Institute Cargo Clauses 2009
Interlink編集部Overview
Institute Cargo Clauses 2009 are English cargo insurance wordings that define insured risks, exclusions, duration of insurance, claims requirements, loss-mitigation duties, and other principal conditions of marine cargo insurance.
ICC(2009) is not a single standalone clause. Its principal conditions are ICC(A), ICC(B), and ICC(C), which may be combined with Institute War Clauses, Institute Strikes Clauses, the Termination of Transit Clause (Terrorism), commodity clauses, and individual endorsements.
ICC(A), ICC(B), and ICC(C) differ in the way insured risks are defined. They nevertheless share many provisions concerning insufficient packing, unseaworthiness, war, strikes and terrorism, duration, insurable interest, and duties after a casualty.
In practice, the general description ICC2009 is not sufficient to determine coverage. The parties must identify the selected basic condition, confirm a date such as 1/1/09, determine whether War or Strikes cover was attached, and review whether any endorsement amended the standard wording.
This article addresses the systemic position of ICC(2009), the relationship among the clauses, and the method of reading an individual insurance contract. Detailed amendments from ICC(1982), including packing, insolvency, unseaworthiness, and change of voyage, are addressed in Main Changes in Institute Cargo Clauses 2009.
Scope of This Article
| Item | Matters Covered in This Article | Matters Covered in Other Articles |
|---|---|---|
| Status of ICC(2009) | Its status as model wording incorporated into an insurance contract rather than legislation | Main Changes in Institute Cargo Clauses 2009 addresses amendments from ICC(1982) |
| Three basic conditions | The systemic roles of ICC(A), ICC(B), and ICC(C) | The article comparing ICC(A), ICC(B), and ICC(C) addresses individual perils in detail |
| Common provisions | The common structure of exclusions, duration, insurable interest, and loss mitigation | Specialist articles address individual exclusions and duration provisions |
| Identifying the applicable edition | How to identify the edition from the policy, open cover, and endorsements | The article on reading a marine cargo policy addresses policy particulars generally |
| War risks | The division of functions between the basic ICC and Institute War Clauses | The article on Institute War Clauses addresses insured risks and duration in detail |
| Strikes and terrorism risks | The relationship with Institute Strikes Clauses and terrorism termination wording | The article on Institute Strikes Clauses addresses the insured risks in detail |
| Commodity and individual conditions | How commodity clauses, warranties, and endorsements amend the standard ICC | Specialist articles address used machinery, refrigerated cargo, bulk cargo, and other risks |
| Relationship with the sales contract | The separate functions of Incoterms and cargo insurance wording | Articles on CIF, CIP, and FOB address transfer of risk and insurance obligations |
| Relationship with the contract of carriage | The distinction between B/L liability and insurance coverage | The article on cargo claims against carriers addresses liability limits and deadlines |
| Final determination of an individual claim | The system and review sequence required for a coverage analysis | Final coverage depends on the policy, endorsements, governing law, and casualty facts |
Systemic Status of ICC(2009)
ICC(2009) is not legislation, a treaty, or a mandatory administrative rule. It operates as contractual wording when incorporated into a cargo insurance contract between the insurer and policyholder.
The existence of standard ICC(2009) wording does not cause it to apply automatically to every cargo policy. The type and date of the wording must be identified from the policy, certificate, open-cover agreement, endorsement, or other contractual document.
An individual policy may add provisions, delete specified clauses, impose a deductible, amend a storage period, or introduce requirements relating to a particular cargo, route, or vessel.
The standard wording must therefore be read together with the schedule, policy particulars, special conditions, endorsements, and open-cover agreement.
Overall Structure of the ICC(2009) System
| Level | Main Document or Clause | Principal Function | Matter Not Determined Alone | Practical Review |
|---|---|---|---|---|
| Basic insurance document | Policy, certificate, or open-cover agreement | Identifies the Assured, cargo, value, transit, and basic condition | Detailed clause wording | Review policy number, From and To fields, sum insured, and applicable clauses |
| Basic ordinary-risk condition | ICC(A), ICC(B), or ICC(C) | Defines ordinary transit risks and principal exclusions | War, strikes, and terrorism risks | Confirm the condition and a date such as 1/1/09 |
| War-risk cover | Institute War Clauses (Cargo) | Separately covers specified war, civil war, capture, and restraint risks | Ordinary breakage, wet damage, or theft | Review attachment, termination, and cancellation provisions |
| Strikes and terrorism cover | Institute Strikes Clauses (Cargo) | Separately covers specified strikes, riots, and terrorism-related acts | War risks and ordinary transit risks | Review insured risks and duration |
| Termination of terrorism cover | Termination of Transit Clause (Terrorism) | Defines the place and time at which terrorism cover ends | Whether the casualty constitutes terrorism | Review storage, distribution, container use, and elapsed time |
| Commodity conditions | Commodity clauses and conditions for refrigerated or used cargo | Define cargo-specific risks and exclusions | Priority over the basic ICC | Review commodity wording and priority provisions |
| Individual amendment | Endorsement, warranty, or special condition | Adds, deletes, or amends standard wording | Priority among all policy documents | Compare every amendment with the basic ICC |
| Related contract | Sales contract, Incoterms, B/L, or contract of carriage | Defines allocation of risk, costs, and carrier liability | The insurer's coverage obligation | Review separately from the cargo insurance contract |
Basic Roles of ICC(A), ICC(B), and ICC(C)
| Comparison Item | ICC(A) | ICC(B) | ICC(C) | Practical Caution |
|---|---|---|---|---|
| Coverage structure | Broadly covers accidental external loss unless excluded | Covers risks specifically listed in the wording | Covers a narrower list of specified risks | Review the cause of loss rather than the condition name alone |
| Central evidential issue | Accidental loss and application of an exclusion | Whether the loss is reasonably attributable to a listed risk | Whether the loss is attributable to a narrower listed risk | The existence of damage alone does not establish cover |
| Typical use | General cargo, high-value cargo, and cargo susceptible to damage | Where an intermediate scope of named-perils cover is selected | Where minimum cover for major specified casualties is selected | Select according to the cargo and sales requirements |
| War risks | Excluded under the basic condition | Excluded under the basic condition | Excluded under the basic condition | Review Institute War Clauses separately |
| Strikes and terrorism risks | Excluded under the basic condition | Excluded under the basic condition | Excluded under the basic condition | Review Institute Strikes Clauses separately |
| Common exclusions | Wilful misconduct, ordinary wear, insufficient packing, inherent vice, and delay | Contains similar common exclusions | Contains similar common exclusions | Broad cover does not remove the exclusions |
| Duration | Uses the common Transit Clause | Uses the common Transit Clause | Uses the common Transit Clause | Do not confuse breadth of risks with duration |
ICC(A) is generally broader, but it does not insure every loss without limitation. Under ICC(B) and ICC(C), the causal relationship between the loss and a listed peril is particularly important.
Individual insured perils and differences among the basic conditions are addressed in the article comparing ICC(A), ICC(B), and ICC(C). This article is limited to their positions within the ICC(2009) system.
Principal Provisions Common to ICC(A), ICC(B), and ICC(C)
| Provision Group | Principal Content | Practical Review | Common Misunderstanding |
|---|---|---|---|
| Risks Covered | Insured risks, general average, and the Both to Blame Collision Clause | Identify the selected condition and cause of loss | The condition name alone does not determine coverage |
| Exclusions | General exclusions, unseaworthiness, war, strikes, and terrorism | Review causation, party performing the work, knowledge, and extensions | ICC(A) also contains substantial exclusions |
| Duration | Attachment, termination, termination of carriage, and change of voyage | Review first movement, unloading, storage use, and notice | Warehouse-to-warehouse cover does not continue unconditionally |
| Claims | Insurable interest, forwarding charges, constructive total loss, and increased value | Review insurable interest at the time of loss and other insurance | Possession of a policy does not alone establish a claim right |
| Benefit of Insurance | Benefits the Assured or assignee and does not benefit a carrier or bailee | Review the Assured, assignment, endorsement, and claimant's status | A carrier does not automatically benefit from the cargo policy |
| Minimising Losses | Loss mitigation and preservation of rights against third parties | Give notice, arrange a survey, and reserve rights against carriers | Submitting only an insurance claim is insufficient |
| Avoidance of Delay | Requires the Assured to act with reasonable despatch | Review casualty response, repair, forwarding, and notice | Every increase in loss caused by inaction is not necessarily insured |
| Law and Practice | The standard wording refers to English law and practice | Check whether an endorsement changes the governing law | Unamended English law does not necessarily apply to every contract |
Typical Situations in Which ICC(2009) Applies
| Situation | Main Contractual Document | Wording to Identify | Practical Caution |
|---|---|---|---|
| Single-shipment cargo insurance | Policy or certificate | Institute Cargo Clauses (A) 1/1/09 or equivalent notation | The notation ICC(A) alone does not identify the edition |
| Open cover | Open-cover agreement and endorsements | Basic wording, date, and declaration conditions | Conditions omitted from the certificate may appear in the master agreement |
| Seller-arranged CIF or CIP insurance | Seller's policy, sales contract, and assignment | ICC condition, sum insured, Assured, and assignment | Compare the Incoterms obligation with the policy actually arranged |
| Letter-of-credit transaction | Letter of credit and presented insurance document | Required clause and the wording actually presented | The expression All Risks does not establish ICC(A) 2009 |
| Three-party trade | Multiple sales contracts, policy, and endorsement | Party arranging insurance and party acquiring the claim right | Separate the status of seller, intermediary, and final buyer |
| Renewal of a continuing contract | Original agreement, renewal endorsement, and amendment | Whether the edition changed from 1982 to 2009 | Renewal does not automatically change the wording |
| Assignment of a foreign cargo policy | Original policy, endorsement, and sales contract | Edition, governing law, and assignment requirements | The conditions may differ from ordinary Japanese market practice |
| Special or project cargo | Policy, survey requirements, and warranties | Additional conditions attached to the standard ICC | Individual conditions may be more important than the standard wording |
Basic Requirements for a Claim under ICC(2009)
| Requirement | Review | Main Evidence | Problem if Not Satisfied |
|---|---|---|---|
| Incorporation of the wording | ICC(2009) was validly incorporated into the contract | Policy, open cover, and endorsements | Another edition or wording may apply |
| Insured cargo | The damaged cargo was declared as the subject-matter insured | Declaration, invoice, and packing list | Non-declaration or cargo discrepancy may arise |
| Insurable interest | The claimant had an insurable interest at the time of loss | Sales contract, Incoterms, and risk-transfer evidence | The claimant may lack a right to recover |
| Insured period | The casualty occurred after attachment and before termination | Removal, carriage, and unloading records | The casualty may fall outside the insured period |
| Insured peril | The event falls within ICC(A) or a listed peril under ICC(B) or ICC(C) | Casualty report, survey, and transport records | The cause may not be insured |
| No applicable exclusion | Packing, inherent vice, delay, or another exclusion does not apply | Packing, inspection, and causation records | An insured peril may nevertheless be excluded |
| Compliance with contractual conditions | Declarations, notices, surveys, and warranties were satisfied | Notices, approvals, and survey certificates | Breach of an individual condition may arise |
| Proof of amount | Repair, replacement, salvage, and residual value are established | Invoices, estimates, and adjustment records | The amount payable cannot be determined |
| Preservation of rights | Rights against carriers and other third parties were preserved | Casualty notice, reservation of rights, and delivery records | The insurer's subrogated recovery may be prejudiced |
Situations Not Determined by ICC(2009) Alone
| Situation Requiring Separate Review | Why ICC(2009) Is Insufficient | Contract or Rule to Review |
|---|---|---|
| War risks | They are excluded under the basic ICC | Institute War Clauses and cancellation provisions |
| Strikes and terrorism risks | They are excluded under the basic ICC | Institute Strikes Clauses and terrorism termination wording |
| Delay and loss of profit | Ordinary cargo insurance primarily covers physical damage | Delay insurance, project insurance, and sales contract |
| Carrier liability | ICC governs the relationship between the insurer and Assured | B/L, conditions of carriage, conventions, and local law |
| Transfer of risk between seller and buyer | ICC does not allocate sales risk | Sales contract and Incoterms |
| Transfer of title | Neither ICC nor Incoterms alone determines title | Sales contract and governing law |
| Domestic-only transport | Domestic transit wording may apply instead | Domestic transit policy and special clauses |
| Air cargo | Separate air cargo clauses exist | Institute Cargo Clauses (Air) |
| Sanctioned transaction | Sanctions provisions are separate from the standard insured risks | Sanction Limitation and Exclusion Clause and applicable law |
| Cyber-related loss | A cyber exclusion or endorsement may apply | Marine Cyber Endorsement and individual conditions |
Priority between Standard ICC and the Individual Policy
The final insurance conditions cannot be established by reading only the standard ICC(2009) wording. Several documents commonly form one insurance contract.
| Review Order | Document | Principal Function | Practical Caution |
|---|---|---|---|
| 1 | Policy schedule and particulars | Identify the Assured, cargo, value, transit, and basic condition | Review condition, date, and deductible |
| 2 | Individual endorsement or special condition | Add, delete, or amend the standard condition | It may override standard ICC wording to the extent of inconsistency |
| 3 | Commodity wording or warranty | Define cargo- or transport-specific requirements | Review survey, packing, vessel, and storage requirements |
| 4 | ICC(A), ICC(B), or ICC(C) | Define ordinary risks, exclusions, duration, and claim conditions | Confirm a date such as 1/1/09 |
| 5 | Separate War or Strikes wording | Supplement risks excluded under the basic ICC | Review duration as well as insured risks |
| 6 | General policy conditions and governing-law provision | Define general matters applying to the complete insurance contract | Review priority and any amendment of governing law |
Two policies both described as ICC(A) 2009 may provide different practical cover where they contain different endorsements, deductibles, storage conditions, commodity clauses, or governing-law provisions.
Division of Scope from the Article on Changes from ICC(1982)
Understanding the amendments from ICC(1982) is important when reading ICC(2009). This article does not repeat the detailed interpretation of each amendment.
| Area of Amendment | Position within ICC(2009) | Matter Covered Here | Article Providing Detailed Analysis |
|---|---|---|---|
| Attachment and termination | Duration | They form common duration provisions across the three conditions | Main Changes in Institute Cargo Clauses 2009 |
| Insufficient packing | General Exclusions | It is a common exclusion under the three basic conditions | Main Changes in Institute Cargo Clauses 2009 |
| Insolvency of vessel interests | General Exclusions | It is a common exclusion separate from breadth of ordinary-risk cover | Main Changes in Institute Cargo Clauses 2009 |
| Unseaworthiness and unfitness | Unseaworthiness and Unfitness Exclusion | Vessels and containers are addressed under separate provisions | Main Changes in Institute Cargo Clauses 2009 |
| Change of voyage | Duration | Notice and agreement of conditions may be required | Main Changes in Institute Cargo Clauses 2009 |
| Good-faith assignee | Specified exclusions and Benefit of Insurance | The claimant's status must be reviewed under an assigned contract | Main Changes in Institute Cargo Clauses 2009 |
| Terrorism wording | Strikes Exclusion and separate Strikes cover | Basic exclusions and separate cover must be reviewed together | Main Changes in Institute Cargo Clauses 2009 |
Relationship with War, Strikes, and Terrorism Conditions
| Condition | Principal Risks | Relationship with the Basic ICC | Duration Feature | Practical Caution |
|---|---|---|---|---|
| ICC(A), ICC(B), and ICC(C) | Ordinary transit risks | Exclude war and strikes or terrorism risks | Subject to the ordinary Transit Clause | Do not assume that special risks are included |
| Institute War Clauses | War, civil war, specified capture, restraint, and derelict weapons | Separately supplement the war exclusion | Use attachment and termination provisions different from ordinary cover | Review inland stages and any cancellation notice |
| Institute Strikes Clauses | Strikes, riots, and specified terrorism or motive-based acts | Separately supplement the strikes and terrorism exclusions | Must be considered in relation to the ordinary course of transit | Distinguish an insured act from mere labour shortage or delay |
| Termination of Transit Clause (Terrorism) | Termination of terrorism cover | May override inconsistent duration provisions | Terminates on unloading, non-transit storage, container storage, or expiry of a time limit | Strikes cover does not provide unlimited terrorism cover |
| Individual war or sanctions endorsement | Specified route, territory, vessel, or sanctions exposure | Amends standard War wording | May change following cancellation or geographical amendment | Review notices before and during the voyage |
Comparison with Other Contracts and Legal Structures
| Contract or Structure | Principal Function | Relationship with ICC(2009) | Matter Not Determined by ICC(2009) | Evidence |
|---|---|---|---|---|
| Sales contract | Defines rights, obligations, price, and quality between seller and buyer | Influences insurable interest and required insurance design | Title, payment, and contractual damages | Sales contract, purchase order, and letter of credit |
| Incoterms | Allocates delivery, risk, and costs | Influences which party requires insurance for each stage | The insurer's actual coverage obligation | Sales contract and named place or port |
| B/L and contract of carriage | Define transport scope and carrier liability | Affect causation, recovery targets, and subrogation | Coverage under the cargo policy | B/L, Sea Waybill, and conditions of carriage |
| Insurance policy | Incorporates the ICC and identifies cargo, transit, and value | Is the principal document making ICC(2009) contractually applicable | Transfer of risk under the sales contract | Policy, certificate, and open cover |
| Insurance law and governing law | Regulate interpretation and legal effect of the insurance contract | Influence interpretation and enforceability of ICC provisions | The factual cause of the casualty | Governing-law clause, legislation, and case law |
| Carrier liability insurance | Insures the carrier's established legal or contractual liability | Is separate from the cargo owner's ICC policy | Unconditional payment of the complete cargo value | Liability policy and contract of carriage |
| Project delay insurance | Covers specified economic loss caused by delay following physical damage | May supplement ordinary cargo insurance | Every contractual penalty or delay loss | Project insurance contract and construction schedule |
Practical Flow for Reviewing ICC(2009)
- Obtain the policy, certificate, or open-cover agreement.
- Identify whether ICC(A), ICC(B), or ICC(C) was selected.
- Confirm a date such as 1/1/09 and distinguish ICC(2009) from ICC(1982).
- Review separate War, Strikes, Terrorism, and other conditions.
- Review endorsements, deductibles, commodity clauses, and warranties.
- Identify the Assured, assignee, claimant, and insurable interest.
- Review the From and To fields and the actual logistics to identify attachment and termination.
- Determine whether the cause falls within ICC(A) or a listed peril under ICC(B) or ICC(C).
- Review packing, inherent vice, delay, and other exclusions.
- Give casualty notice, arrange a survey, mitigate the loss, and preserve rights against third parties.
- Determine priority between the standard ICC and individual endorsements.
- Obtain specialist advice where the edition, governing law, or claim right is disputed.
The analysis begins by identifying the basic condition, date, separate extensions, and endorsements incorporated into the individual contract, rather than by relying solely on the label ICC2009.
Cases That Frequently Cause Practical Problems
| Case | Main Cause | Documents and Evidence | Decision Point | Initial Response |
|---|---|---|---|---|
| Certificate states only ICC(A) | Omission of the wording date | Open cover and insurance endorsement | Whether the 1982 or 2009 edition applies | Request confirmation from the insurer or insurance agent |
| Certificate conflicts with the open cover | Issuing error or failure to reflect a renewal amendment | Original agreement, renewal endorsement, and certificate | Priority and the conditions actually agreed | Obtain a corrected certificate and written confirmation |
| War casualty under ICC(A) | War cover was not attached | Policy, War endorsement, and casualty evidence | War exclusion under the basic ICC and separate cover | Confirm War cover and notify the insurer |
| Terrorism casualty during prolonged storage | Change from ordinary transit to storage | Strikes wording, termination clause, and storage instruction | Whether terrorism cover continued at the time of loss | Establish storage purpose, commencement, and resumption of transit |
| CIF buyer claiming under a foreign policy | Unclear assignment or insurable interest | Sales contract, original policy, endorsement, and payment evidence | Whether the claimant is the Assured or a valid assignee | Organise the transfer documents and notify the insurer |
| Warranty conflicts with standard ICC for special cargo | Failure to satisfy survey or packing requirements | Policy, warranty, and survey records | Content and priority of the individual condition | Stop the operation and confirm insurer approval |
| Carrier states that its own insurance will respond | Confusion between cargo insurance and liability insurance | ICC policy, carriage contract, and carrier's policy | Difference between first-party cover and liability recovery | Notify both insurers and reserve all rights |
| Endorsement discovered only after the casualty | Fragmented contract-document control | Complete policy file, emails, and renewal records | Extent to which the standard ICC was amended | Collect all documents existing at contract inception |
| Actual route differs from the From and To fields | Non-declaration, change of destination, or warehouse change | Policy, transport records, and change notice | Whether the changed stage remains insured | Notify the insurer promptly and confirm revised conditions |
Documents to Be Reviewed by Practitioners
| Document | Main Item to Review | Purpose | Action if Unclear |
|---|---|---|---|
| Policy or certificate | Condition, date, Assured, From and To fields, and sum insured | Identify the principal contract terms | Consult the insurer or insurance agent |
| Open-cover agreement | Basic wording, declaration conditions, and renewals | Identify conditions omitted from the certificate | Obtain the full agreement and renewal history |
| Endorsement | Additions, deletions, exclusions, and priority | Identify amendments to standard ICC wording | Obtain written confirmation of priority |
| War and Strikes wording | Attachment, duration, and cancellation | Identify special-risk cover | Obtain the complete separate wording |
| Sales contract or letter of credit | Incoterms, insurance requirement, and assignment | Identify insurable interest and required conditions | Consult the bank, legal staff, or specialist adviser |
| B/L or transport document | Transport scope, carrier, destination, and changes | Identify the insured stage, casualty location, and recovery target | Obtain records from the freight forwarder or shipping line |
| Casualty and survey evidence | Cause, place, time, and amount of loss | Apply the insured perils and exclusions | Arrange a survey before repair or disposal |
Application Scenario 1: Machinery Exported through Yokohama with a Certificate Stating Only ICC(A)
Assume that a Japanese shipper exports precision machinery valued at JPY 24 million through Yokohama and drops the cargo during removal from the warehouse.
The insurance certificate retained internally states only ICC(A) and does not identify whether the 1982 or 2009 edition applies. The shipper argues that ICC(2009), which may attach during the first movement for immediate loading, applies.
Neither the date of the casualty nor the notation ICC(A) establishes the 2009 edition.
The open-cover agreement, renewal endorsements, and insurance schedule must first be reviewed to determine whether Institute Cargo Clauses (A) 1/1/09 was incorporated. The warehouse movement can then be examined under the applicable attachment provision.
Identification of the applicable wording and application of the casualty facts to that wording are separate stages of the analysis.
Application Scenario 2: War-related Loss Affecting CIF Cargo for Kobe
Assume that a Japanese buyer purchases chemicals valued at JPY 68 million under CIF Kobe and receives an assigned foreign policy stating ICC(A) 1/1/09.
During transit, the cargo cannot be delivered because of a war-related capture. The buyer assumes that ICC(A), being a broad condition, covers the loss.
ICC(A) 2009 nevertheless excludes war risks under the basic wording. The parties must determine whether Institute War Clauses were attached and whether their insured risks and duration apply to the casualty.
The issue cannot be resolved solely by comparing ICC(A) with ICC(B) or ICC(C). The basic ICC, War wording, any cancellation notice, cause of loss, and duration must be reviewed together.
Application Scenario 3: Individual Endorsement Amending Storage Conditions for Cargo Arriving at Nagoya
Assume that precision equipment valued at JPY 120 million arrives at Nagoya and remains inside a container for 25 days after customs clearance. Wet damage occurs during that period.
The cargo owner argues that the loss necessarily occurred within the insured period because it was within 60 days after discharge under the standard ICC(2009) Transit Clause.
An individual endorsement, however, states that insurance terminates when the container is used for storage outside the ordinary course of transit. The standard wording itself also treats election to use a container for non-transit storage as a terminating event.
The analysis must therefore identify when the decision to use the container for storage was made, whether the ordinary course of transit continued, and how the endorsement amended the standard wording.
The 60-day period cannot be considered separately from the other terminating events, the endorsement, and the actual logistics purpose.
Common Misunderstandings
| Misunderstanding | Correct Analysis | Practical Caution |
|---|---|---|
| ICC(2009) is one clause | It is a system centred on ICC(A), ICC(B), ICC(C), and related wordings | Review the basic condition and separate extensions |
| Every casualty after 2009 is subject to ICC(2009) | The edition is determined by the wording and date incorporated into the contract | Review the policy and open cover |
| ICC(A) includes war and terrorism | War and strikes or terrorism risks are excluded under the basic ICC | Review War and Strikes cover separately |
| ICC(A) covers every possible loss | Exclusions include packing, inherent vice, and delay | Review causation and exclusions |
| ICC(B) and ICC(C) have a lower sum insured | The principal distinction concerns insured perils | Separate the sum insured from the coverage condition |
| The notation ICC(A) identifies the edition | The date must be checked to distinguish ICC(1982) and ICC(2009) | Confirm 1/1/82 or 1/1/09 |
| Standard ICC wording cannot be amended | It may be added to, deleted, or amended by endorsement | Review the complete policy file |
| Incoterms determines the scope of ICC cover | Incoterms and cargo insurance wording perform different functions | Compare the sales and insurance conditions |
| Cargo insurance is unnecessary where the carrier is liable | Carrier liability and cargo insurance use different rights and recovery processes | Pursue the insurance and liability claims in parallel |
| Any holder of the policy may claim | The Assured, assignee, and insurable interest must be established | Review endorsements and the sales contract |
Decision Checklist
| Review Stage | Party to Consult | Item to Confirm | Action if a Problem Is Identified |
|---|---|---|---|
| When concluding the insurance contract | Insurer and insurance agent | ICC condition, date, deductible, and separate extensions | State them in the policy or endorsement |
| When renewing an open cover | Insurer and internal insurance staff | Changes to the edition and endorsements | Compare and retain the former and revised conditions |
| When concluding a CIF or CIP sale | Seller, buyer, and insurer | Required ICC condition, sum insured, and assignment | State specific insurance requirements in the sales contract |
| When issuing a letter of credit | Bank, seller, and buyer | Required wording and edition | Replace an ambiguous All Risks requirement with specific wording |
| Before shipment of special cargo | Insurer, surveyor, and logistics staff | Warranties, packing, vessel, and storage conditions | Do not commence the operation before approval |
| When attaching War or Strikes cover | Insurer and insurance agent | Insured perils, attachment, termination, and cancellation | Review the basic ICC and separate conditions together |
| When receiving the policy | Seller, bank, and insurer | Assured, endorsement, From and To fields, and wording date | Request correction before shipment or on receipt |
| When changing destination or route | Buyer, shipping line, and insurer | Changed stage, notice, revised terms, and sanctions | Give prompt notice and agree revised terms |
| Immediately after a casualty | Insurer, surveyor, and carrier | Applicable wording, cause, stage, and evidence | Notify and preserve evidence before repair or disposal |
| When submitting a claim | Insurer and insurance agent | Insurable interest, amount of loss, other insurance, and recovery targets | Organise documents and reserve rights against third parties |
| When interpretation is disputed | Insurer, maritime lawyer, and legal staff | Standard ICC, endorsements, governing law, and contract history | Confirm deadlines and reserve all rights |
When to Consult a Maritime Lawyer
Routine review of conditions, casualty notification, and insurance claims should generally be handled with the insurer or insurance agent. Advice from a lawyer experienced in marine insurance and international trade should be considered where:
- The parties dispute whether ICC(1982) or ICC(2009) was incorporated
- Priority between the standard ICC and an endorsement is unclear
- The status of the Assured, assignee, or insurable interest is disputed
- A foreign insurer relies on foreign law or a foreign jurisdiction clause
- Application or termination of War, Strikes, or Terrorism cover is disputed
- A sanctions provision restricts coverage or transfer of insurance proceeds
- The insurer and carrier each deny responsibility
- An insurance claim deadline, carrier notice period, or litigation time bar is approaching
An insurance claim under the ICC and a damages claim against a carrier, seller, warehouse operator, or packing contractor arise under different rights and may be subject to different deadlines. Discussions with the insurer should not result in failure to notify third parties or preserve recovery rights.
Summary
ICC(2009) is not a single standalone clause. It is a system centred on ICC(A), ICC(B), and ICC(C), supplemented by War, Strikes, Terrorism, commodity clauses, and individual endorsements.
ICC(A), ICC(B), and ICC(C) use different structures for insured risks but share provisions concerning exclusions, duration, insurable interest, loss mitigation, and governing law.
ICC(2009) is model wording incorporated into an individual insurance contract rather than legislation. The applicable edition cannot be determined from the casualty date or the notation ICC(A) alone. The wording date, policy, open cover, War and Strikes conditions, commodity wording, and endorsements must be reviewed.
ICC does not determine transfer of risk under the sales contract, title, carrier liability, or project-delay loss. Incoterms, B/L terms, sales contracts, and liability insurance must be reviewed separately.
The practical analysis begins by identifying every document incorporated into the policy and then applying the Assured, cargo, transit, insured perils, exclusions, and casualty facts to those conditions. Detailed amendments from ICC(1982) are addressed in Main Changes in Institute Cargo Clauses 2009.
