Commercial Transit Insurance for Arts & Antiques Consignments

Explanation of new Transit2insure Policy

Transit2insure is now underwritten by new Insurers on a non marine policy and differs from the cover previously available, when it was underwritten on a ‘marine’ policy format.

This should make it far easier to understand, although there are some aspects of difference in the cover you will now have.

The entire wording is on this site and you should read and understand that, but here are some of the major differences between the cover you used to purchase and what is on offer now.

• The wording has several words in bold type. This means they have a defined meaning throughout the document, which you can find in ‘definitions’ in policy wording.
• The Previous policy had war and strikes cover. In the new wording, we cannot offer this. However, previously, Insurers could raise premium substantially or cancel war and strikes cover with 48 hours notice if a destination looked as though it was going off the rails, so this probably isn’t of any great practical effect.
  
• The old basis of claims settlement was ‘cost and restoration, plus 10% . This was a marine Insurance peculiarity and the logic was that if you had to replace ordinary goods (rather than Antiques, etc) it might cost you more to source them, so the 10 percent was some sort of solace, This doesn’t really apply to ‘The Trades’, so it has been dropped. The new basis is cost price or selling price (whichever is more appropriate), plus the transport cost, in the event of a total loss.
  
• Many things are much clearer under the new wording and some matters that were legally implied or inherent in the old Insurance Cargo Clauses are now spelled out.
  
• Theft cover for losses from any vehicle owned, hired or driven by you is now excluded.
• The cost of cover is inclusive of Insurance Premium Tax of 12%  of premium (where applicable) and a charge of GBP(£)7.50 towards site maintenance and compliance costs.
  
• The new policy does not give you cover in the event of ‘General Average’ being declared. As a rough and quick explanation, General Average is something which can be declared when a ship is in trouble and has to lighten its cargo by throwing it overboard. If this is successful and the ship reaches port, all of the cargo owners in that vessel have to contribute towards the owners of the jettisoned cargo’s loss.
  
• You should look at and understand General Condition 11 in policy wording. If you don’t declare the full value of your sending and or transport cost, then claims will be scaled back if you have a partial loss.
  
• You must be scrupulously honest when buying Insurance, so if you have any concerns on this score, do give me or my colleagues a call during our working hours of 9am to 5pm. My Direct Line Is 01306 734106. (Note: please see General Condition 5 in policy wording)
  
• The deductible (a.k.a. excess) has increased from GBP(£)100 to GBP(£)250. It had remained unchanged since 1995 and is no longer at a viable level. Please do not insure sendings of a value of GBP(£)250 or less, for obvious reasons. The Post Office may be a better option for you with such small sendings.