take such measures as may be reasonable for the purpose of averting or minimising a loss to ensure that all rights against Carriers, Bailees or other third parties are properly preserved and exercised. In particular, the Assured or their Agents are required:-

     1. To claim immediately on the Carriers, Port Authorities or other Bailees for any missing package.

     2. In no circumstances, except under written protest, to give clean receipts where goods are in doubtful condition.

     3. When delivery is made by container, to ensure that the container and its seals are examined immediately by their responsible official. If the container is delivered damaged or with seals broken or missing or with seals other than stated in the shipping documents, to clause the delivery receipt accordingly and retain all defective or irregular seals for subsequent identification.

     4. To apply immediately for survey by CarriersÂ’ or other Bailees, Representatives if any loss or damage be apparent and claim on the Carriers or other Bailees for any actual loss or damage found at such survey.

     5. To give notice in writing to the Carriers or other Bailees within three days of delivery if the loss or damage was not apparent at the time of taking delivery.

Note: The Consignees or their agents are recommended to make themselves familiar with the regulations of the Port of Authorities at the port of discharge.

NOTE: FURTHER CLAIMS INFORMATION & CLAIMS PROCEDURES CAN BE FOUND UNDER THE 'CLAIMS INFORMATION" SECTION OF THIS WEBSITE LINK.

SERVICE OF SUIT CLAUSE

     This insurance is subject to the Institute Service of Suit Clause (USA) CL 355 dated 1/11/92

TERMINATION OF TRANSIT CLAUSE (TERRORISM)
     This clause shall be paramount and shall override anything contained in this insurance inconsistent therewith.
     Notwithstanding any provision to the contrary contained in this Policy or the Clauses referred to therein, it is agreed that in so far as this Policy covers loss of or damage to the subject-matter insured caused by any terrorist or any person acting from a political motive, such cover is conditional upon the subject-matter insured being in the ordinary course of transit and, in any event, SHALL TERMINATE:
     either
1.1    As per the transit clauses contained within the Policy,
     or

CARGO ISM FORWARDING CHARGES CLAUSE
     (For use only with JCC Cargo ISM Endorsement JC98/019)
     In consideration of an additional premium to be agreed, this insurance is extended to reimburse the Assured, up to the limit of the sum insured for the voyage, 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 following release of cargo from a vessel arrested or detained at or diverted to any other port or place (other than the intended port of destination) where the voyage is terminated due either
     (a)        to such vessel not being certified in accordance with the ISM Code
     Or
     (b)        to a current Document of Compliance not being held by her owners or operators
     as required under the SOLAS Convention 1974 as amended.
     This clause, which does not apply to General Average or Salvage or Salvage Charges, is subject to all other terms conditions and exclusions contained in the policy and to JCC Cargo ISM Endorsement JC 98/019.

LLOYD’S PRIVACY POLICY STATEMENT
UNDERWRITERS AT LLOYD’S of LONDON
     We, the Certain Underwriters at Lloyd’s of London that have underwritten this insurance want you to understand how we protect the confidentiality of non-public personal information we collect about you.
     INFORMATION WE COLLECT
     We collect non-public personal information about you from the following sources:
(a)            Information we receive from you on applications or other forms;
(b)            Information about your transactions with our affiliates, others or us; and
(c)            Information we receive from a consumer-reporting agency.
     INFORMATION WE DISCLOSE
     We do not disclose any non-public personal information about you to anyone except as is necessary in order to provide our products or services to you or otherwise as we are required or permitted by law (e.g., a subpoena, fraud investigation, regulatory reporting, etc.).
     CONFIDENTIALITY AND SECURITY
     We restrict access to non-public personal information about you to our employees, our affiliatesÂ’ employees or others who need to know that information to service your account.  We maintain physical, electronic, and procedural safeguards to protect your non-public personal information.
RIGHT TO ACCESS OR CORRECT YOUR PERSONAL INFORMATION
     You have a right to request access to or correction of your personal information in our possession.
     CONTACTING US
     If you have any questions about this privacy statement or would like to learn more about how we protect your privacy, please contact the agent/broker who handled this insurance.  A more detailed statement of our information privacy practices is available upon request.

Terrorism Risk Insurance Act 2002 (TRIA)
     Following recent US legislation regarding the Terrorism Risk Insurance Act 2002 (TRIA) we are obliged to inform you that in respect of transits to or from the United States of America the actual rate allocated to that of Terrorism Insurance Coverage has been included at a rate of 0.01% which represents a portion of the total transit rate including that of War and Strikes rates ruling.