The Differences Between Cmr and FFL

CMR

• It is an insurance used only for land transportation and ro-ro transport.

• Pays damage depending on the terms of the convention. Damage is not paid on an invoice basis. Damages excluded by the convention are not covered by the coverage.

• It is done on a job basis. When applying, the information of all the vehicles to be used must be declared one by one.

• The damage payment is paid in the currency that is not actively used, SDR. It has calculations like 8.33 SDR.

• Claims payment procedure is long.

• Although the limits seem high, the damage to be paid is certain due to the damage payment technique.

FFL

• It can cover all modes of transport according to demand.

• It is a policy that can be designed according to the needs of the customer. Besides Cargo Liability Coverage, this product has Third Party Liability coverage that includes the damages you may cause to third parties, Professional Liability that covers the financial losses incurred by your service providers or the parties you provide services due to reasons such as delay, Fees and Penalties Coverage that covers the fees and charges arising from negligence.

• It is done annually. Annual turnover is taken into account in the application. It is more economical since it is not made on a per vehicle or transportation basis.

• Claims payment procedure is shorter and easier compared to CMR.

• The limits of FFL are higher than CMR’s.