Henrik Jantzen, Hafnia Law, Denmark

Cargo insurance for goods imported to Denmark and domestic carriage in Denmark is normally taken out on Danish standard clauses, adopted by the Trade Association of Danish Insurance Companies, (IPD).

These standard terms include all risk clauses (named Danish Extended Clauses) and named perils clauses (named Danish Limited Clauses), based on Institute Cargo Clauses (A) and Institute Cargo Clauses (C), respectively. Moreover, Danish standard terms include Strike and War Risks Clauses, as well as standard clauses for chilled and frozen goods.

The Danish Standard Clauses have since 1934 been based on and referred to the Danish Marine Insurance Plan (called The Danish Marine Insurance Convention), adopted by various stakeholders and are considered as an Agreed Document. Accordingly, the Danish Marine Insurance Plan forms an integrated part of the terms applicable when cargo insurance is taken out on Danish terms.

The Danish Marine Insurance Plan has not been revised since 1934. Several of the provisions are either outdated or need to be unformulated or amended in order to comply with the developments in the mode of carriage of goods and amended regulations since 1934. However, no such revision of the Plan is intended to be made. In consequence hereof, IPD decided to revise the Standard Cargo Clauses to form stand-alone clauses, without the Danish Marine Insurance Plan to apply.

In October 2018, revised Standard Cargo Clauses were published by IPD. These revised clauses do not refer to the Danish Marine Plan to apply, but incorporate the relevant parts of the Plan, including

  • provisions regarding adjustment of partial damages and total loss, respectively
  • provisions for the goods being considered an actual or constructive total loss
  • exclusions for deck cargo not common for the trade
  • provisions about the legal rights of the (co)insured and a holder of an insurance certificate
  • law and jurisdiction clauses

These revised standard clauses include the following: Danish Extended Clauses 2018, Danish limited Clauses 2018, Danish War Risk Clauses 2018, Danish Strike Clauses 2018, Danish Clauses Chilled/Frozen Goods (24 hours’ breakdown) 2018 and Danish Extended Clauses Chilled/Frozen Goods 2018.

The revised clauses have so far been published in Danish only. The Standard Clauses are uploaded on IPD website (www.forsikringogpension.dk) together with IPD’s commentary notes.

Our Danish editor, Henrik Thal Jantzen, Hafnia Law Firm, was appointed by IPD to assist in the revision work of these cargo clauses.