Financial
Actual Total Loss
Complete destruction of the insured goods, or irreversible deprivation of the insured's possession of them. Nothing remains to recover and the indemnification corresponds to the total insured value.
Complete destruction of the insured goods, or irreversible deprivation of the insured's possession of them. Nothing remains to recover and the indemnification corresponds to the total insured value.
Complete destruction of the insured goods, or irreversible deprivation of the insured's possession of them. Nothing remains to recover and the indemnification corresponds to the total insured value.
Constructive Total Loss
Situation where goods have not been physically lost but the cost of recovery, repair, or transport to destination exceeds their value. The insured may abandon the goods to the insurer and claim total loss.
FinancialMarine Cargo Insurance
Policy protecting the insured against losses or damage to goods during maritime transport. Can cover from basic risks to all risks depending on the contracted ICC clause.
FinancialAbandonment
Act by which the insured cedes all rights over the damaged goods to the insurer to receive indemnification for constructive total loss. Requires formal notification to the insurer.
FinancialCertificate of Insurance
Document evidencing the existence of a cargo insurance policy for a specific shipment. Required in CIF/CIP operations and frequently requested by banks in documentary letters of credit.