Inferior goods not an insurable risk
Kevin Mayhew
PROVIDING INSURANCE cover in the African theatre is not as daunting to insurers as it was a couple of years ago.
According to the marine marketing manager of Prestmarine, Susan Bester, insurance cover rates up to the port of discharge or tarmac are similar to other countries deemed safer. It is only when cargo goes further inland that premiums increase sharply.
“We are cautiously optimistic about the improving infrastructure at some of the ports and roads. Africa is proving to be a fast growing and expanding market, with surprising volumes of cargo being moved in and out of the continent,” she explained.
Unfortunately, sorting out problematic claims in these areas remains a problem with a lack of documentation, repair facilities and co-operation from the client on the other side all contributing to insurers rating these risks very carefully.
One word of caution for importers from African countries in South Africa is that they should choose their suppliers carefully.”We often deal with claims for products that have been loaded and shipped in an inferior condition, with little possibility of recourse against the supplier, so it is the importer who suffers the loss.
“Our advice is to check out your suppliers very carefully as inferior goods are not an insurable risk,” explains Prestmarine’s managing director, Riaan Grobbelaar.
