Work related to customs clearance, only at first glance, can not harm anyone. However, this is a rather complicated legal procedure consisting of many stages. And at any moment an emergency situation can occur, as a result of which property of individuals or legal entities will be damaged. In order to minimize losses, the contract of liability insurance of the customs representative is a binding document in the implementation of his professional activities.
Participants in the contract process
The insurance agreement is executed by a customs broker as an insured and an insurance company as an insurer. The agreement is concluded in favor of enterprises, organizations, citizens, whose interests are represented by a customs broker.
The insurance organization must carry out its activities in the field of civil liability insurance of customs representatives on the basis of applicable laws and regulations and the availability of a license for this type of insurance.
A broker or licensees who work as a customs agent are involved in the customs clearance of products or vehicles. Their activities are carried out in accordance with the current state license. All representatives of this sphere are registered in the register of customs representatives. These can be operators of customs terminals, carriers, owners of warehouses at customs.
The insurance contract is signed by the broker and the insurer. However, payment will be made to third parties. To do this, they must have an agreement with a customs broker to carry out their professional activities. Such an agreement must be notarized. However, if the transaction is one-time, and its price does not exceed the norms established by law, the contract can not be certified by a notary.
Insurance object
The activities of the customs representative are directly related to possible losses for their customers. Any inaccuracy in documents or inconsistency of data in declarations can lead to property losses of the broker's client. Customs representatives civil liability insurance is related to compensation for the loss caused to property of third parties if:
- damage caused as a result of the broker's professional activities;
- in the territory and during the validity of the insurance agreement;
- the fact of causing material damage was made during the customs documentation of the products that are indicated in the current permits from the customs broker.
Insurance event
In the case of poor-quality provision of services by the customs representative, the insurance company has an obligation to cover the losses caused to the broker's customers. An insured event is the actual occurrence of liability of the customs operator for property damage caused by failure to fulfill obligations under the contract.
Damage must always be documented. The injured party is obliged to present a property claim or provide a court decision on compensation for losses. Damage includes all expenses that have already been incurred or have yet to incur to renew their property.
An insurance event is considered if the customs broker inadvertently violated its customs clearance obligations, which led to:
- violation of the approved deadlines for the submission of information about products or a transported car;
- incorrect determination of the amount of the customs fee;
- making increased customs payments;
- delay or incomplete payment of the amount of the customs fee;
- the imposition of fines in connection with incorrect customs clearance;
- use of declared goods until the moment of completion of their clearance at customs.
Denial of damages
The customs representative liability insurance contract does not apply when the following events occur:
- intentional actions or inaction of the broker, operator;
- incurred property losses after the termination of the contract with third parties, regardless of the initiator of the termination;
- military events, popular unrest, manifestations of terrorism;
- radiation exposure, nuclear strike;
- submission of knowingly false information about the customs clearance object;
- exclusion from the register of customs representatives and deprivation of a license for brokerage.
Amount of insurance coverage
The monetary expression of responsibility of a financial company cannot be less than ten thousand minimum wages and is finally determined by agreement between the parties to the contract process. The sum insured for insurance of civil liability of customs representatives may be distributed between insurance events for a separate group of customs goods or for a one-time event.
The contract may provide for a conditional or unconditional franchise. The amount by which the payment amount will be reduced in any case is considered the unconditional deductible amount in insurance. If the loss is less than the contingent size of the franchise, then compensation will not be accrued at all. At the same time, if the amount of damage exceeds its conditional size, then the insurer bears full responsibility in reimbursing the full amount of expenses.
Insurance payment
For customs representative liability insurance, the size of the insurance premium depends on the amount of the contract and the rate. The basic insurance rate primarily depends on the length of professional activity. So, with an experience of more than six years, this percentage is 1.2, and in the complete absence of experience - 2.0% of the sum insured. Further, increasing and decreasing coefficients are applied. Their size is affected by the object of the contract, possible insurance risks, the quality of customs activity, insurance history.
The insurance premium can be paid in one payment or divided into two parts. The insurance fee can be transferred to the bank account of the insurance company or paid directly through the cash desk of the company. If insurance payments have not been paid on time, the insurer is not liable for the occurrence of the insurance event.
Conclusion of an agreement
The agreement between the two parties is made out exclusively in writing. For this, the customs representative of Russia provides the insurance company:
- a statement with a list of the facility, events, amount of security, terms of the contract, the expected number of agreements, the number of claims;
- copies of official documents permitting customs activities;
- copies of contracts with third parties;
- certified tax reporting;
- Bank statement on the balance of capital in the client’s accounts.
An insurance document is concluded for any desired period, limited only by the validity period of permits for this type of activity. Insurance coverage extends to the risks specified in the contract only after the insurance premium has been paid. Customs representative liability insurance helps brokers reduce their possible material losses by transferring them to an insurance company.