Insufficient packing
Excluded where the packing was not fit for the transit that was booked.
Definition
Clause 4.3 of the Institute Cargo Clauses excludes loss caused by insufficiency or unsuitability of packing or preparation, where the packing was carried out by the insured or their employees, or before the cover attached. Stowage inside a container counts as packing for this purpose. The IMO/ILO/UNECE Code of Practice for Packing of Cargo Transport Units — the CTU Code, 2014 edition — is the reference standard an underwriter or surveyor will compare against.
Why it decides money
The test is fitness for the transit actually undertaken, not whether the goods left your premises in good order. Photographs of the packing and the stow, taken before the doors close, are the cheapest claims evidence there is.
Related terms
- CTU Code
- The international code of practice for packing containers and trailers.
- Inherent vice
- Goods failing because of what they are, not because of anything that happened.
More in what is covered
InsuranceScanner is an insurance intermediary, not an insurer — see the Terms for our role. Nothing here is a personal recommendation that a particular cover, sum insured or deductible is suitable for you. Where anything on this page conflicts with the certificate, policy schedule or wording issued by an insurer, that document governs.