9.Supplementary Readings(2 / 3)

Moreover,insuranbsp;ce is part of a carrier’s marketing strategy.It is more than likely that cost,ce and the number of loss and damage claims will vary from carrier to carrier,so ask veral and pare ask the carrier,whether it is a rail,motor,marine or intermodal carrier,what it charges for insurance,what the insuranbsp;covers,the deductible(if any)and how claims are handled.

This suggests that the first step in insuranbsp;le is to ask the carrier about its loss and damage record.Ask other exporters or,if you are a member of an anization subsp;as the adian Industrial Transportation Association,ask if it has any record on a particular carrier.

Before exp,make clear that the terms of sale specify who is responsible for arranging insurance.For example,an exporter lling “CIF.” will be responsible for arranging and paying for freight insuran many transas,it is on for adian exporters,even tho lling “FOB” or “FAS”,to trol or arrange for marine insurance.

Whibsp;kind of insuranbsp;the exporter should buy depends on the mode of transport lected,as certain levels are established acc to legal requirements.Railway carriers are pletely responsible for loss and damage to otor carriers are responsible for $2.00 per pound,but will provide full ce for a fee of 1% of the value of the load.O carriage is limited to $500 per package,whibsp;is frequently below the value of the shipment.quently,the exporter must arrange for ce parately.Exporters should be aware that there are certain exceptions whibsp;override the carrier’s liability,subsp;as “Absp;of God” or a defebsp;in the goods.