Much business in New Zealand is reliant on getting a product delivered to a customer, whether here in New Zealand or overseas.

If the product isn’t delivered due to pilferage, damage or other loss then the customer will often not make payment for the product.

New Zealand customers nowadays want goods delivered in a much shorter period of time and if they cannot get those goods in the timeframe in a usable state then those customers will often look elsewhere for their supplies.

In New Zealand most cartage is done via courier, truck or rail. Under the Carriage of Goods Act professional carriers have an obligation to protect the goods. This is limited however to $2,000 per unit of goods. One must remember that a unit of goods may well be the individual carton that is handed to the courier however if that carton is one of a number that is shrink-wrapped or strapped to a pallet then that pallet becomes a unit of goods. The obligation to the carrier therefore is $2,000 for the entire pallet.

For bulk goods the terminology is slightly different as a unit of goods becomes a tonne of goods, again subject to that $2,000 limitation per tonne. For household removals differing requirements apply.

Apex can provide Inland Marine Cargo insurance that will cover the costs of demolition and even loss of profit as well as of course damage or loss to or of the product itself. Cover is extended to include goods carried in own vehicles as the Carriage of Goods Act does not apply in this regard.

As with most insurance policies the idea is to protect the balance sheet of a business and ensure continuity and viability of that business.

Should the business have to pay out of its own reserves or facilities then the balance sheet is weakened. Not insuring adequately or at all can potentially lead to the end of the business.

Apex can provide cover for all of your Business Insurance needs, whether Property, Liability, Motor, Accident & Health or Trade Credit.

We tailor-make to your requirements dependant on your business needs.

Claims Examples

• An order of computers was shrink-wrapped on a pallet and sent to Wellington. On arrival it was discovered that 3 of the computers were missing. The carrier was responsible for the first $2,000 of the loss, however the invoice value was $3,500 and the insurer paid the balance.

• An office repair shop employee took a customer’s copier home to work on in the weekend. The employee had a car accident and the copier was destroyed. As the carriage was carried out by the company itself the insurer paid the loss in full less the policy excess.

To discuss further or for any queries please contact Mark Robb.