Shipping agent liability

Who concludes the insurance?
THE SHIPPING AGENT LIABILITY INSURACE can be concluded by any company acting as a Commissioner as a representative or commercial representative of the client as per the Standard Trading Conditions (STC) of the Bulgarian National Forwarders Association (NSBS). Operator as per the STC of the NSBS.Warehouse operator as per the STC of the NSBS.

What does the insurance provide?
THE INSURANCE PROVIDES PROTECTION of the insured party’s financial interests, related to his obligation to reimburse entities and individuals for damages which occurred during the performace of his contractual obligations to ship loads in accordance with international conventions, local legislation, the STC and Standard Warehousing Conditions (SWC) approved by the NSBS and/or the conditions of other contracts and agreements.

Where does it apply?
THE INSURANCE COVERAGE IS WITHOUT TERRITORIAL LIMITATION, except for damages caused due to losses and failure which occurred as a result of the passage of goods through areas of military actions.

What is the coverage?
THE COVERAGE IS VALID when the shipping agent’s liability (in case of a validly concluded shipping contract) arises from:Any international convention or national legislation which must be applied to the activity and the shipping agent’s specific transactions and/orThe STC or SWC of the NSBS.

WHEN THE SHIPPING AGENT ACTS AS a commissioner – as a proxy or as a commercial representative of the client as per the STC of the NSBS, the coverage includes risks of:Financial losses for the client, arising from the incorrect expedition of goods, performed by the shipping agent;Financial losses for the client, arising from the incorrect delivery of goods, performed by the shipping agent;Financial losses for the client, arising from the shipping agent’s default of contractual obligations.WHEN THE SHIPPING AGENT ACTS AS an operator as per the STC of the NSBS, the coverage includes risks of:Physical damage or loss of goods under his control and/or management for the period starting their receipt by the shipping agent or his subcontractors until their handover to a competent party as per the definitions, limitations and exceptions of the STC of the NSBS, as well as the shipping agent’s liability for any FIATA FBL (FIATA Combined Transport Bill of Lading) issued in his name and/or in his expense;Indirect damages caused due to physical damage or loss of goods, under the conditions of the latter section 1;WHEN THE SHIPPING AGENT ACTS AS an operator as per the SWC of the NSBS, the coverage includes risks of:Physical damage or loss of goods under his control and/or management for the period starting their receipt by the shipping agent or his subcontractors until their handover to the competent party as per the definitions, limitations and exceptions of the STC of the NSBS;Indirect damages caused due to physical damage or loss of goods, under the conditions of the latter section 1;Financial losses suffered by the client, which arise from the incorrect, imprecise or incomplete preparation and completion of transport and warehousing documents, performed by the warehouse operator or by his employees and proxies;Financial losses suffered by the client, which arise from the incorrect handing over of goods, performed by the warehouse operator;Financial losses suffered by the client, which arise from the shipping agent’s and warehouse operator’s default of contractual obligations they have expressly committed to.

When are the risks not covered?
WHEN THE SHIPPING AGENT ACTS AS a commissioner – as a proxy or as a commercial representative of the client as per the STC of the NSBS, the coverage does not include risks of:In case of intent or gross negligence performed by the shipping agent, his employees or proxies;An increase in the shipping agent’s liability for transactions, where he committed to a liability and conditions, different from those defined in the STC of the NSBS;Damages and losses suffered by the shipping agent while implementing the shipping contract;The shipping agent’s increased liability arising from services provided in relation to the goods defined in article 49 of the STC of the NSBS: gold, banknotes, coins, precious gems, jewelry, antiques, works of art and securities of any type, tobacco products and concentrated alcoholic beverages.WHEN THE SHIPPING AGENT ACTS AS AN OPERATOR as per the STC of the NSBS, the coverage does not include risks of:The shipping agent’s liability arising from intended actions of his employees and proxies (under this section, the actual performers of services for transport, storage or manipulations of goods are not considered to be the shipping agent’s proxies);An increase in the shipping agent’s liability for transactions where he committed to a liability and conditions, different from those defined in the STC of the NSBS;Damages and losses suffered by the shipping agent while implementing the shipping contract;Damages caused by the delivery’s delay, included the above section 2 (indirect damages), arising from an agreed flat delivery deadline and/or from declared interest for the delivery;Intended infliction of damages arising from the incorrect, imprecise or incomplete preparation and completion of documents for transport, warehousing or the manipulation of goods; The shipping agent’s increased liability, arising from services provided in relation to the goods pointed out in article 49 of the STC of the NSBS: gold, banknotes, coins, precious gems, jewelry, antiques, works of art and securities of any type, tobacco products and concentrated alcoholic beverages.A limitation in the coverage’s geographical range. WHEN THE SHIPPING AGENT ACTS as an operator as per the SWC of the NSBS, the coverage does not include risks of:The shipping agent’s liability, arising from intended actions by his employees and proxies (under this section, the actual performers of services for storage or manipulation of goods – if they are not the shipping agent’s employees, are not considered to be the shipping agent’s proxies);An increase in the shipping agent’s liability for transactions where he committed to a liability and conditions, different from those defined in the SWC of the NSBS;Indirect losses which only occurred due to declared interest for the storage and handover of goods (except for damages arising from shortage and damages caused to the goods themselves);Damages and losses suffered by the shipping agent suffered while implementing the shipping contract. RISKS ARE NOT COVERED IN THE FOLLOWING CASES AS WELL: In case of partial absence of the content with the load’s outer packaging fully uncorrupted; According to article 55 of the STC and article 59 of the SWC of the NSBS;In case of supposed differences in the weight due to different figures displayed on the measurement equipment (scale difference); In case of contraband, forbidden or secret trade;In case of damages for which compensation may be claimed based on contractual agreements, which are not typical for the shipping branch, such as contractual default, guarantees for periodical delivery, loss of future earnings and indirect losses of any kind etc., as well as such which exclude legal liability. Such damages may be covered under the conditions of a separate agreement;In case of third-party liability risks for the company, for vehicle operators, etc.; In case of death, physical harm caused to persons and other non-financial damages due to damage, loss or delay;In case of military actions, civil upheaval, strikes, burglary (unless additional coverage is arranged, with additional premium payment), actions by armed bands, actions by the authorities and their authorized representative bodies and institutions, nuclear incidents and their consequences. IN CASE OF THE TRANSPORTATION OF DANGEROUS LOADS, the insurance protection includes the liability, as per shipping contracts, for the carriage of dangerous goods by road, only if the storage, manipulation and carriage of the latter is performed in accordance with the provisions of the European agreement for international carriage of dangerous goods by road (ADR).

What is the insurance period?
THE “SHIPPING AGENT LIABILITY” INSURANCE is concluded for a period of 1 year or for the duration of a separate shipping transaction.