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Strike at consignee port

Due to an unsatisfactory wage increase, thousands of South African transport workers joined a national strike, which paralysed rail and port operations in Africa's biggest economy.

To avoid being stuck in the South African port, instead of heading to the original consignee's port, some ship owners considered re-routing to another port to off-load cargo for temporary storage. In cases like this, what should customers do in order to ensure coverage from their cargo insurance?

Mr. Wong is a toy manufacturer. He transported toys to his consignee in South Africa in May. However, due to the large scale strike in South Africa, the ship owner decided to change the voyage to Brazil, which is a long distance from South Africa. In this case, what should Mr. Wong do to ensure his cargo is well protected by cargo insurance?

As mentioned in previous issues, a change of voyage that deviates from the voyage originally contemplated by the policy may increase the exposure to risk. In Mr. Wong's case, he should inform his cargo insurance company immediately when the re-routing becomes known to him, so that his cargo insurance company can re-assess the risk that he may be exposed to and extend cover for his cargo.

To ensure that your customers can enjoy comprehensive cargo insurance cover, it is important to inform the cargo insurance company immediately when any changes in the conditions or voyage become known to them.

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