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A B C D E F G H I J K L M N O P Q R S T U V W X Y Z


A.P.

Additional Premium


A.R.

All Risk


Abandonment

Giving up the proprietary rights in insured property to the underwriter in exchange for payment of a constructive total loss.
Notice of Abandonment Waiver Clause


Absorption

Acceptance by the carrier of a portion of a joint rate or charge which is less than the amount which it would receive for the service in the absence of such joint rate or charge (air cargo).


Accept

Agreement to pay at some future date – a “time draft” drawn on the accepting party.


Acceptance of Goods

Process of receiving a consignment from a shipper, usually against the issue of a receipt. As from this moment and at this place the carrier’s responsibility for the consignment begins.


ACEP

Approved Continuous Examination Program


Acknowledgement of Receipt

Notification relating to the receipt of, for example, goods, messages and documents.


ACP90

Air Cargo Process. Computer system used at UK airports as an intermediary between airlines, airports authorities, agents and customs declarations.


Act of God

Natural event, such as floods, storms, lightning, earthquakes, etc., not preventable by human agency. Forces of nature that a carrier has no control over, and therefore cannot be held accountable for.
Synonym: Force Majeure


Actual Total Loss

This occurs when: 1. The insured property is completely destroyed; or 2. The insured is irretrievably deprived of the insured property; or 3. Cargo changes in character so that it is no longer the thing that was insured (e.g., cement becomes concrete) or 4. A ship is posted “missing” at Lloyd’s, in which case both the ship and its cargo are deemed to be an actual total loss.
Notice of Abandonment


Actual Voyage Number

Code for identification purposes of the voyage of a vessel.


Ad Valorem

Mode of freight or customs duties levied on cargo based on its value.
Ad Valorem Duty


Ad Valorem Bill of Lading

Same as Valued Bill of Lading.


Ad Valorem Duty

Tax imposed on merchandise based on its value.


Added Value

Value attributed to products, and services as the result of a particular process (e.g. production process, storage, transport).


ADR

Articles Dangereux de Route


Advance

Down payment on account of final invoice amount.


Advance against Documents

Down payment in exchange for original shipping documents.


Advance Freight

Same as Prepaid Freight.


Advanced Interline

Interline carrier that picks up cargo from the shipper and delivers it to another carrier for shipment to the consignee.


Adventure

Exposure of property to risk.
General Average Act (York-Antwerp Rules)


Advice Note

Written shipment information, for example, about the status of the goods.


Advice of Fate

Notice given by the collecting bank to the remitting bank as to payment, acceptance, non-payment, or non-acceptance of a draft presented at the remitting bank’s request.


Advising Bank

Bank that handles Letters of Credit (L/C) for a foreign bank by notifying the seller that the buyer has opened a L/C in their favor. The advising bank fully informs the seller of the conditions of the Letter of Credit.
Confirmed Letter of Credit


Advisory Capacity

Term indicating that agent or representative is not empowered to make definitive decisions or adjustments without approval of the group or individual represented.
Without Reserve


Aeroquip System

Special accessories in a container consisting of, among other things, the attachment rails on the inside walls to provide facilities for lashing and securing of the cargo.


Affreightment

Contract which sets forth the obligations of both shipper and carrier concerning transportation of the merchandise. The most common forms of affreightment are Bills of Lading and Waybills.


Aft

At, near or towards the stern or rear of a vessel or an aircraft.


Agency Fee

Fee payable by shipowner or ship operator to port agent.


Agent

A company (or person) which does business on behalf of another company based on a contractual agreement.


Aggregate Inventory

Inventory for any group of items or products, involving multiple stock-keeping units.
Synonym: Aggregate Stock


Air Commuter

Airline operating regional passenger traffic.


Air Consignment Note

Air Waybill


Air Waybill

Abbreviation: AWB. Document used for carriage by air, evidencing the conclusion of a contract of carriage. This is a non-negotiable document of air transport that serves as a receipt for the shipper, indicating that the carrier has accepted the goods listed and obligates itself to carry the consignment to the airport of destination according to specified conditions.
Consignment Note Bill of Lading Through Bill of Lading


All Risk

Abbreviation: A.R. Broadest form of insurance cover available, providing protection against all risks of physical loss or damage from any external cause. Does not cover loss or damage due to delay, inherent vice, pre-shipment condition, inadequate packaging or loss of market.
ICC Named Perils Policy


Allotment

Share of the capacity of a means of transport assigned to a certain party, e.g. a carrier or an agent, for the purpose of booking cargo for a specific voyage.
Reservation


Alongside

Phrase referring to the side of a ship. Goods to be delivered “alongside” are to be placed on the dock or barge within reach of the transport ship’s tackle so that they can be loaded aboard the ship.
Free Alongside Ship (FAS)


Annual Policy

Designed for clients with a small turnover of Goods in Transit. A deposit premium is paid and this is adjusted at the end of the year based on declarations made.


Apparel

1. A vessel’s outfit, such as rigging, anchor and life boats. 2. The term used in distribution/transport of clothing for a single piece of clothing – a garment.


Approved Continuous Examination Program

Abbreviation: ACEP. Agreement between the owners of the equipment and the responsible government body to allow continuous examination of the equipment (e.g. containers).


Approved Vessel

Vessel which the underwriters deem adequate to carry the insured cargo, at the agreed rate of premium. Where the vessel is not approved, the risk is still covered but is subject to a reasonable additional premium.


Apron

Platform


Arbitrage

Buying of foreign exchange, securities, or commodities in one market and the simultaneous selling in another market. By this manipulation a profit is made because of the difference in the rates of exchange or in the prices of securities or commodities involved.


Area Code

Code specifying an area.
Zone Improvement Plan (ZIP)


Arrival Notice

Notice sent by a carrier or freight forwarder to notify party advising the arrival of a shipment.


Articles Dangereux de Route

Abbreviation: ADR. European agreement concerning the international carriage of dangerous goods by road.


Assembly

Stage of production in which components are put together into an end product.


Assignment

Transfer of the rights, duties, responsibilities and/or benefits of an agreement, contract, or financial instrument to a third party.


Assignment of Proceeds

Stipulation within a Letter of Credit in which some or all of the proceeds are assigned from the original beneficiary to one or more additional beneficiaries.


Assured Party

Party that has legal title to the cargo and to whom a claim payment will be paid.


Astern

1. Behind a vessel or an aircraft. 2. Backward; in a reverse direction.


Athwartships

Across the vessel, i.e., from one side to the other.
Fore and Aft Stowage


Audit

Methodical examination and review of a situation or condition (as within a business enterprise) concluding with a detailed report of findings.


Authentication

Proof by means of a signature or otherwise that a certain document or certain data is of undisputed origin and is genuine.


Authorization

Commission to a certain person or body to act on behalf of another person or body.


Auto Container

Container equipped for the transportation of vehicles.


Automated Guided Vehicle System

Unmanned vehicles equipped with automatic guidance equipment which follow a prescribed path.


Automatic Indentification

Means of identifying an item (e.g. a product, parcel or transport unit) by a device entering the data automatically into a computer. The most widely used technology at present is bar code; others include radio frequency, magnetic stripes and optical character recognition.


Average

Any loss or damage due to insured perils that is less than a total loss. Two types of average occur: Particular Average and General Average.

 

 

Average Adjusters

In general average adjusters are entrusted with the task of apportioning the loss and expenditure over the parties interested in the maritime venture. They also determine which expenses are to be regarded as average or general average.


Average Clause

Clause in marine policy which sets out the cover provided in the event of partial loss.


Average Irrespective of Percentage

Indicates that partial losses will be paid regardless of any franchise or percentage.


AWB

Air Waybill



A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

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