Insurance

Learning objectives Students are required to 1. have an idea about the types of insurance policy. 2. have an idea about the contents of an insurance. 3. master the skills of making ( filling in) an insurance

policy. 4. Master the relative English expressions.

Insurance

Ability objectives: Understand Insurance Policy and master the skills of

making an insurance policy. Job projects: Fill in an insurance policy correctly.

Warm-up activities (1-1)

Revision 1. What is Bill of Lading? B/L is a certificate issued by carrier to a shipper

evidencing that the goods in good condition have been received or shipped on board the named vessel; promising to deliver the goods to the named consignee.

Warm-up activities (1-2)

Marine bills of lading are mainly used in international sales of cargos where the carriage of goods is by sea. Generally, the bill of lading has been evidence to prove that the goods have shipped on board a ship ， signed by the person (or his agent) ， contracts to carry them ，and stating the terms on which the goods were

Warm-up activities (1-3)

release to consignee which surrender of the documents when arrived destination port by sea. It is not the actual contract ， but forms an excellent evidence of the terms of the contract.

Warm-up activities (1-4)

3. What are the functions of Bills of Lading? All bill of lading should be signed by either shipping company ， captain ， authorized carrier ag

ent. Generally , bill of lading has three main function ： (1) it is a receipt from the carrier to the shipper; ( 2 ) it is a documents of title; (3) it is an evidence of the contract of carriage between

the carrier and the shipper.

Insurance (1-2)

Explanation In international trade, goods forwarded from the place

of shipment to destination have usually to undergo long-distance transport in addition to warehousing , loading and unloading, in the course of which they are subject to various kinds of risks and may sustain loss or damage.

The buyers or the sellers should cover transportation insurance with their underwriters prior to shipment,

Insurance (1-3)

so as to have themselves compensated for any conceivable losses of their goods.

By transportation insurance, we mean that the insured, who is usually the exporter or the importer, covers insurance on one or several lot of goods against certain risks for a certain Insured Amount with the insurer i.e. the insurance company, at an agreed premium.

Insurance (1-4)

The insurer, having undertaken to insure the goods in transportation, should make a compensation to the Insured in the event of accident whereby loss or damage of the insured cargo results in a claim under the respective Insurance Policy. In our country, The People’s Insurance Company of China underwrites all kinds of transportation insurance.

Insurance (1-4)

In our country, The People’s Insurance Company of China underwrites all kinds of transportation insurance. As ocean shipping constitutes the majority of the volume of goods transported in international trade, the Ocean Marine Cargo Clauses are the most important ones of the China Insurance Clauses (CIC) of the said company.

Insurance (1-5)

The provisions therein make it clear that Ocean Marine Cargo Insurance is classified into three forms. They are Free from Particular Average (F.P.A.), With Particular Average (W.P.A.) and All Risks.

The F.P.A. covers mainly Total loss and General Average, while the W.P.A. cover Particular Average in addition.

Insurance (1-6)

The All Risks cover, in addition to the scope of W.P.A., such Extraneous Risks as Theft, Pilferage & Non-Delivery Risks, Shortage Risks , etc. In case of F.P.A. or W.P.A., one or several kinds of these Extraneous Risks may be covered in addition.

Insurance (1-7)

How many kinds of insurance documents are there? What are they?

There are three kinds: Insurance Policy Insurance Certificate Open Policy

Example: Insurance clauses in L/C

1.INSURANCE POLICY OR CERTIFICATE IN THREE COPIES MADE O

UT TO APPLICANT, COVERING INSTITUTE CARGO CLAUSES(A),

AND INSTITUTE WAR CLAUSES(CARGO ), INCLUDING WAREHO

USE TO WAREHOUSE UP TO FINAL DESTINATION AT OSAKA F

OR AT LEAST 110% OF CIF VALUE, MARKED PREMIUM PREPAI

D AND SHOWING CLAIMS IF PAYABLE IN JAPAN .

Example: Insurance clauses in L/C

2.INSURANCE POLICIES OR CERTIFICATE IN TWO FO

LDS, COVERING F.P.A/W.A/ALL RISKS AND WAR RI

SKS FOR 120 PCT OF CIF INVOICE VALUE, AS PER CI

C DATED 1/1/1981.

3.2/2 SETS OF ORIGINAL INSURANCE POLICY OR CER

TIFICATE ， BLANK ENDORSED , COVERING ALL R

ISKS AND WAR RISKS FOR 110% INVOICE VALUE, S

HOWING CLAIMS PAYABLE IN INDIA.

中国平安保险股份有限公司PING AN INSURANCE COMPANY OF CHINA ， LTD.

NO.1000005959 货物运输保险单CARGO TRANPORTATION INSURANCE POLICY

被保险人： 中国平安保险股份有限公司根据被保险人的要求及其所交付约定的保险费，按照本保险单背面所载条款与下列条款，承保下述货物运输保险，特立本保险单。

this policy of insurance witnesses that ping an insurance company of china, lid., at the request of the insured and in consideration of the agreed premium paid by the insured, undertakes to insure the under mentioned goods in transportation subject to the conditions of policy as per the causes printed overleaf and other special clauses attached hereon.

保单号： 赔款地点：

发票或提单号：运输工具： 查勘代理人：

起运日期： 自 至保险金额：

保险货物项目、标记、数量及包装； 承保条件：

签单日期： 签发：

CHINA TIANTANG INTERNATIONAL TECHNICAL I/E CORP.

INV. NO. ： A123-456

TORONTO,CANADA IN USD

AS PER B/L

SHANGHAI

TORONTO

USD42,172.00 （ SAY US DOLLARS FORTY TWO THOUSAND ONE HUNDRED AND SEVENTY TWO ONLY ）

ABC 6V CORDLESS DRILL-TT1 798PCS34KL-B 6V CORDLESS DRILL-TT2 1070PCS1-728 728CTNS

COVERING ICC(A),INSTITUTE WAR CLAUSES(CARGO),INSTITUTE STRIKES CLAUSES(CARGO),WAREHOUSE TO WA-REHOUSE CLAUSES.

04-03-26 张珊

AS PER B/L

保险专用章

PING AN INSURANCE COMPANYOF CHINA ， LTD. TORONTO BRANCHTEL ： XXXXXFAX ： XXXXX

Example THE PEOPLE’S INSURANCE COMPANY OF CHINA Head Office: Beijing Established in 1949

INSURANCE POLICY No. This Insurance Policy Witnesses that The People’s Insurance Company of China (hereinafter called “the Company”) At the request of …………………..(hereinafter called “the Insured”) and in consideration of the agreed premium paid to the Company by the Insured, undertakes to insure the under-mentioned goods in transportation subject to the conditions of this Policy as per the clause printed overleaf and other special clauses attached hereon.Marks & Nos. Quantity Description of Goods Amount Insured

Total Amount Insured …………………………………………

Premium ………. Rate ………………..Per Conveyance …………………………………Slg. on or abt /Date of Commencement . …………….From …………………………….. To …………………………….Conditions:Claim, if any, payable on surrender of this Policy together with other relevant documents. In the event of accident whereby loss or damage may result in a claim under this Policy, immediate notice applying for survey must be given to the Company’s Agent as mentioned hereunder:

THE PEOPLE’S INSURANCE CO. OF CHINA, SHANGHAI BRANCH

Claim payable at ………………in …………………………… ------------------------------Date …………. (Signed)

Address ： 125 Beihai Rd., Haikou…Fax ………………….Post Code ……………Tel:

Job project (1-1)

Fill in the following Insurance Policy according to the given information:

L/C NO. 00901 N1011LC0245 L/C AMOUNT: USD AMOUNT 76,440.00 BENIFICIARY: HAINAN PROVICE TRADE IMPORT AND EXPORT. CORP. … LIST OF DOCUMENTS …INSURANCE POLICY OR CERTIFICATE IN ASSIGNABLE

FORM AND ENDORSED IN BLANK FOR 110PCT INVOICE VALUE COVERING ALL RISKS SHOING CLAIM PAYABLE AT BOA VIET HANOI. VIETNAM IN INVOICE CURRENCY IN 1 ORIGINAL.

Job project (1-2)

… GOODS DESCRIPTION: PHONE LIEU TRANG VI HANG QUANTITY: 350 CARTONS UNIT PRICE: USD 258.40/CARTON THE PRICE UNDERSTOOD CIF HAIPHONE PORT VIETNAM DETAILS AS PER CONTRACT 87/DD/CNLS DATED

04/07/2001 Supplementary information: Name of vessel: CHANGXING 168 V94B Port of loading: HAIKOU PORT, CHINA Number of B/L: 02-08-2008

Ability Training Task (1-1)

Make out an insurance policy according to the L/C on P133 with the following information:

1.Contract NO.:01JA7031KL 2.Commodity: Men’s Shirt 3. Packing: one dozen in a plastic bag,50 bags to a cart

on, then in an FCL container. 4. Shipping per S.S “YIFENG” from Qingdao to Yoko

hama, B/L No.180

Ability Training Task (1-2)

5.Container No.GF0189, CY TO CY Containerized 6. Invoice No.QD552 7.GR. WT:67378 kgs 8. Measurement: 3.808 M3 Suggested answer:

THE PEOPLE’S INSURANCE COMPANY OF CHINA Head Office: Beijing Established in 1949

INSURANCE POLICY No. This Insurance Policy Witnesses that The People’s Insurance Company of China …….At the request of …………………………………………….……..………………………………………………………………………………………per the clause printed overleaf and other special clauses attached hereon.

Marks & Nos. Quantity Description of Goods Amount Insured

DONYUE KNITWEARS AND HOME-TEXTILES IMPORT AND EXPORT CORPORATION

09A123

CONTAINER NO. GF0189

238 CARTONSONE CONTAINER

MEN’S SHIRTS USD221958.00

Total Amount Insured …………………………………………Premium ………. Rate （……………… ..Per Conveyance …………………………………Slg. on or abt . …………….From …………………………….. To …………………………….Conditions:

Claim, if any, payable on surrender of this Policy together with other relevant documents. In the event of accident whereby loss or damage may result in a claim under this Policy, immediate notice applying for survey must be given to the Company’s Agent as mentioned hereunder:

SAY US DOLLARS TWO HUNDRED TWENTY-ONE THOUSANDNINE HUNDRED FIFTY-EIGHT ONLY

AS ARRANGED AS ARRANGED

S.S. YIFENG

MAY 20, 2001

QINGDAO, CHINA YOKOHAMA, JAPAN

COVERING INSTITUTE WAR CLAUSES, INSTITUTE CARGO CLAUSE (ALL RISKS), INSTITUTE S.R.C.C. CLAUSES

XXXXXX CO.ADD:

THE PEOPLE’S INSURANCE CO. OF CHINA, SHANGHAI BRANCH

Claim payable at ………………in …………………………… ------------------------------Date …………. (Signed)

Address ： 125 Beihai Rd., Haikou…Fax ………………….Post Code ……………Tel:

YOKOHAMA, JAPAN

US DOLLARS

MAY 19, 2001

王 荣( MANAGER )

DONYUE KNITWEARS AND HOME- TEXTILES IMPORT AND EXPORT CORPORATION 李明凯