Compilation: Dr. Amirhossein Al-Daghi
Nowadays, insurance is offered in different companies, and its costs and the coverage provided by insurance companies are different according to the declared value of the goods, the type of means of transportation, and the route of transportation.
Cargo insurance is a subset of property insurance. This means that the rules and principles of property insurance govern the provision and issuance of this insurance policy.
Types of transport insurance
Transportation insurance can be classified into the following groups from the point of view of the route of origin and destination, as well as the responsibility of the carrier:
Classification of transport insurance based on the route of transport:
Air, land, rail and sea
Classification of transport insurance based on origin and destination:
Internal, external, transit
Classification of transport insurance based on the responsibility of the carrier:
Carrier liability insurance
Domestic transport insurance policy
In this type of insurance policy, the insured item is covered by insurance against risks caused by vehicle fire, accident and overturning of the vehicle, etc., depending on the case.
Liability insurance policy for domestic transport companies
Domestic transport companies and institutions, based on the trade law and other relevant regulations, are obliged to deliver the products sent by the senders and owners of the goods to their destinations. Due to the development of cities and the increasing progress of industry, technology in the present era and the increase in the value of goods, the responsibility of transport companies has also increased. Compensation for the economic effects of various risks on intercity roads, such as accidents, overturnings, fires, etc., is part of the responsibility of transportation institutions. In case of occurrence of any of the mentioned risks, a heavy responsibility will be created, which will not be easily compensated for the transport companies. With this insurance policy, companies and transport institutions can carry out the transportation of goods with ease while exercising the necessary care, and hand over the responsibility of damage caused to the transported products(which happened as a result of insured risks) to Asmari Insurance.
The liability insurance policy of domestic transport companies is arranged as an annual contract and the premium rate is also low.
International transport insurance (export and import):
This type of insurance includes all types of export, import, and transit cargo. In international transportation, the insurance policy is issued based on the standard conditions of the Institute of London Insurers and is approved by insurers and legal authorities of most countries.
Imported transport insurance
Imported cargo insurance policies include almost 90% of the total volume and portfolio of cargo insurances. This insurance policy supports the risks that threaten the goods purchased by Iranian companies and businessmen from different countries of the world. This coverage is from the country of origin of the country where the goods were purchased to the destination of the insured’s warehouse. This insurance policy is one of the documents required to open credit in banks and its purpose is to protect the interests of traders and importers and ultimately to protect national interests.
Export transport insurance
Considering the importance of the issue of non-oil exports in the country and the value that the government of Iran places on encouraging exporters, this insurance policy is provided to support the exporters and ultimately to protect the national interests to exporters, so that the goods exported from our country to the destination country are covered by “the country to which the goods are exported”.
Export insurance policies are the same as import insurance policies, so the initial proposal form and the export insurance form are exactly the same as the import insurance form, and all the things mentioned in the subject of import insurance are also true for export insurance. Only in export cargo insurance, the origin of the shipment is one of the cities of Iran and the destination is one of the foreign countries.
Freight and transit insurance
The origin and destination of some shipments are outside of Iran, and Iran may also be on the way. Insurance policies related to these types of shipments are called transit insurance policies, and the rates and terms of export insurance policies are used for them.
What is air insurance?
Aircraft insurance is a subset of property insurance. The coverage required by insurers against risks related to aircraft is called aircraft insurance. In fact, body insurance and liability insurance are considered for things such as: maintenance, sale, ownership and repair.
In case of an accident for the plane, you can easily use the plane insurance like the car insurance and compensate the damages. Sometimes the plane and the dangers of flying have their own problems, which can be reduced by having a support.
Also, the catastrophic risks of the plane are usually associated with bodily and life injuries of passengers and financial losses. Considering that the airplane is made of thousands of different parts, this increases the complexity and it is enough for one of these parts to not work properly and cause irreparable damage.
Land Transportation Insurance
Goods transportation insurance is complementary to marine transportation insurance and has similar insurance coverages. Many risks threaten the transportation of goods on land, such as vehicle accidents, fire, etc.
Covered risks
* If the product is damaged due to the occurrence of insured events and needs to be repaired or replaced, the insurer will compensate the damage and repair and replace the damaged parts, provided that the total costs don’t exceed the insured amount.
*Deficit of goods is not covered by insurance, unless this deficit is caused by the realization of the insured risk.
* There are special provisions for paying damages for goods that are in pairs or series, the damages are not paid proportionally; Rather, much more than the lost price must be paid.
* In case of breakage of the insured product, the insurer agrees that the broken parts will be cut and the healthy parts will be used by the insured and the damage will be paid in the same proportion.
Exceptions
* If the military, law enforcement and customs institutions seize and impound the goods that are prohibited to carry and are considered contraband.
*Inherent product defect
*Delay in sending and economic effects and lack of profit
*Dangers of loading and unloading goods that each unit weighs more than a certain amount.
* Damages of breakage and denting
*Damage caused by rust, oxidation and discoloration
* Damages caused by radioactive and nuclear energy
*Damage caused by various hazards such as floods, earthquakes, storms, etc.
Rail transport insurance
Currently, there are two types of physical risk and investment in rail transport insurance. In explaining these two types of risk, it can be said that physical risk includes damages that can be caused to railway lines, passengers, third parties and the locomotive itself or its wagons.
Insurance coverage for the railway network, locomotive or any device that travels along the railway lines has its own conditions and framework and can be insured after risk assessment.
Marine insurance
Marine insurance covers accidental and unforeseeable damage, including accidental collision of a ship with another ship, damage caused by fire at sea, dumping of goods overboard to save the ship, provided that this dumping is not due to spoilage.
It is important to note that marine insurance only covers accidental damage and does not cover damage caused by natural wear and tear of the ship, inherent defects of the goods such as rusted irons.
The insurance validity period for goods transported by sea is valid for 60 days from the time the goods are unloaded from the ship at the destination port of the insurance policy.
Documents required to receive damages from the insurance company
original bill of lading
The original invoice of the purchased item
Form of baling or packaging of goods
Deduction certificate from the shipping company
The process verbal of Ports and Shipping Organization and customs (in the case of cargo sinking, the ship captain’s certificate is necessary)
The process verbal of the expert council of the insurance company
Photocopy of customs green permit
Photocopy of currency sale notice
Production insurance premium (billion Rials): 1153425.42
Number of insurances issued (paragraph): 66,727,164
Paid damages (billions of Rials): 652,130,794
Number of damages paid (items): 51,131,392
Earned insurance premiums (billions of Rials): 856,639.2
Realized damage (billion Rials): 712,526.3
Damage coefficient (percentage): 83.1725