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Cargo Claim Procedure

HMM provides professional and responsive claim handling to resolve any possible claim as accurately and fast as possible.

In the event of loss of or damage to your cargo while in the care of HMM, these procedures will tell you what to do, how to set up a claim and finally what you can do in order to minimize the risk of damage and loss. The following procedures are designed to answer your questions and guide you through the claims process and will cover:
When taking delivery of cargo - make sure to inspect whether there is any loss or damage. You should
In case of loss or damage - What should I do?
To whom should I send the claim?
Documentation - What documents should I send?
What will HMM do when it receives the claim?
Loss mitigation - Your responsibilities
Things to remember
Preventing loss and damage
Terms & Conditions (Original B/L , Seawaybill)
When taking delivery of cargo - make sure to inspect whether there is any loss or damage. You should:
01
Check that the container is externally sound and undamaged.
02
Check that the original and other seals, if any, are intact.
03
For reefer, check the temperature, humidity and ventilation settings. (where applicable)
04
If damage or loss is suspected or apparent, please make a note on the receipt before signing it and send a Notice of claim to HMM.
05
If damage or loss is not apparent, please make sure you notify HMM in written (Form of Claim Notice) as soon as you are aware of any loss or damage and in any circumstances no later than 3 days after taking delivery. Please refer to Clause 24 (A) of HMM Bill of Lading Terms and Conditions
In case of loss or damage - What should I do?
01
Inform your insurance company if cargo is insured
02
Arrange for a survey - preferably, please take photos of the damaged condition of cargo and container boxes to support your loss and/or the probable cause of damages at the time of devanning. Unless HMM requests to hold the empty container, please return the empty container as originally scheduled. Immediately, contact your local HMM office or agent to report the damage or loss in order to coordinate the survey. Depending on the extent of loss or damage, HMM will dispatch a surveyor for joint inspection of the cargo and the circumstances surrounding the damage or loss. If HMM do not assign a surveyor, please take photographs and document the extent and type of damage to the goods and to the container. The survey ordered by HMM is strictly for HMM’s own interests.
03
Determine whether or not you have a claim and wish to file a claim. The extent and possible cause of the damage should be considered before submitting a fully-documented claim to your insurance company, or HMM directly if your cargo is not insured.
04
If you wish to file a formal claim, it is highly recommended that you provide “Notice of Claim” including HMM B/L number, Container number, Vessel/Voyage number, a brief description of the nature of cargo damage, and the estimated loss amount, if applicable.
05
Minimize the loss by salvaging the remainder of the cargo and take all available measures to protect your cargo and its value for the purpose of loss mitigation.
06
Ensure that HMM receives a fully documented claim. Your claim may be subject to a time bar. Please refer to Clause 24 (B) of HMM Bill of Lading Terms and Conditions.
TO WHOM SHOULD I SEND THE CLAIM?
01
Submit the claim to your insurance company or directly to the contractual party(s) who are deemed to be liable for the loss or damage. (e.g., ocean carrier, rail carrier, or trucking company)
02
To file your claim with HMM, submit the documents to your local HMM offices. (Locations of our local offices are available at HMM Homepage)
03
Depending on the port of discharge or the place of accident, if any, your claim will be handled by the HMM Claim Teams in regional headquarters.
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Asia & Oceania Countries (Incl. East Russian area)
HMM Marine Claims in Seoul (claims.hq@hmm21.com)
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Europe & Africa Countries (incl. Gulf Area in the Middle East Asia)
HMM Europe Claims in London (claims.eu@hmm21.com)
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North & South America Countries
HMM America Claims in Dallas (claims.us@hmm21.com)
Documentation - What documents should I send?
01
A well-documented claim will facilitate the claims handling process and speed up the outcome. No specific form is required. However, the followings should be included.
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A letter detailing the nature and extent of your loss or damage, as well as the amount being claimed (any claim must be filed in writing)
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Copy of HMM original bill of lading or seaway bill (incl. House B/L, if any)
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Shipper’s commercial invoice
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Shipper’s packing list
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Trucker’s delivery receipt / Devanning tally with seal no. and exceptions, if any
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Export / Import declaration
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Customs declaration
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Survey report
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Photos of damaged cargo and the container if the container is damaged as well. Digital pictures are acceptable and should be forwarded via e-mail.
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Reconditioning or Repair invoices (if applicable)
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Salvage invoice, if cargo was salvaged
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Destruction certificate or Statement describing disposition of the cargo, in case of unsalvageable cargo
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Veterinary certificate (if applicable)
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Other substantiating documents
What will HMM do when it receives the claim?
01
When HMM receives the claim, we will acknowledge receipt within 30 days in general and the claim will then be processed. We do not acknowledge preliminary claims or notices, but retain them pending receipt of any actual claim.
02
Your claim can be resolved in a timely manner, if the initial claim is fully documented. HMM will respond to your claim as soon as possible. In general, the claim will be assessed according to legal liability as set forth in the terms and conditions of HMM Bill of Lading, tariffs, and by-law and may be settled within 90 working days after receiving your fully-documented claim, unless HMM needs further investigation or discussion on the claim.
Loss mitigation - Your responsibilities
01
Mitigation of loss is the cargo owner’s responsibility. You must take all reasonable steps to mitigate the loss. (e.g., separating wet goods, cleaning, repackaging, and salvage, if necessary)
Things to remember
01
Time Bar for Claim/Suit - Suit for cargo loss or damage must be filed within one year from the date when the cargo was delivered or should have been delivered, unless a written request for extension has been granted by HMM.
02
HMM’s Liability - HMM’s liability in respect of any loss of and/or damage to cargo shall be subject to the terms and conditions on the reverse side of HMM’s Bill of Lading and relevant international or local law, when applicable, such as the Hague Rules, the Hague-Visby Rules, Korean Law, U.S. COGSA, and etc.
03
Package or Unit Limitation - Unless the value and nature of cargo have been declared before shipment and an ad valorem freight has been paid to HMM, HMM’s liability shall be limited to the higher of 666.67SDR per package or unit or 2 SDR per kilogram of gross weight of the goods lost or damaged. For shipments, including Multimodal shipments, involving carriage of cargo to or from a U.S. port, the limit of liability is USD 500 per package or per customary freight unit, if not shipped in packages. Where jurisdiction dictates application of the Hague Rules, package or unit limitation shall be determined by the applicable law.
Preventing loss and damage

Upon picking up empty containers or stuffing your goods into containers, please ensure that:

01
All cargo
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Ensure that you use a suitable container size and type
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Check that cargo marks and numbers are identical with those in your documentation including the bill of lading
02
Dry cargo
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Ensure that the containers are in a clean, odor-free and sound condition before stuffing cargo
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Ensure that the cargo is suitable and packaged for container stowage
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Ensure that the container is stuffed in a proper and secure manner so that the cargo do not shift during transportation; in particular, void space should be filled with appropriate dunnage
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Ensure that the container is properly closed and sealed
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Ensure that all required notices have been provided (additional documents for dangerous or precious cargoes)
03
Reefer cargo
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We recommend that you make a physical inspection to ensure that the actual ventilation setting of the reefer container corresponds to the requested setting
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Check the temperature requirements for your cargo type
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Pre-cool your cargo to the set temperature
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Stuff the container in a cold facility (i.e. ensure that the cold chain is never broken)
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Re-check the temperature before delivering the container
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Do not load incompatible cargoes in the same container
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Do not stuff the cargo above the red load line
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Ensure that the containers are in a clean, odor-fee and sound condition before stuffing them
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Ensure that the container is stuffed in a proper and secure manner so that the cargo do not shift during transportation; in particular, void space should be filled with appropriate dunnage
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Ensure that the container is properly closed and sealed
04
Pursuant to Clause 11 (C) of HMM Bill of Lading Terms and Conditions, the Merchant, i.e. you, should inspect each container before using it, and the Merchant, i.e. you, are therefore deciding yourself that the container is in sound and suitable condition for the transport contracted for in the Bill of Lading. The Ocean Carrier, i.e. HMM, shall have no liability for loss / damage to the cargoes arising out of the unsuitability of the container if the unsuitability would have been apparent upon reasonable inspection by the Merchant, i.e. you, at or before the time of packing the container.