Page 24 - Insurance Times March 2017 Sample

8) Copy of claim lodged on carriers - This document whilst in the custody of the carriers, the rights are
indicate the date on which claim notice was served on subrogated to insurers at the time of claim settlement
carriers. under letter of subrogation. The insurers thereafter pursue
recover from the carriers.
Marine Recovery Aspects:
There are three important things to keep in mind
You are already aware that Marine Cargo insurance deals
with insurance of good whilst in transit. It implies that goods for Marine Cargo Recovery as given below:
are entrusted to carriers by conveyer/ seller for safe deliver 1) Time limit for filing claim notice- This is the time limit
to the consignee or buyer. It is quite possible that goods within which the notice of damage / non-delivery is to
are not delivered at all or a part of the consignment is not be filed against carriers, e.g. time limit is six months in
delivered or the goods are delivered in partially or totally case the goods are sent by Rail/ Road. It is 7-21 days
damaged condition. It may be noted that carrier is a trustee for airborne cargo depending upon domestic
or bailee of goods and legally he is responsible for safety of international shipment and nature of damage.
goods. 2) Time limit for filing suit- If the carrier does not make
good the loss then insurer can file suit against the
In case the goods are damaged or non-delivered than the carrier within specified time limit e.g. 3 yrs in case of
owner of goods (consumer/consignee) is entitled to sue the Rail / Road, 2yrs in case of Airborne cargo and 1 yr in
carrier for his wrong doing. In such circumstances the case of Sea borne cargo.
insured is expected to file a claim notice/ suit as per law 3) The law also specifies the limit of liability of carriers in
against the carrier. There are different statutory provisions the event of loss/ damage in certain cases.
depending upon the carriers, which define the liability,
responsibilities, duties and immunities of the carrier e.g. Sometimes when the goods are in transit it is quite possible
1) Carriers Act 1865 (Road Carriers) that goods are lost / damaged whilst in the custody of
2) Railway Act 1989 (Railways) custom Authorities, Port Trust Authorities or any other third
party. In such cases also statute provides for rule for
3) Carriage of goods by Sea Act 1971 (Ocean Carrier)
recovery from such authorities.
4) Carriage by Air Act.
Lastly for the ready reckoner for the examinees the
In the event of damage to cargo / non-delivery of the cargo Standard Recovery Schedule is given below:-

Annexure - A

Sl. Mode of NOTICE OF CLAIM AGAINST TRANSPORTERS FILING OF THE SUITS
No. Transport DAMAGE NON-DELIVERY DAMAGE NON-DELIVERY
1 By Railway Within 60 days from Within 60 days from Within 3 years and Within 3 years and
the date of RR. the date of RR. three years will be three years will be
calculated from the calculated from the
date of unloading of date of goods ought to
goods. have reached the final
destination.

Before filing a suit against Railways a 60 days' notice is mandatorily to be serve on General Manager, of that concerned
Railway Authority.
2 By Road Within 60 days from Within 60 days from Within 3 years and Within 3 years and
Carrier the date of RR. the date of goods three years will be
three years will be ought to have been
calculated from the calculated from the received.
date of unloading of date of goods ought to goods.have
reached the final

24 The Insurance Times, March 2017

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