Documents & Examination check0 / 1 answered · 0 correct
Check 1
Is “we bought insurance” enough if the LC requires a specific insurance certificate?
Insurance Documents
Policy, certificate, coverage amount, risks and dates in simple English.
When insurance is required
Whether the beneficiary must present insurance depends on the trade term and LC requirements. Incoterms and documentary-credit obligations are related but not identical.
Document type
The credit may require an insurance policy, certificate or declaration. Present the requested type and check whether signatures/issuers are acceptable.
Coverage and currency
Check the insured amount, currency, risks and any required percentage or wording. Do not assume “insured” is enough.
Date of coverage
Coverage timing can matter. A document issued later may still evidence earlier cover in some circumstances, but the exact wording and applicable practice must be checked.
Standards / source note: For documentary-credit work, read the actual credit and amendments together with UCP 600 and the current ICC ISBP where applicable.
Remember thisInsurance is another documentary condition: type, amount, risks and timing all matter.
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