The insured may select a sending limit based on his experience and needs, as well as take steps to ensure that the maximum value per vessel or other conveyance is not exceeded. There are circumstances beyond the insured’s control in which the accumulation may exceed the selected limits. For example, at any load port awaiting shipment, if there is a delay in vessel arrival, a port strike, etc., accumulations may exceed the policy’s sending limits. Because these events are beyond the insured’s control, the 200% accumulation clause provides him with additional protection. According to the policy, the policy will cover the entire amount at risk as long as it does not exceed twice the limit chosen per vessel or other carrying conveyance. It also imposes a duty on the insured to notify the insurer of this accumulation as soon as he or she becomes aware of it.
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24-hour care coverage
A combination of work-related and non-work-related benefits that provides 24-hour coverage for illnesses and injuries.
24th Method
Based on the assumption that annual policies are written evenly over each month and risk is spread evenly over the year, this method is used to estimate unearned premium reserves. Policies written in the first month of the year, for example, are assumed to contribute 1/24th of the written premium for that month to the unearned premium reserve at the end of the year.