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Cargo Handling Insurance Questionnaire

This document is a cargo handling questionnaire that requests information from a company seeking cargo insurance. It requests the company name and address, location details, types of cargo handling services provided and whether any are subcontracted. It also asks about responsibilities and limits of liability for warehousing services, contracts with customers and other parties, cargo volumes and revenue, vessel traffic, loss prevention programs, equipment values, property values and locations, and claims history for the past 5 years. The company must sign and date the completed questionnaire, which will form part of the insurance policy. Any significant changes to operations must be advised to underwriters.

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Balaji ramesh
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100% found this document useful (1 vote)
445 views5 pages

Cargo Handling Insurance Questionnaire

This document is a cargo handling questionnaire that requests information from a company seeking cargo insurance. It requests the company name and address, location details, types of cargo handling services provided and whether any are subcontracted. It also asks about responsibilities and limits of liability for warehousing services, contracts with customers and other parties, cargo volumes and revenue, vessel traffic, loss prevention programs, equipment values, property values and locations, and claims history for the past 5 years. The company must sign and date the completed questionnaire, which will form part of the insurance policy. Any significant changes to operations must be advised to underwriters.

Uploaded by

Balaji ramesh
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd

CARGO HANDLING QUESTIONNAIRE

1. NAME & ADDRESS: Please list the name and also provide brochure / web site or other
marketing information.

2. LOCATION(S): Please list the address of your location(s).

3a. SERVICES: Types of operation performed by you (please tick those relevant to you):-

Stevedoring; Local collection and delivery;

Marine terminal operator; Depot operator;

Container/trailer freight station; Equipment repair/refurbishment;

Container/trailer storage Waste disposal;

Inland Clearance Depot(ICD); Advice to other operators;

Airfreight terminal/depot; Operating a chassis pool;

Warehousing; Security (e.g. Police);

Emergency (e.g. Fire); Bunkering;

Other(please specify and give details);

Are any services subcontracted out?

Yes (specify which) No

3b. SERVICES – WAREHOUSING

Only answer this part of the question if you provide warehousing or storage of any cargo (other
than containerized cargo):

● What is your responsibility for the cargo stored?

● No Responsibility (if YES, please move to Question 4) Yes No

● Responsible only for maintenance of the warehouse building, fire


prevention within the warehouse and warehouse security? Yes No

● Responsible for care, custody and control of all cargo, but no


responsibility for force majeure? Yes No
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● Responsible for care, custody and control of all cargo, including
responsibility for force majeure? Yes No

● Please provide estimated maximum value of goods stored at any one time:
USD

● What % of your total revenue is generated by warehousing operations? %

● Do all warehouses have sprinklers and fire detection systems? Yes No


If NO, please attach details of your fire detection measures.

● Is there a fire main throughout the site? Yes No

● Is there an emergency fire pump or suitable reserve power supply to Yes No


ensure there is fire fighting water at all times?

4. CONTRACTS/INDEMNITIES

a) Contracts with Customers (for example shipping lines):


Do you have any of the following contracts with your customer(s)? And if so, please
indicate the extent of any liability for your negligence (please tick the relevant box):-

Limited liability Unlimited liability No liability Other


iro negligence iro negligence

Standard contracts?; Y N Y N Y N Y N

Individual user agreements?; Y N Y N Y N Y N

Port tariff/act/bylaws? Y N Y N Y N Y N

No contracts?;

If “Other” is ticked, please give details.

b) Other Contracts:
Have you indemnified another person for his negligence under any agreement (e.g. for
equipment, land or buildings)? Yes No
If yes, please give details separately.

Have you waived rights of recourse against another person? Yes No


If yes, please give details separately.

c) Subcontractors:
Is there a requirement in your contract with subcontractors that they have adequate
liability and property insurance? Yes No

If yes, what is the minimum limit that you require? USD

Do you check annually that all subcontractors maintain and renew their insurance?
Yes No

Note: There is a policy requirement that your Subcontractors purchase and maintain
adequate liability and property insurance, and that you review those policies annually

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5. Volumes – Please advise Cargo throughputs per Policy Year:

LAST YEAR CURRENT YEAR NEXT YEAR


ESTIMATE
TEU’s
Break Bulk (tones)
Dry Bulk (tones)
Wet Bulk (tones)
Autos
Passengers
Others (specify below)

What is your annual revenue?

LAST YEAR CURRENT YEAR NEXT YEAR ESTIMATE

How many vessel calls per annum? Please provide figures broken down into size of vessel:-

LAST YEAR CURRENT YEAR NEXT YEAR ESTIMATE


Up to 5,000 GT
5,000 to 15,000 GT
Over 15,000 GT

6. LOSS PREVENTION / RISK MANAGEMENT:

a) Do you have a property and equipment maintenance programme

Yes No

b) Do you have a staff training programme Yes No

c) Do you security precautions include:

24 hour security guards? Yes No

All buildings/perimeter fences/gates alarmed? Yes No

Close Circuit TV? Yes No

Continual documentation security checks? Yes No

Other? Please attach details Yes No

d) can you provide us with a copy of a recent survey of your facilities?

Are there any revisions to the loss prevention / risk management


measures in a) to c) above envisaged / planned during the policy period? Yes No

If yes, please attach details.

g) Is the International Ship & Port Facility Security Code applicable to you
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and if so are you compliant. Yes No

7. HANDLING EQUIPMENT – Please provide the aggregate value for the current year and
next year and attach a schedule showing against each item, description, value and
age.

Are your declared values based on:-

New replacement value? Yes No


Market value? Yes No
Depreciated (book) value? Yes No

Please provide your estimated Maximum Possible Loss. USD

8. PROPERTY –

a) Please provide a summary of property values broken down as follows:-

SUM INSURED US$


Wharves, Quays and Jetties
Buildings
Warehouse/Storage Facilities

b) Please also attach a full schedule with description, values, age, location including details of
construction and details of fire extinguishing appliances / sprinklers;

c) Please itemize separately (together with the location) any single structure where the insured
value is in excess of USD 15,000,000;

d) Please itemize separately (together with location) any property outside the confines of the port;

Please provide your estimated Maximum Possible Loss. USD

9. CLAIMS HISTORY – Please attach separate Liability claims history (both paid and
outstanding and any related fees or expenses including legal fees) for the last 5
complete years net of any deductible and advise of any deductible applicable. Please
also attach details of any existing litigation.

Signed ………………………….…………… Date ………………………….

Company Position…………………………

IMPORTANT:
This questionnaire is to be completed and signed by the Assured and will form
part of the Insurance Policy.

The premium charged and the conditions of this Policy are based upon the
information provided in this questionnaire, any operations and/or physical
changes in the nature of the Assured’s Operations during the policy period which
materially changes or alters in any way the information contained in this

Page 4 of 5
questionnaire must immediately be advised to Underwriters. Any change advised
will be assessed by Underwriters to enable them to decide whether they are
prepared to continue to provide coverage and at what terms. Failure to comply
with this requirement could affect the validity of the Policy.

Page 5 of 5

Common questions

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Adequate liability and property insurance for subcontractors is crucial in cargo handling operations to protect both the subcontractor and the principal contractor from financial losses due to negligence or damages. The primary cargo handler's policy specifically requires subcontractors to purchase and maintain such insurance and mandates an annual review to ensure compliance . This helps mitigate risks and maintains contractual compliance, potentially lowering the principal's insurance premiums.

Warehousing responsibilities significantly influence a cargo handling company's liability and risk management strategies. If a company accepts responsibility for the care, custody, and control of cargo, including force majeure, it heightens liability, necessitating comprehensive risk management strategies, such as advanced insurance policies and robust fire prevention measures . Moreover, accountability dictates stringent contractual terms with clients and influences premium calculations for insurance.

Limited liability clauses in contracts reduce a company's risk exposure and potential financial liability in the event of negligence claims, allowing for more predictable insurance premium calculations. Conversely, unlimited liability can lead to substantial financial exposure and litigation risks . The choice between these clauses impacts the company's risk profile and insurance requirements, influencing negotiation strategies with clients and affecting the overall risk management approach.

The estimated Maximum Possible Loss (MPL) quantifies the worst-case financial impact of a major incident on a cargo handling operation, guiding both financial risk assessment and strategic planning. Understanding MPL helps in determining appropriate insurance coverage levels and premium settings . Proper MPL assessment ensures comprehensive fiscal preparedness, informing investment decisions and operational contingency plans to mitigate assessed risks effectively.

The frequency and volume of cargo throughput critically impact a facility's revenue and operational planning by dictating resource allocation, labor needs, and equipment maintenance scheduling . High volumes necessitate increased labor and operational shifts, while lower volumes could allow for maintenance downtime or cost reductions. Furthermore, accurate throughput forecasts are essential for financial planning and achieving operational efficiency, directly affecting annual revenue projections.

Maintaining up-to-date vessel call data is strategically important for enhancing operational efficiency by optimizing resource allocation, labor scheduling, and equipment availability. Accurate data ensures smoothes operational flows, minimizing congestion and wait times which enhances customer satisfaction . Moreover, it facilitates predictive analysis and strategic decision-making to improve turnaround times, craft competitive advantages, and fine-tune service provision in alignment with market demands.

Robust loss prevention and risk management measures enhance a cargo handling company's competitive positioning by reducing incidences of operational disruptions and claims, thus improving service reliability. These measures can decrease insurance costs, allowing savings to be reinvested or passed on to clients through competitive pricing . Additionally, sound risk management reflects operational maturity, potentially attracting more clients who prioritize stability and security in their selection criteria.

Property value assessment is vital in determining insurance needs and policy terms by dictating the necessary coverage limits to protect against potential losses. Accurate valuation ensures the insurance policy adequately covers the replacement or repair costs of assets in case of damage . This influences premium costs and prevents underinsurance, enabling the facility to maintain operational continuity post-incident without suffering severe financial setbacks.

Non-compliance with the International Ship & Port Facility Security Code can lead to severe repercussions for a cargo handling company, including legal penalties, increased insurance premiums, and reputational damage. Moreover, it could result in operational disruptions due to heightened security risks and potential customer loss if clients are subject to stricter security preference . Ensuring compliance is hence crucial to maintaining operational integrity and customer trust.

Changes in operational or physical conditions can significantly impact insurance coverage by altering the risk profile underlying the policy terms. Any such changes must be communicated to ensure the policy remains valid and reflective of the actual conditions . Failure to report changes can lead to misalignment between risk exposure and coverage, potentially voiding the insurance if unreported risks materialize, thereby compromising the financial integrity of the cargo handling operations.

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