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Insurance policy required under an L/C as follows ( Insurance policy issued in negotiable form for invoice amount plus 10% showing claims payable in Germany to the order of ABC Bank....).
The beneficiary presented the required insurance policy which states ( Assured: XYZ Co.'' L/C Beneficiary'' ) and states in the body of the insurance policy (Claims payable in Germany to the order of ABC Bank) noting that it is not endorsed on the back side.
can we consider such insurance policy ( Discrepant ) as it shows the assured a party other than the issuing bank and missing the endorsement by '' XYZ Co '' to the order of the issuing bank, or ( compliant ) as it shows '' Claims payable in Germany to the order of ABC Bank '' and disregard the assured party?

Its a discrepancy because Its should be endorsed to ABC bank for the claim.

jadraed wrote:Insurance policy required under an L/C as follows ( Insurance policy issued in negotiable form for invoice amount plus 10% showing claims payable in Germany to the order of ABC Bank....).
The beneficiary presented the required insurance policy which states ( Assured: XYZ Co.'' L/C Beneficiary'' ) and states in the body of the insurance policy (Claims payable in Germany to the order of ABC Bank) noting that it is not endorsed on the back side.
can we consider such insurance policy ( Discrepant ) as it shows the assured a party other than the issuing bank and missing the endorsement by '' XYZ Co '' to the order of the issuing bank, or ( compliant ) as it shows '' Claims payable in Germany to the order of ABC Bank '' and disregard the assured party?

Hi,
The case raised by you is the same with case 6 in TA688rev under UCP600. Accordingly, the conclusion by ICC is that the insurance doc requires an endorsement bt XYZ Co. The addition of "to the order of ABC Bank" does not change the fact that the assured party is stated to be XYZ Co.
Regards,