Cargo & Liability Insurance

What is the primary purpose of cargo insurance?

• To increase transportation efficiency

• To provide financial compensation for cargo loss or damage

• To improve supply chain management

• To ensure cargo reaches its destination on time

Which of the following risks are covered under Institute Cargo Clause (A)?

• Fire, explosion, and piracy

• Theft and inherent vice

• Normal wear and tear

• Delay in transportation

Under the Hague Rules, the carrier's responsibilities include:

• Making the ship seaworthy

• Theft and inherent vice

• Handling customs clearance

• Tracking shipment updates

Which of the following is NOT covered under Institute Cargo Clause (C)?

• Fire and explosion

• Earthquake and volcanic eruption

• Collision with external objects

• General Average

What is the liability limit under the Hague Rules for carriers?

• 2 SDR per kg

• 666.67 SDR per package

• 100 pounds per package

• 835 SDR per package

Which document is crucial for processing a cargo insurance claim?

• Packing list

• Bill of Lading (B/L)

• Letter of credit

• Sales invoice

The Montreal Convention applies to which mode of transportation?

• Road

• Rail

• Sea

• Air

Which liability insurance covers damages to third parties due to the insured's operations?

• Marine cargo insurance

• Hull insurance

• Carrier liability insurance

• Freight forwarder's liability insurance

Under the CMR Convention, the carrier is liable for:

• Strikes and riots

• Loss or damage during transport

• Inherent vice of goods

• War risks

Which of the following clauses excludes damage due to inadequate packaging?

• Institute Cargo Clause (A)

• Institute Cargo Clause (B)

• Institute Cargo Clause (C)

• All of the above