Cargo Rates International LLC

** Please note that Cargo Rates International LLC takes no legal or financial
responsibility for the use, content, or accuracy of information provided. It is the
responsibility of the company or individual using information to verify accuracy of
information.)

Reasons Importer or Exporter should consider insurance.

•       In general unless specifically stated freight quotes do not include insurance unless asked for in writing.
•
The reason to consider insurance is :       Protection

The following financial exposures that make up the “Insured Value” of a shipment can be covered through
transit insurance:

•         Cost of the goods.
•         Cost of insurance paid to cover the goods.
•         Cost of the freight and related charges.
Plus 10% to address unforeseen expenses that can arise if a loss occurs.

Some Key Points about insurance:
•        Transportation companies limit their liability.
•        In certain cases transportation companies have no liability at all.
¨        Acts of God.
¨        Acts of War.
¨        Strikes or riots
¨        Clean Delivery Receipt

Please note that all transportation carriers limit their liability to amounts that simply won’t
Cover the full financial exposures involved with your shipment. For Example.

•        Domestic Transportation: Carriers limit can be as low as $.50 cents per LB.
•        International Air Carries Liability limit is $20.00 per Kilo.
•        International Ocean Carriers limit is $500 per shipping unit.

•
•        If you purchase insurance locally- You will deal with a local representative if there is a Claim – Not
some person in another country.

One reason why you should purchase insurance. You will reduce man-hours spent in processing insurance
paper work and claims processing.

What does All risk Insurance cover?
•        Physical loss or damage to the cargo
•        Water Damage
•        Contact with other cargo
•        Hook damage
•        Theft
•        Pilferage
•        Leakage
•        Steam of hold
•        Breakage
•        General Average
•        Non-delivery

PLEASE FIND THE FOLLOWING EXAMPLE PROCEDURES FOR FILING A DAMAGE CLAIM:

*** When cargo is received Importer must check all cargo for good order before signing
delivery receipt in good order - ** You must not on the delivery documentation
damage to cargo at the time it is delivered on the truckers/ Draymen's paperwork
and have copy. If cargo is signed clean it is very hard to file claim.

1) NOTIFICATION OF INTENT TO FILE CLAIM NEEDS TO BE SUBMITTED IMMEDIATELY
TO THE CARRIER IN WRITING. ( With In 24 hours and cargo can not be processed move or be used to
utilized.)

        IT IS VERY IMPORTANT THAT ANY CLAIM BE SUBMITTED IMMEDIATELY UPON
RECEIPT OF CARGO.       (Same Day)

Claimant needs to Submit:

1) CLAIM LETTER filed against carrier/( Shipping company that moved cargo.)
2) Carrier’s Reply
3) Confirmation of short/non-delivery from carrier
4) Original Insurance Cert or declaration
5) Copies all original bills of ladings
6) Copies of all delivery receipts with proper exceptions noted.
(SHOWING CARGO SIGNED FOR AS RECEIVED DAMAGED.)
7) COMMERCIAL INVOICE
8) Copy Packing List
9) Copy Shipper’s Commercial Invoice
12) Duty Consumption Entry Copy of Custom Form 5931 for Return on duty
13) PICTURES OF CARGO
14) ESTIMATION OF VALUE OF DAMAGE
15) Original Survey PROFESSIONAL Surveyor's ESTIMATE OF DAMAGE
16) Assurers’s Statement of Claim (including repair if any)

**** DUE TO THE COST OF THE SURVEYOR, It is recommended DETERMINING IF THE VALUE
OF THE DAMAGED GOODS IS WORTH FILING A CLAIM.

** All freight bills must be paid to carrier before claim will be processed or paid if claim is approved.

** Special Insurance requests must be made by forwarder for below circumstances.

Non-Approved Areas in advanced for purchasing insurance).
Former Soviet Block Countries, Armenia, Belarus, Kazakhstan, Moldova, Russia, Tajikstan
Turkmenistan, The Ukraine and Uzbekistan. Nigeria, Cuba, Cambodia, Vietnam, Libya, North
Korea, Iran and Iraq and those countries which the government of the United States forbids
trade if different from the above.

Non-Approved General Cargo
Used goods, Works of Art, Jewelry, Precious Metals, Currency, Valuable Papers, Antiques,
Glass, Ceramics, Marble, Fresh or Frozen Foods, Perishable Goods, Furs, Confectionery, Live
Animals, Bulk Commodities, Dangerous goods, Nuclear fuels.