In the shipping industry, insurance is not just a formality; it is a key business survival tool. Within this service, we focus on the commercial and contentious aspects of marine insurance, specifically cargo claims, Freight Forwarder Liability (FFL), and subrogation (recovery) claims. Disputes often arise in the maritime logistics chain regarding whose insurance should cover the loss—the carrier's, the forwarder's, or the cargo owner's. Correct legal positioning is crucial for receiving insurance payouts and avoiding liability.
What does Marine Insurance Dispute service cover?
This service aims to resolve insurance-related conflicts and protect freight forwarders:
- Subrogation Claims: Representing insurance companies that have indemnified a cargo owner and are now seeking recovery from the liable carrier or port.
- Freight Forwarder Liability (FFL): Protecting freight forwarders and logistics companies when they are sued for cargo loss or damage. Developing a defense strategy within the policy scope.
- Insurance Fraud: Investigating suspicious insurance claims and defending against fraudulent demands.
- Denied Claims: Disputing with insurance companies that refuse payment on technical grounds (e.g., improper packaging, route deviation).
Common Situations and Scenarios
The following cases are common in practice:
- Temperature Abuse: Perishable cargo (e.g., fruit) spoiled in a reefer container. The insurer refuses to pay, arguing "Inherent Vice" of the cargo. Expert opinion and dispute resolution are needed.
- Lost Container: A container was lost at the terminal. The cargo owner's insurer demands full compensation from the forwarder. The forwarder must utilize their liability insurance and limit liability.
- Damaged Packaging: Cargo arrived damaged, but the insurer claims the packaging was non-standard. The lawyer must prove that the damage was caused by rough handling, not the packaging.
Georgian Legislation and Regulations
In insurance disputes, the norms of the Civil Code of Georgia regarding insurance and carriage, as well as the Maritime Code, are decisive. The right of subrogation is explicitly outlined in the legislation. Additionally, in matters of forwarder liability, FIATA standard terms and international conventions (e.g., Hague-Visby Rules) are often applied, which limit carrier liability by weight. The lawyer's role is to effectively use these limits or, conversely, to overcome them (if intent is proven).
Service Process
The dispute resolution stages:
- Fact Finding: Analyzing the surveyor's report, Bill of Lading, and invoices.
- Letter of Claim: Sending a substantiated claim to the liable party (carrier/insurer).
- Subrogation: Conducting the recovery procedure on behalf of the insurance company.
- Arbitration/Court: Final resolution of the dispute in judicial instances.
Why Legal.ge?
Insurance disputes in the maritime sector require a detail-oriented approach and knowledge of logistical processes. Legal.ge gives you access to lawyers specializing specifically in cargo and insurance disputes. We will help you navigate the labyrinth of insurance policies and receive fair compensation or defend yourself against unjustified claims.
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