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ISBP Paragraph K14 And Meaning Of Irrespective Of Percentage

Posted: Wed Mar 15, 2017 11:10 pm
by shafi865
Hi !

I have an understanding problem related to ISBP Paragraph K14 which states as follows-
"An insurance document may indicate that cover is subject to a franchise or excess (deductible). However, when a credit requires the insurance cover to be irrespective of percentage, the insurance document is not to contain a clause stating that the insurance cover is subject to a franchise or an excess (deductible). An insurance document need not state "irrespective of percentage"

The term ""Irrespective of Percentage"" refer to what percentage ?
Whether it is the percentage mentioned in UCP 600 sub-article 28f(ii) ie, the percentage of cover required Or the percentage mentioned in franchise or deductible clause ? :( :(

Please explain with an example.

Regards,
Shafique