insurance document requirement in UCP 600

[berry]

dear friends,

UCP 600 article 28 f iii shows

the insurance document must indicate that risks are covered at least between the place of taking in charge or shipment and the place of discharge or final destination as stated in the credit.

as per UCP terminology, it should be written as place of taking in charge or port of shipment. why is not like that? any help please...

[afracsis]

from the point of my view...

if the credit states FCA as a trade term, the risk would be passed to the applicant when the goods are

in taken chrarge by the carrier. then the applicant may make ask the insurance to insurance company

this is because on FCA term the beneficiary is not responsible for the insurance.

under above circumstance who knows the risk will be passed at a 'port' or 'place' ?

and under FCA term there will be any place for the delivery.

in addition I think 'port' could be included in the term 'place'

So from above reasons I think UCP doesn't have to refer to 'port' for 28 f iii .

looking forward to seeing other replies.

[jmitra]

to understand why UCP refers to place instead of port, you need to consider the Institute Marine Cargo Clauses. the clauses includes a transit clause which says

8. - Transit Clause
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8.1 This insurance attaches from the time the goods leave the warehouse or place of storage at the place named herein for the commencement of the transit, continues during the ordinary course of transit and terminates either
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8.1.1 on delivery to the Consignees' or other final warehouse or place of storage at the destination named herein,
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8.1.2 on delivery to any other warehouse or place of storage, whether prior to or at the destination named herein, which the Assured elect to use either
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8.1.2.1 for storage other than in the ordinary course of transit or
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8.1.2.2 for allocation or distribution, or
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8.1.3 on the expiry of 60 days after completion of discharge overside of the goods hereby insured from the oversea vessel at the final port of discharge, whichever shall first occur.
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8.2 If, after discharge overside from the oversea vessel at the final port of discharge, but prior to termination of this insurance, the goods are to be forwarded to a destination other than that to which they are insured hereunder, this insurance, whilst remaining subject to termination as provided for above, shall not extend beyond the commencement of transit to such other destination.
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8.3 This insurance shall remain in force (subject to termination as provided for above and to the provisions of Clause 9 below) during delay beyond the control of the Assured, any deviation, forced discharge, reshipment or transhipment and during any variation of the adventure arising from the exercise of a liberty granted to shipowners or charterers under the contract of affreightment.

hence even if the credit calls for a bill of lading, the insurance is covered from warehouse to warehouse and thats why UCP has referred to place instead of port.

[afracsis]

the insurance will cover the carriage when it is required.

so when L/C asks B/L as a transport documet the insurance will be added by a party who is responsible for the insurance.

on CIF terms the beneficiary will cover the insurance until the cargo arrived the port of discharge and other terms it will be covered as agreed by seller and buyer or as trade terms asking.

hence the insurance does not always cover from warehouse to warehouse specially when L/C wants B/L

doesn't it ??