Hello, In ch3, page 26 of the notes you refer to the three covers above as if they are distinct. Could you tell me what the difference is? When I look on the internet some people suggest they are all the same, some say cargo is goods transported by air and sea, freight by land, and others refer to cargo as the insured's goods that he/she is transporting, frieght as other people's goods that the insured is transporting. No-one, however, seems to think all three covers are seperate or describes freight as ActEd has, namely, "the money payable for shipment for the cargo". Many thanks, Nick
Hi Nick You're right, there are lots of different interpretations of all these terms, and an awful amount of potential overlap, depending on what products/transport methods you're covering - marine, aviation, transport, goods in transit, etc. Thankfully the examiners won't be too rigid on exact definitions, it's more the principles that they're interested in, and if in doubt, just spell out what you're assuming to be meant, and you should be ok. You'll notice that somewhere the Core Reading mentions the Marine Insurance Act 1906. Marine business is still very much conducted under the direction of this important act, and in there, freight is as we've described, so we've stuck with that. I'm sure lots of people think of it as the cargo though! If you're interested in the finer nuances of the differences in cover, I strongly recommend buying the Insurance Law Handbook (Barlow Lyde and Gilbert), as mentioned somewhere in the GI Course Notes. Whilst not mandatory reading, it has whole chapters covering these classes of business, along with references to definitions, Acts, law etc. And if you get bored, it makes a very good paper weight Hope this helps Ian
Hi Ian, Thanks, that was very useful - I had a quick look at the handbook and also read some other sources and I now have a much better understanding of the essence of each of the covers, despite many the interpretations of detail. Apologies for late reply and thanks again. Nick
