This insurance provides coverage for goods being
transported over land only from one place to
another. The scope of coverage is restricted to
Fire, Theft or Accidental Means and subject to
Express Exclusions of the Policy.
Cover commences from the time goods leave the place
of warehouse continues during the ordinary course of
transit and terminates upon delivery at destination.
Temporary storage during ordinary course of transit
and the process of loading and unloading are also
covered.
Notes on Policy arrangement
There are three methods of issuing a Good In Transit
Policy :
1.
A voyage policy may be
issued for a single transit. Premium is
charged for the insured transit and cover
terminates upon delivery at destination.
2.
A time policy may be issued
specifying the limit anyone
transit/conveyance. Provisional premium is
charged at inception based on rate applied
to total estimated carryings. This
provisional premium will be adjusted at end
of period of insurance at rate on actual
total carryings as declared by Insured. The
Insurers maximum liability would be the
actual loss or specified limit anyone
carrying on the policy.
3.
A policy may be issued based
on Limit of Liability representing the
total/aggregate value of transits during the
period of insurance. After a claim, the
Limit of Liability is diminished by the
amount of claim made until the total Limit
of Liability is exhausted.. The Insured may
choose to include a reinstatement of loss
clause to maintain for the full Limit of
Liability after a loss. The Insured shall be
liable to pay an additional premium at the
rate of the policy calculated on the amount
of loss on a pro-rata basis from the date of
such loss to the expiry of the current
period of insurance.
Major Policy Exclusions
1.
War risks and Nuclear risks
2.
Wear, tear and depreciation
3.
Temporarily housed in the
course of transit for the purpose of storage
making up packing or processing .
4.
Specific Goods as listed in
the policy.
5.
Dishonest act, theft or
pilferage by any employee of the Insured.
