Frequently Asked Questions

• Q.

  How can I prevent a claim

  • It is shipper&s responsibility to adhere to commonly packaging related issues. Most of the goods are lost due to improper labeling. All your packages must have address labels with full details of To & From and numbered as 1 of 5, 2 of 5.... and sealed properly. And most of the damages are caused due to using poor quality box/carton packaging material. The material used for packaging must be able rated to handle the weight & the adequate cushioning material used for the weight of item being shipped. These reasons could become a reason of denial of claim by insurance company.
• Q.

  Why should I buy Insurance ?

  • To protect your investment from damages & losses caused during the time your goods are in transit from seller to buyer's location
• Q.

  Can I protect only partial shipment or few items in my shipment instead of buying insurance for full shipment ?

  • You must buy insurance for the full shipment. If you wish, you may list low or zero value for the cartons in your invoice/packing list and appropriate value for the items you wish to insure but make sure that list is provided to the provider. Items which has value will only be considered for damage/loss.
• Q.

  What if I don't take insurance for my shipment !

  • Each vendor in USA has a limited liability coverage which is different than insurance. Generally it is not covering limited amount which is not enough to recover the actual or replacement value of your goods. As an example for ocean shipments, AIR 7 SEAS provide $500 per piece (as shown in No.column of Bill of Lading) for general cargo but for Household Personal & Used goods, it is a released value to $0.10/Lb
• Q.

  What value should I protect under insurance to cover my goods !

  • Generally for Commercial goods, CIF/CNF value + 10% is protected for insurance. This gives 10% over your Invoice to cover additional expenses, time & efforts you go through to get reimbursment from the insurance company. For professionally packed Household Personal goods, it is the replacement value which you find will cover the loss/damage.
• Q.

  How do I cover the risk of item which is a set and if any part is damage, the whole set
  is useless !

  • Pairs & Sets Clause states - 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. For commodities other than Household Personal Goods, one can request to add the coverage.
• Q.

  What if don't provide a valuation by package rather a total value of the whole shipment !

  • In such case, the valuation is averaged by insurance company equally into the number of packages
• Q.

  How do I make the list of items for insurance ?

  • Make the list by Carton/Package#s with content and value on a spreadsheet with your Name & address shown above preferably to fit on one page. It is not safe to write contents on the box.
• Q.

  What if I buy insurance for less value or only for the value which just covers my cost

  • If you under-insure any claims settlement will be proportionate to the percentage of under-insuring. If you insure goods for half their real value, you will be reimbursed for half a claim.
• Q.

  What are ICC clauses !

  • Institute Cargo Clauses are international treaties & their wordings are accepted in most of the countries. International shipments moves across many borders, through many legal jurisdictions, using ICC Clauses lessens the chance of any misunderstandings or delays in payment in the event of a claim.
• Q.

  What is the best coverage ? ICC Clauses A

  • ICC Clauses A covers everything EXCEPT what it specifically excludes, such as War & Strikes. If you purchase ICC A, War & Strikes coverage in combination you have what is commonly referred to as Full Cover or All Risks.
• Q.

  Can ICC Clauses C be a All Risk ?

  • No. The ICC Clauses C does cover General Average and the limited ICC Clauses C does not pay for partial loss, damage or theft unless that loss was caused by the 'Named Perils. It covers nothing except what it specifically says it covers.
• Q.

  I bought cargo insurance but my personal goods were not professionally packed. What kind of protection do I have ?

  • In such a case when household personal & used goods are self packed, coverage is considered to be a Basic Risk coverage
• Q.

  How do I cover my goods when I need them to be stored before or after the transportation !

  • You can request a rider to cover your goods when stored with the carrier transporting your goods. Goods has to be packed as ready to go and the insurance premium is paid in advance for the estimated storage time. Normal storage while goods are being prepared for shipment or waiting for ship/airplane are already covered in your regular cargo insurance.
• Q.

  How much time do I have to present the documents in support to my claim ?

  • Generally, upto 30 days are considered enough time to accumulate the required documents but it is not extending the time bar of the vendor.
• Q.

  How much time it takes to get reimbursed from the insurance company ?

  • Generally, from the time all supporting documents submitted, it takes about 30 days to get the payment from insurance company.
• Q.

  Does it matter who is arranging or how is the shipping of my goods which I wish to insure !

  • It does not matter who is moving your shipment, you can get cargo insurance coverage for any licensed carrier. It doesn't matter if your shipment is moving by boat, plane, truck or train. You can get coverage for any transit including shipments with multiple modes of transport.
• Q.

  Who is responsible to pay under the insurance and how do I go about claiming

  • Claims are submitted to insurance company and they pay after collecting all required documents & answers they need. We are an agent for them and provide you their policy, c

• Q.

  How do I file a claim to get compensated for my loss from the damaged/lost goods !

  • Please initiate your claim by filling in the simple form by clicking on the Claim tab
• Q.

  What if I am late in payment of the premium for insurance !

  • Insurance is only covered if the premium is paid. If you are late but shipment is still in transit, at the discretion of AIR 7 SEAS you could still have the coverage. After the arrival of the shipment, your goods are not covered.
• Q.

  Do I have insurance coverage if I paid for insurance but I don't have the certificate or confirmation !

  • Yes, as long as you have paid the premium as listed on the invoice, you are covered and proof can always be obtained by a request.
• Q.

  Why there is a fee to entertain a cargo claim ?

  • The charges collected from you were for shipment and related services only. The claim process is a service by itself and it takes time, a knowledgeable person, specific procedures & communication with Insurance company & vendors. We do assist to initiate the claim but to follow thru and finish the process, there is a nominal fee to be charged to the beneficiary, paid to us in advance since the reimbursement payment from the insurance company is released directly to the beneficiary. Our service fee is to file the claim only and not a guarantee of an approval or reimbursement from the Vendors/Insurance company.
• Q.

  What is the most important document I need in order to prove my claim is valid

  • The receipt of goods you sign at the time of accepting the goods and that must state the exception you noticed
• Q.

  What if the receipt shows no exceptions, can I still expect to get reimbursed !

  • Yes, as long as there are other ways you to prove that the goods were damaged during transportation & not before or after.
• Q.

  What are the supporting documents generally needed by insurance company !

  • To determine basis of amount to claim to file the Formal Claim, following documents are mostly required (but not limited to) for any claim -
    
    a) Proof of damage: Any document from the carrier or their agent showing exceptions i.e. Delivery Receipt you signed upon receipt of goods.
    b) Proof of Insurance: If insured, original insurance certificate/receipt showing premium paid.
    c) Value of Goods: Commercial Invoice, List of inventory with values etc.
    d) Transportation Document: Air Waybill, Bill of Lading etc.
    e) Value on damages: The amount, how determined and supporting documents
    f) Estimate of repair: Needed only if partial loss. Estimate to repair damages (normally 2 reqrd)
    g) Photographs: If available
• Q.

  When will I be late in filing a cargo damage/loss claim ?

  • Every vendor has a time baring clause under their conditions so it is suggested to expedite the process to meet the time limitations, if any. Otherwise claim will be denied just because you are late in filing therefor it is suggested that you file the claim immediately after finding the loss/damage. Placing vendor a notice does not extend the time bar. Most of the insurance companies give 30 days to file the claim.
• Q.

  Should I get the damaged surveyed ?

  • Each party have rights to hire their own surveyors depending on the situation and the extent of loss. Any local independent surveying company could be hired.

• Q.

  What is most important document required to claim damages

  • The receipt of goods you signed while receiving your shipment because it shows the exceptions & conditions.
• Q.

  Are delays in transit covered in the insurance I bought ?

  • No, the delays are not covered under the cargo insurance policy. Insurance to cover delays is generally for the goods such as Perishable, Project cargo when delays may cause loss in value of goods and that can be requested separately.
• Q.

  Am I protected in insurance from concealed damages ?

  • Yes, only if you can prove that goods packed were in good/working condition and damage to them can only occur while in transit & not caused due to poor packaging/marking.
• Q.

  What are my option if I am late in requesting or left blank the box asking to cover the insurance !

  • You could request the insurance to cover your goods as long as they are in transit & they have not yet been damaged/lost.
• Q.

  I insured my goods but didn't provide the Packing List/Invoice at the time of shipment. Can I claim the amount with late presentation ?

  • Yes, you can still claim for damages/losses but they will be averaged and not valued as you broken down on your late presentation.
• Q.

  Why Household Personal & Used goods generally have limitations even in All Risk coverage !

  • Insurance company normally place a deductible for these items to avoid small amount of claims and place the limitations such as Scratch, Dents etc. which are difficult to prove that they occur during transportation.
• Q.

  What is a concealed damage ?

  • When the goods are found damaged inside the carton but the carton had no visible damage or sign of manupelation
• Q.

  Can a cargo claim be filed on the Vendor and Insurance company !

  • No, it is against the law to file claim &/or get compensated by more than one party. Primary insurance coverage comes first in the event of a loss, regardless of the carriers liability or their terms and conditions and you can protect your shipment for it's actual Full declared value.