Inland Marine Part 4

Question 1

What are the three types of carriers?

Answer 1

Common carrier (provides the public with transportation for hire)
Contract carrier (paid to deliver goods for specific shippers)
Private carrier (transports it’s own property on it’s own vehicles, backhaul not covered unless endorsed)

Question 2

What are the five exceptions to the strict liability for common carriers?

Answer 2

Act of God
Act of public enemy
Acts or default of the shipper
Public authority
Inherent vice or nature of the goods being shipped

Question 3

Why should someone purchase a transportation policy?

Answer 3

Limited coverage under commercial property policy
Limitations on carrier liability
Cost-effective

Question 4

What is covered property under a transportation policy?

Answer 4

Property in a terminal (must be named in the decs)
Property in transit (type of transit must be named in the decs)

Question 5

What property is not covered in a transportation policy?

Answer 5

High value items
Contraband
Exports and Imports
Live animals

Question 6

What coverage extensions exist in a transportation policy?

Answer 6

Debris removal
Emergency removal
Pollutant removal
Property you have sold
Rejected shipments