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Dear Experts,

I red one article in which the statement was that insurance company would claim it from the shipping company for the damaged caused. I don't understand the terms as the LC structure is both are different parties and the action performed by them are separate. The function of the insurance documents is to pay when claim made.

Why would the shipping company to the insurance company for the damage.

Are these parties go for any underlying contact other than LC?

Kindly advise if am missing something.

Thanks & Regards
Dinesh Kumar

Hi Pal,

the insurance company will pay the insured, but has the possibility to legally act towards the entity resposable of damages.
This is correct, but outside l/c.
Other comments appreciated.
Ciao