Clause C


One of three standardized marine insurance contract clauses established by the Institute of London Underwriters (ILU) in 1982 and revised in 2009 that define: the risks covered, exclusions, duration, claims, benefit of insurance, minimizing losses, avoidance of delay, and law and practice. Institute clauses are widely accepted worldwide.

Clause C coverage essentially replaces the historic “Free of Particular Average” clause and is the most restrictive. It covers loss due to fire or explosion; the stranding, grounding, capsizing, or sinking of the vessel; the damaging contact of the vessel with any object other than water; the derailment or overturning of land vehicles; emergency off-loading of the cargo at a non-destination (distress) port; or the jettisoning of the cargo at sea during an emergency.

For more information on Institute Cargo Clause C, go to:

See also the Guide to Cargo Insurance appendix to this book.

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