Queries received for RFP PLD/CPS/JR/MARINE INS./15/2012
And our replies
Query # 1
Description of goods and the break down: like life stock, frozen (cold) goods, cars, etc. What
temperature controlled goods are shipped. Full details of goods.
Answer
UNRWA Main shipments are Basic Commodities and Medical Supplies (some medicines need
refrigeration).
Query # 2
Claims records (paid and out standing losses) for the last five Years
Answer
2008
2009
2010
2011
2012
=
=
=
=
=
USD
USD
USD
USD
USD
51,005.39
8,359.34
8,514.80
00
1,317.00 (up to date the current insurance year)
Query # 3
Amount of premium paid by UNRWA for the current insurance year and a copy of the current
policy
Answer
The Deposit Premium for the current year is USD 60,000.00. UNRWA will not provide the current
Insurance Policy.
Query # 4
Break down for final destination/cities
Answer
The final destination for shipments is Jordan, Syria, Lebanon, West Bank and Gaza Strip.
Query # 5
Please provide us details on typical values shipped, point of origin and security measurements for
such shipments.
Answer
The sum insured for the Insurance year 2011 was USD 43,384,087.01, the origin of goods was
from various countries, and the security measurements for shipments are the Insurance
Coverage.
Query # 6
If UNRWA has suffered from war on land events
Answer
N/A
Query # 7
Frequency, turn over for shipment less than USD 5,000
Answer
The number of Purchase Orders less than USD 5000 for HQ Amman and the UNRWA Fields is
992 shipments.
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Query # 8
History losses and the amount of premium paid for the last five years for each additional cover
and/or please provide details and description of each loss occurred (ref. section 1.1.2 additional
risk coverage)
Answer
The premiums for the last 5 years were
2011 = USD 91,106.58
2010 = USD 74,209.03
2009 = 79,589.00
2008 = USD 84,929.58
2007 = USD 122,999.28
Claims history is mentioned in query No. 2 above. The rate offered by the current insurers is 17%
for marine cargo insurance + 4% for war risk total insurance rate is 21% and there was not any
additional risk coverage.
Query # 9
Wording of post shipments clauses
Answer
For shipments by post the relevant clause of the attached clauses will apply.
Query # 10
In submission of samples: what kind of samples may be needed please Clarify
Answer
Mostly Basic Commodities and Medical Supplies
Query # 11
In contents: what do you mean by “these costs should be itemized or broken down by activity?”
Answer
Break down of costs – Cases should be mentioned as items.
Query # 12
In global compact/un supplier code of conduct " see annex K" there is no annex k
Answer
It was mentioned by oversight as “see Annex K” while it must be “see Annex J”
Query # 13
In annex C exactly 3.3 ' use of UNRWA resources " what is the equipment provide by UNRWA
exactly
Answer
For more details, please continue reading 3.3.1 to 3.3.6
Query # 14
Point 1.25 " certificate of insurance" please describe what kind of circumstances required you to
issue the certificates and the procedure in issuing such certificate and what kind of certificate you
are talking about exactly.
Answer
As an exceptional case UNRWA may be asked by suppliers to issue on behalf of the insurance
company a certificate proving that shipments are covered by insurance.
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Query # 15
Point 1.26 special project : can you clarify and describe what kind of special arrangement you
talked about
Answer
Special arrangement includes transfer goods between the fields.
Query # 16
Point 2.2 implementation plan: what do you mean by “implementation and roll out"
Answer
Please see items 2.2.1 to 2.2.5 for details
Query # 17
Point c financials: please confirm that point 2 claims incurred losses paid and point 3 reserves is
for marine insurance only
Answer
This RFP is related to Marine Cargo Insurance and accordingly the claims will be for marine
insurance only.
Query # 18
In vendor profile form exactly section 5 what kind (type) of dispute you exactly talked about:
complains or what please clarify
Answer
Please mention any dispute between your company and the said clients regarding settling the
marine cargo claims occurred during the insurance coverage.
Query # 19
Is it a requirement under Jordanian law that insurance is licensed and regulated by the
Insurance Commission of Jordan [ICJ]. Is UNRWA exempt from the ICJ?
Answer
UNRWA operations are in Jordan, Syria, Lebanon, West Bank, Gaza Strip and Israel. UNRWA is
exempted from taxes, and there is no need to be registered and licensed in Jordan as all the
shipments are imported from other countries of origin.
Query # 20
We are international insurance brokers, but we are not licensed with the ICJ. It is currently the
case that only insurance brokers registered / approved by the ICJ can conduct business in
Jordan. Are UNRWA’s insurance requirements exempt from such local regulations so that we
could directly provide terms from our underwriters in London without this being a reinsurance?
Answer
The current Insurer is “Tryg” in Denmark and they are a direct insurance providers and not a reinsurer. There is no need to be registered and licensed by the Insurance Commission of Jordan.
Query # 21
Main routes of cargoes.
Answer
Global Routes and Domestic Routes
Query # 22
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Storage facilities details including security, locations, average amount in store, etc.
Answer
UNRWA Warehouses in the various Fields of Operations.
Query # 23
A split of the cargo between main cargoes being shipped, split by sums insured.
Answer
UNRWA yearly sum insured is based on an estimated value of USD 30,000,000.00 at
the beginning of the year and the net premium will be calculated at the end of the year
based on the actual Sum Insured.
Query # 24
Which of the coverage requirements you are now seeking were you not insured for
before?
Answer
N/A
Query # 25
Name of current insurer?
Answer
Tryg Baltica – Denmark
Query # 26
Main carriers / freight forwarders of cargo.
Answer
Global Carriers such as Maersk, Green lines etc.
Query # 27
May we quote to you by e-mail only as postal services from here to Jordan are known to
be lengthy and we would probably have to mail an item to you now in order for it to
definitely arrive in Amman by the end of the month?
Answer
Yes, you may quote by email (TOC@UNRWA.ORG)
In order to receive your e-mail through our system, please make sure that the message
and attachment size does not exceed 10MB for each e-mail. In case of large e-mails you
can split into parts.
Query # 28
Please confirm that we do not have to arrange or attend site visits.
Answer
In case of damage/loss or shortage a survey report must be conducted by the Lloyds
agent in the respective country if the damage or loss exceeds USD 2,500.
Query # 29
Is a bank guarantee requested for this tender.
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Answer
No Bank Guarantee is required
Query # 30
What is the current policy deductible each loss
Answer
The current deductible amount is USD300 Franchize
Query # 31
Is there are breakdown recovery procedure
Yes, in case the loss is above USD2,500.00 a survey report must be conducted
by the Lloyds agent in the respective country.
Query # 32
Are the trucks or containers marked as belonging to UNRWA? Do the trucks
have GPS? Do the trucks travel in convoys? Are the trucks escorted?
Answer
No
Query # 33
Are the goods always shipped in full container loads or fully enclosed trucks
Answer
As per the UNRWA shipping instructions for each shipment.
Query # 34
Do UNRWA use their own trucks for the land transit or local hauliers? If local
hauliers who are they?
Answer
For land transit UNRWA use the local shipping agents
Query # 35
Full details of the goods being shipped plus the split of the turnover for each type
of goods ? Turnover split between each country destination?
Answer
N/A
Query # 36
If the subject matter to be insured will include used goods, please indicate the
approximate value in USD
Answer
N/A
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Query # 37
Break down by method of conveyance, e.g. Ocean, Air and Truck
Answer
N/A
Query # 38
In the event of loss, where will claims payment be made
Answer
The insurance company will be provided with the UNRWA bank account details,
and the insurer has to provide the UNRWA headquarters in Amman with a
payment advice “hard copy”.
Query # 39
a.
Are all of UNRWA’s shipments insured against War Risk on land?
b.
Please provide details of any War Risk on land losses over last 3yrs
Answer
a.
Yes, all UNRWA shipments are insured against War Risk
b.
N/A
Query # 40
Is the Vendor Profile Form available in Word or editable form
Answer
Yes, (copy attached)
Query # 41
If possible, please provide break down of the $30 Million in estimated insured
value by source and destination countries.
Answer
N/A
Query # 42
Is UNRWA able to explain further the comments regarding the $5,000 retention
for non-fragile and non-theft attractive goods? Which goods will fall under the
description of attractive and/or fragile?
Answer
This will be decided by the purchasing officer (case by case) and mostly they are
medical supplies.
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Query # 43
Is there any storage exposure to be insured under the policy?
Answer
All UNRWA shipments must be covered until arrival at site including up to 60
days in store thereafter.
Query # 44
With respect to item 1.8 Premium Calculation of the Terms of Reference, please
expand on “internal administration fees” what might these fees entail?
Answer
The premium calculation is based on the sum insured and the rate offered by the
insurer. The insurer “administrative fees” must be included in the offered rate.
Query # 45
War Coverage as per the institute War Clause
Answer
The current policy premium is calculated at the following rates:
Marine
=
War and strike at Aqaba, Ashdod/Haifa, Lattakia and Beirut
=
0.17%
0.04%
The Marine Insurance coverage is from the Supplier's Warehouse to the UNRWA Warehouses
for Damage, Shortage or missed items in transit.
The War Coverage is to the port of discharge, as per the Institute War Clause 41.01
Query # 46
Basic commodities would not generally be deemed to be shipments on non containerized
cargoes such as petroleum for example, or bulk rice/ bulk fish/bulk meat etc.
Answer
As for UNRWA shipments of Basic Commodities they are almost (but not limited to):
Wheat Flour, Sugar, Rice (Containerized in bags of 30-50 KG/Bag and Powder Milk in bags of
1KG (carton 12 bags) in containers also Sunflower Oil, canned meat etc.
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