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insurance policy with the assured as "to order of issuing bank"

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Tue, 07/15/2014 - 05:17
yvonne allen
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Joined: 08/19/2011
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hello,

i have a question.i am currently working in the export department and was presented

an insurance policy with the assured being "to order of issuing bank".

does this mean that since the issuing bank will blank endorse this

insurance policy, it is okay for the insurance policy to have no endorsements

on its backside(like ususal) at this point, since after we send the docs(including

insurance policy) to the issuing bank and the issuing bank receives the docs it will be at that

point that the issuing bank will blank endorse the insurance policy?

will greatly appreciate reply on this matter.

‹ Negotiating bank delayed documents to issuing bank Payment obligation ›
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Tue, 07/15/2014 - 09:06
#1
pan
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Joined: 09/13/2007
Insurance problems

Hi Friend,

IMHO, the issuing bank will endorse the insurance document on delivery to applicant.

The l/c was not properly worded, see ISBP 745. However the eventual damages will be refunded to the entity that owns the goods.

Insurance document is not a document of title.

Naturally banks have their own rules and we have to follow them.

Other comments appreciated

Ciao

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