A Glimpse Of The Hidden Traps In The Warehouse To Warehouse Clause

Warehouse to Warehouse Clause(abbr.W/W) which clarifies the duration of insurance is a special term of Marine Insurance Policy.It provides the concrete period of the insurer's protection and indemnity liability as attaches from the time the goods "leave"the warehouse or place of storage at the palce named herein for the commencement of the transit and terminates on "delivery "to the Consignees or other final warehouse or place of storage at the destination named herein.For this definition.It's predominant characteristics are sufficiency,vertebration and universality.The academic circle takes high praid of these characteristics.But the duration of insurance in practice links closely with insurable interest and risk transfer.This makes the concrete insurance period varies under the different commerce terms.And the duration of insurance always be shorted. Generally speaking,the policyholder always be easily mislead to overestimate its characteristics and neglect those conditions.All these bring about the dispute between the policyholder and the insurer.This paper analyze the fundamental reasons of the disagreement between the theory and practice of the commencement and termination of the insurance period under the W/W clause and the effect the insurable interest put on the insurant's right of appeal through a marine insurance dispute case. At the same time, this paper explores the method of possible arrangement on the freight and insurance which ensure their interest to maximum and tries to find a way to settle the problem at all.This paper consists of five sections besides preface and conclusion:The preface puts forward the topic to be studied generally.SectionⅠprovides the case' name: An import and export corporation v. B insurance agent.SectionⅡintroduces the details of case. A made an international goods contract with C under the term CIF.C covered all-risk insurance which include WAV clause with the insurance agent B. On the way to the port of shipment, an accident caused the damage of part of goods. The rest of the goods were delivered to the warehouse of the port of destination. A picked up some goods. But a conspiracy of wind and tide devastated the other goods. The insurer refused to compensate the loss.SectionⅢsums up all the arguments on either side One is the damage of the goods which happened on the way to the port of shipment should be compensated or not. The second is whether the importer has a right of Claim for Compensation. The third is whether the insurance period terminated by picking up part of the goods.SectionⅣanalyze the focuses of section 3 and to point out the disagreement between the theory and practice of the commencement and termination of the insurance period under the W/W clause and the effect the insurable interest put on the insurant's right of appeal.The last part of this paper is my conclusion which tries to explain the fundamental reason of such dispute, and table a proposal of possible arrangement on the freight and insurance which ensure their interest to maximum and tries to find a way to settle the problem at all.