Marine Cargo Insurance
To provide continued information we will be sending updates to our business partners detailing changes to the level of risk for War and Strikes. This will be done on an ad hoc basis as it will be triggered by changes made by "Exclusive Analysis".
Please note that the JCC Global Cargo Watch List has been updated with the following changes:
Additions/Removals:
Burkina Faso was added to the list for Ground-War/Strikes due to violent unrest, which is likely to result in theft of cargo from transport lorries. Burkina Faso’s risk level is Elevated 2.2.
Cameroon (Bakassi Peninsula) was extended to include the country in its entirety for Ground-War/Strikes, to read Cameroon (Marine: Bakassi Peninsula; Ground: All) due to violent unrest disrupting ground cargo (theft and road blockades).
Equatorial Guinea was added to the list for Marine-Strikes due to increasing piracy risks around offshore oil and gas extraction facilities near the Delta.
Haiti was removed from the list (Marine-Strikes and Ground- War/strikes) due to increasing success of UN troops in disarming criminal groups and protecting the ports, as well as a decreasing risk of strikes.
Gujarat was removed from India (Marine: Orissa and Gujarat; Ground: Kashmir, Assam, Nagaland, Manipur, Bihar, Jharkhand, Chhattisgarh, Andhra Pradesh) due to a decrease in terrorism risks at Kandla port.
Nauru was added to the list for Marine-Strikes due to likely protests and blockades of Australian exports leaving Yaren Port. Nauru’s risk level is Caution 1.1.
North Korea was removed from the list for Air-War, Air-War/Strikes and Ground- War/strikes due the decreased risk of air war and ground strikes over the nuclear issue and to be removed for Marine-Strikes due to the decreasing risk of civil unrest.
South Korea was added to the list for Marine-Strikes due to likely port workers strikes this summer.
PA (West Bank and Gaza) and Israel within 10km of the Gaza-Israel border, including Ashkelon and Sderot) was amended to read PA (West Bank and Gaza) and Israel within 15km of the Gaza-Israel border, including Ashkelon and Sderot due to the increase in range of Katyusha rockets used by militants in Gaza.
Risk Level Changes:
Bosphorus Strait to move from Elevated 2.3 to High 2.4
Cameroon (Bakassi Peninsula) to move from Elevated 2.3 to High 2.4
Central Africa Republic to move from High 3.1 to Severe 3.6
Guinea to move from High 2.8 to Severe 3.3
Some countries have moved but not between risk levels:
Afghanistan from Severe 4.3 to 4.4
Burundi from High 2.7 to 2.6
Cote d’Ivoire (Ivory Coast) from Severe 3.4 to 3.5
Equatorial Guinea from Elevated 1.6 to 1.7
India from High 2.7 to 2.8
Indonesia from Elevated 2.2 to 2.3
Jordan from Elevated 1.9 to 2.0
Nagorno-Karabakh from High 2.6 to 2.7
Nigeria from Severe 3.8 to 3.9
PA (West Bank and Gaza) and Israel within 10km of the Gaza-Israel border, including Ashkelon and Sderot from High 2.8 to 2.9
Pakistan from Severe 4.3 to 4.4
Somalia from Severe 4.2 to 4.3
Zimbabwe from Severe 3.2 to 3.3
As a general guide I can advise as follows:
In most instances the cargo insurance cover(s) that we provide includes the risks of War and Strikes. This provision is automatically included within the rate/premium charged. Policy wordings note that circumstances can change and this is measured via an independent organisation "Exclusive Analysis" who publish the Global Cargo Watch List (GCWL) which is used as the measure for rating purposes. Cargo policies generally have a trigger for increased rating which is either when the countries are rated as "ELEVATED", "HIGH" or "SEVERE" (the standard clause for this is included below for your ease of reference).
If you are shipping goods or have goods in store in any of the mentioned elevated, high or severe territories you should contact us for a premium rate, however, in many instances you will note that the cover that we provide caters for many of the effected areas.
For your ease we have attached a spreadsheet which shows the position as at today's date and you can also visit the Exclusive Analysis website on www.exclusive-analysis.com/cargo . You will need to sign into this site by giving some basic information but once you have logged in it should recognise you when you return.
