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When does cover begin and end for our Carriers and Cargo policies?

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We’re often asked about when cover begins and when it ends for our Carriers and Cargo policies. To make things simple, we’ve created a guide that provides examples as well as the relevant policy wording information.

Below is a quick reference for you to get a taste of what the guide has to offer.

 

Inland Cargo*

(Annually renewable or Single Transit cover)

When cover commences: Cover commences when the goods are first moved for the purpose of being loaded onto the conveyance for transit to a destination outside the premises.

Example: When the goods are picked up from the shelf in a warehouse to be immediately loaded onto a truck.

When cover ceases: Cover terminates on completion of unloading of the goods from the conveyance in or at the final warehouse or place of storage at the contracted destination.

Example: When the goods are delivered straight from the truck or van to an office/reception desk, loading dock or to a spot within a warehouse.

*Cover example is for general goods only. It does not apply to livestock and motor vehicles.

 

Combined Cargo (Import/export)**

(Annually renewable or Single Transit cover)

When cover commences: Cover commences when the goods are first moved for the specific purpose of being loaded onto the conveyance for transit to a destination outside the premises.

Example: When the goods are picked up from the shelf in a warehouse to be immediately loaded onto a truck.

When cover ceases: Terminates as provided within the transit clause of any applicable Institute Clauses. However Insured Transit is also extended to include unloading of the Goods from the Conveyance. ICC(A) Clause 8.1.1 – terminates on completion of unloading from the carrying vehicle or other conveyance in or at the final warehouse or place of storage at the destination named in the contract of insurance.

Example: When the goods are delivered straight from the truck or van to an office/reception desk, loading dock or to a spot within a warehouse.

** Variations can apply due to institute clauses and IncoTerms.

 

Home Contents Transit

(Single Transit cover only)

When cover commences: If a Professional Carrier moves the Insured Goods, Cover commences when the Insured Goods are first moved by the Professional Carrier for the purpose of being packed.

Example: When the removalist picks up your goods from your living room floor to pack the goods before loading them onto their removal vehicle.

When cover ceases: If a professional carrier moves the Insured goods, cover ceases when the insured goods are last moved by the professional carrier at the destination.

Example: When the removalist places your goods into your premises at the destination house, home or apartment.

 

Carriers

(Annual cover only)

When cover commences: The ordinary course of transportation upon a Conveyance within Australia from the time You or any person acting on Your behalf first move the Cargo for the purpose of being conveyed to a destination outside the premises at which loading takes place.

Example: When you pick up the goods from the consignor’s nominated premises, either beside the truck or off a loading dock or from within a warehouse.

When cover ceases: The ordinary course of transportation upon a conveyance within Australia from the time you or any person acting on your behalf unloads the cargo from the conveyance and last movement of the cargo from the conveyance at the intended destination.

Example: When you complete the delivery of the goods to the nominated consignee’s location, at either to an office/reception desk, loading dock or to a spot within a warehouse.

To have a complete and easy-access reference on hand, download the full guide here.