T9—Preparing and Processing Cargo Claims
Subscriber price: $73.00, Non-subscriber price: $110.00
Estimated total study time: 5 hours 11 minutes
This course covers what to do upon discovery of a cargo loss or damage, the "preliminary claim" notifications, obligations of the assured to mitigate further loss/damage, preparation of a formal claim to carrier and insurance company, and the claim adjustment and settlement process.
Discovery of Loss; Preliminary Notices
This lesson covers what a shipper, consignee and/or other party with an insurable interest in cargo must do in order to protect their interests, and the insurance carrier, upon dirst discovery of cargo loss, damage or experiencing a non-delivery.
(Estimated study time: 1 hour 51 minutes)
- Discovery of Loss—General
- Transportation Carrier/Bailee Notification Requirements
- Ocean Carrier Liability Claim Notice Requirements
- Concealed Damage/Loss—Prompt Discovery
- Concealed Damage/Loss—Delayed Discovery
- Preliminary Notice(s) of Claim
- Insurance Policy Notification Requirements
- Delayed Notification under Cargo Insurance
- Sue & Labor
- Insurance Company Notification Procedure
- Basic Procedure
- Insurance Certificate/Special Policy Available
- Insurance Certificate/Special Policy Not Available
- Cargo Claim "Time-for-Suit" Provisions
Pre-Claim Responsibilities & Issues
This lesson covers what a cargo owner, or his agent (transportation intermediary), must or should do in preparation to file loss or damage claims, and also the decision as to whether to pursue a claim under cargo insurance vs. carrier liability.
(Estimated study time: 57 minutes)
- Sue & Labor
- Cargo Inspection/Survey
- Inspection by Cargo Owner/Assured
- Pre-Claim Determinations
- Insured vs. Non-Insured Losses
- Is the Risk/Peril Covered?
- Did the Loss Occur Within the Period of Insurance Coverage?
- Is the Claim Subject to a Deductible?/Other Exclusions
- An Insurance Claim vs. a Carrier Liability Claim
- Assured's Choice
- An Insurance Claim Usually Preferable
- Carrier Liability Claim Sometimes Preferable
- Subrogation Recoveries in Excess of Claim Payment
Proving, Computing and Presenting a Claim
This lesson covers what a claimant must include in a final claim presentation, including proof of loss, proof of insurance (policy and coverage applicable to the claim), insurable interest, and what can be included in arriving at the final claimed money amount.
(Estimated study time: 1 hour 3 minutes)
- Proof of Loss
- Damaged Cargo
- Proof of Insurance
- Negotiable Insurance Certificates
- Other "Proofs" of Insurance
- Insurable Interest
- Computing the Loss/Claim Amount
- Total Loss
- Partial Non-Delivery—Separately Valued Packages
- Partial Non-Delivery—Packages Not Separately Valued
- Damaged Cargo—Items Separately Valued
- Damaged Cargo—Items Not Separately Valued
- Pro-Rating Freight/Other Charges
- Public Adjuster
Claim Adjustment and Settlement
This lesson covers the claims adjustment process, settlement offer by insurance carrier (or transportation carrier), and options if such settlement offer is not acceptable.
(Estimated study time: 1 hour 20 minutes)
- Cargo Claim Adjustment and Settlement
- Claim Adjustment Process
- Fact Finding—Is Claimant Entitled to Make the Claim?
- Fact Finding—Is Loss Covered under Insuring Conditions?
- Verification that Cargo Is Insured
- Scrutiny of Claim Supporting Documents
- Scrutiny of Claimant Actions
- Re-Computation of Claim
- Settlement Offer
- Computation of Claim Settlement Offer—Example
- A Complex Claim Illustration
- Adjuster's Initial Reaction to Claim
- The Impact of Additional Information
- What to Do?
- The Settlement Offer
- Settlement Acceptance vs. Further Negotiation
- Processing Time; Follow-Ups
- Disputes; Time for Suit