service-1

Transportation

Insurance Transportation Policy

Scope of insurance subject matter

Article 1: All goods transported by road in China can be the subject of this insurance.

Article 2: The following goods are not covered by the insurance subject matter unless specifically agreed upon between the policyholder and the insurer and specified in the insurance policy (certificate): gold and silver, jewelry, diamonds, jade, jewelry, ancient coins, antiques, ancient books, paintings, stamps, artworks, rare metals, and other precious properties.

Article 3: The following goods are not within the scope of the insurance subject matter: vegetables, fruits, live livestock, poultry, fish, and other animals.

Insurance Liability

Article 4: The insurer shall be responsible for compensating for the losses and expenses of the insured goods caused by the following insurance accidents in accordance with the provisions of this clause:

(1) Fire, explosion, lightning, hail, storm, rainstorm, flood, tsunami, subsidence, cliff collapse, sudden landslide, debris flow;
(2) Due to collision, overturning, tunnel or pier collapse of transportation vehicles, or grounding, striking rocks, sinking, or collision of transportation vehicles during the lightering process;
(3) Losses caused by accidents during loading, unloading, or transshipment;
(4) The loss of goods caused by collision or compression, such as breakage, bending, indentation, breakage, or cracking;
(5) Loss of goods due to packaging breakage;
(6) The loss of leakage caused by collision or compression of liquid goods, or the loss of decay and deterioration caused by liquid leakage of goods stored in liquid;
(7) Losses caused by rain due to compliance with safety transportation regulations;
(8) In the event of the aforementioned disaster or accident, the loss of goods caused by chaos and the direct and reasonable expenses paid for rescue or protection of goods.

Exemption from Liability

Article 5: The insurer shall not be liable for compensation for the loss of the insured goods caused by the following reasons:

(1) War, hostile acts, military actions, seizures, strikes, riots, looting;
(2) Losses caused by earthquakes;
(3) Loss caused by theft or non delivery of the entire package;
(4) The loss caused by the existing poor quality or short quantity of the insured goods before the commencement of insurance liability;
(5) Loss or expense caused by natural wear and tear, essential defects, or characteristics of the insured goods;
(6) Losses caused by market price drops and transportation delays;
(7) Losses caused by the shipper's responsibility;
(8) Intentional or illegal behavior of the policyholder or insured; Article 6: The insurer shall not be liable for compensation for illegal or illegal goods recognized by relevant national departments.

Article 7: Other losses that do not fall within the scope of insurance liability.

Starting and ending of responsibility

Article 8: The starting and ending period of insurance liability shall be from the issuance of the insurance certificate, when the insured goods are transported from the last warehouse or storage location of the consignor at the place of origin, until the consignee at the destination specified on the insurance certificate is at the first warehouse or storage location in the local area. But after the insurance goods arrive at the destination, if the consignee fails to pick up the goods in a timely manner, the termination period of insurance liability shall be extended up to the insured value and insured amount when the insurance goods are unloaded from the transportation vehicle.

Article 9: The insurance value shall be determined based on the price of the goods or the price of the goods plus transportation and miscellaneous fees.

The insurance amount is determined based on the insured value, or can be negotiated and determined by both insurance parties.

Obligations of policyholders and insured persons

Article 10: If the insured fails to fulfill any of the following obligations, the insurer has the right to terminate the insurance liability or refuse to compensate for part or all of the economic losses.

Article 11: The policyholder and the insured shall fulfill the obligation of truthful disclosure and truthfully answer the inquiries raised by the insurer regarding the insurance subject matter or the relevant information of the policyholder and the insured.

Article 12: The policyholder shall pay the payable insurance premium in full at the same time as the insurer or its agent issues the insurance policy (certificate).

Article 13: The policyholder shall strictly comply with the various regulations of the state and transportation departments regarding safe transportation, and shall also accept and assist the insurer in inspecting and preventing damage to the insured goods. The transportation packaging of the goods must comply with the standards set by the state and competent departments.

Article 14: If any loss occurs to the insured goods within the scope of insurance liability, the policyholder or insured shall promptly take reasonable rescue and protection measures and notify the insurer's local agency (no later than 10 days) upon learning of it.

Compensation processing

Article 15: When applying for a claim from the insurer, the insured must provide the following relevant documents:

(1) Insurance policy (voucher), waybill (freight bill), bill of lading, invoice (price certificate);
(2) Accident visas, handover acceptance records, and appraisal certificates issued by the transportation department;
(3) The receiving unit's warehousing records, inspection reports, loss lists, and direct and reasonable expense documents paid for the rescue insurance goods;
(4) Other documents that are conducive to insurance claims.

After receiving the above-mentioned claim documents, the insurer shall promptly determine whether to compensate based on the scope of insurance liability. The compensation amount shall be paid within ten days after reaching an agreement between the insurer and the insured.

Article 16: When the insured goods suffer losses within the scope of insurance liability, if the insured amount is determined based on the insured value, the insurer shall calculate compensation based on the actual loss, but the maximum compensation amount shall be limited to the insured amount; If the insured amount is lower than the insured value, the insurer shall calculate the compensation for the loss amount and the rescue and protection expenses paid according to the ratio of the insured amount to the insured value. The compensation amount for the loss of goods by the insurer, as well as the direct and reasonable expenses paid for rescuing or protecting the goods, shall be calculated separately, and each shall not exceed the insurance amount.

Article 17: If the insured goods suffer losses within the scope of insurance liability, and according to legal provisions or relevant agreements, the carrier or other third party shall be responsible for compensating some or all of them, the insured shall first file a written claim with the carrier or other third party until the lawsuit is filed. If the insured waives the claim against a third party, the insurer shall not be liable for compensation; If the insured requests compensation from the insurer in advance, the insured shall issue a transfer of rights and interests, and shall transfer the litigation documents and relevant materials for claiming against the carrier or a third party to the insurer, and assist the insurer in pursuing compensation from the responsible party.

If the insurer is unable to exercise the right of subrogation for compensation due to the fault of the insured, the insurer may deduct the insurance compensation accordingly.

Article 18: The residual value of the insured goods after loss shall be fully utilized. After consultation between both parties, it may be converted to the insured at a price and deducted from the compensation.

Article 19: If the insured fails to apply for compensation from the insurer, provide necessary documents, or receive the compensation due after two years from the day after learning of the loss of the insured goods, it shall be deemed as voluntary abandonment of rights and interests. 

Article 20: When there is a dispute between the insured and the insurer, it shall be resolved through consultation. If both parties cannot reach an agreement, it may be submitted to an arbitration agency or court for resolution.

Other matters

Article Twenty-One Demands For the insured goods transported jointly by road and other modes of transport, this clause and the Railway Shipping insurance Clause, the Waterway Shipping insurance Clause and the Air Shipping insurance Clause shall apply respectively according to the corresponding mode of transport.

Article 22: All agreements related to this insurance shall be in writing.