A recent occurrence has inspired us to remind clients of the importance of knowing the specifics of their insurance policy.
Our Melbourne Ocean Freight Services team recently received a shipment from Milan that was shipped on a CIF (Cost Insurance Freight) basis – meaning the shipper paid the origin charges, freight and insurance.
Photo of Port Melbourne
A few days out from delivery the client contacted us, requesting we organise insurance cover from the Port of Melbourne to the delivery address in Campbellfield – within the 25km radius of the wharf. Based on experience, the first reaction of ICE staff was to advise that marine insurance is generally door-to-door, meaning there should be no need for further insurance. However, as it never hurts to check, a copy of the insurance certificate was requested so that we could verify the specifics of the cover.
Our marine insurance agent – who was also of the opinion that it was highly unlikely that the cover would only be to the Port – looked in to the matter only to discover that the cover was indeed only to the Port of Melbourne. While it was certainly possible to organise a new insurance policy to cover the delivery, if a claim did need to be made it would be impossible to determine at which stage of the journey the damage occurred – at sea or during delivery.
Fortunately we were able to have the cover extended to the delivery address – a successful outcome for all involved.
There is, however, a good lesson to be learnt – it’s imperative to know the specifics of your insurance cover and to ensure your cargo is covered all of the way to its final delivery address. The best way to achieve this is to organise insurance locally, where ICE staff are able to more closely control the process.
When in doubt, talk to ICE. Our staff have both the experience and the tenacity required to ensure a positive international freight forwarding experience. Our personalised service is what sets us apart from the competition and assures you of a successful outcome every time.
