Questions surrounding cargo abandonment and seafarer welfare at port facilities prove prominent within TT Club’s COVID-19 Frequently Asked Questions (FAQs) service, the insurer has noted.
There is likely to be an increase in the abandonment of low value cargoes in containers, either delayed in transit or for which a market is no longer available, causing additional headaches for forwarders and terminals alike, the insurer stated in a 14 May release.
Similarly, amongst the issues faced by ports, many face a responsibility for properly protecting all involved in the safe transfer of ships’ crews, many of whom have had protracted periods at sea.
“While the current circumstances facing global supply chains and the operators that serve it are truly challenging, TT is providing carefully considered and pragmatic advice to real issues,” said TT Club’s Risk Management Director, Peregrine Storrs-Fox.
“As a specialist insurer for the international transport and logistics the Club has a unique insight into the nature and extent of risk exposures. As such, the ability to compile and recommend mitigating measures in the current circumstances is well-founded. In relation to the FAQs, we would welcome enquiries from the industry on issues that maybe of concern.”
Other topics currently covered by the FAQs include: dealing with customers whose cargo delivery has been delayed and the proper use of force majeure clauses in contracts; protecting key workers in a responsible way; advice on demurrage and detention charges; comments on the need to alter terms of Standard Terms and Conditions (STCs) and bills of lading in order to protect against liabilities; and a responsible approach to any relaxation of safety regulations by government authorities.
“Extraordinary circumstances will often require innovative and exceptional practices. At this time, while supply chain stakeholders strive to maintain their valuable operations effectively, we seek to provide input that supports sound, safe practices, protecting as far as possible against unexpected liabilities,” concluded Storrs-Fox.
