It has been almost a month since the military conflict in #Ukraine began. This tragic situation has led us to consider the matter of dry shipping, the war regulations under the Institute of Cargo Clauses (ICC).
A Marine Cargo Insurance policy should have an answer for every situation, even when it comes to war risks. Depending on the Country and the market, different wordings and laws are the ones regulating the cargo policies.
However, ICC has the most extensive range of clauses in marine insurance. These clauses were first created by the Institute of London Underwriters. Nowadays,Lloyd’s Market Association via its Joint Cargo Committee (JCC) is the institution in charge of developing and updating the ICC.
The most common ICC are A, B, and C and their associated clauses War and Strike Clauses, among others.
Concerning a war like the one currently happening in Ukraine and the Black Sea, it is absolutely vital to emphasize that the ICC A, B, and C regulate war exclusions on clause number 6.
Given the complexity of war conflicts, and the necessity of covering war risks, different war clauses are available.
Extended types of War Clauses:
? Institute War Clauses (Cargo)
? Institute War Clauses (Air Cargo) (excluding sendings by Post)
? Institute War Clauses (sendings by Post)
Whether you handle claims on behalf of an Insurance Company or Cargo Interest, pay special attention to the risks covered by the IWC as they could apply to the current war situation.