{"id":108768,"date":"2023-02-09T16:05:52","date_gmt":"2023-02-09T08:05:52","guid":{"rendered":"https:\/\/jingsourcing.com\/?p=108768"},"modified":"2023-02-28T17:38:17","modified_gmt":"2023-02-28T09:38:17","slug":"b-general-average-marine-insurance","status":"publish","type":"post","link":"https:\/\/jingsourcing.com\/b-general-average-marine-insurance\/","title":{"rendered":"How Does General Average Impact Your Cargo? (with Example Explained)"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"108768\" class=\"elementor elementor-108768\" data-elementor-post-type=\"post\">\n\t\t\t\t\t\t<section data-particle_enable=\"false\" data-particle-mobile-disabled=\"false\" class=\"elementor-section elementor-top-section elementor-element elementor-element-1fb9bde elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"1fb9bde\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-bb3af16\" data-id=\"bb3af16\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-0252654 elementor-widget elementor-widget-text-editor\" data-id=\"0252654\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>There have been many maritime accidents in the past two years. Even if your cargo is safe, you must bear the average cost. In other words, you must pay when GA happens. Why?<\/p><p>For those unfamiliar with shipping terms, this is unreasonable. &#8220;I didn&#8217;t throw the container into the sea. Why should I lose money?&#8221; Because there is something called &#8220;General Average&#8221;.<\/p><p>Today&#8217;s post focuses on the following aspects of GA.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section data-particle_enable=\"false\" data-particle-mobile-disabled=\"false\" class=\"elementor-section elementor-top-section elementor-element elementor-element-9cba624 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"9cba624\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-8fbe002\" data-id=\"8fbe002\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<section data-particle_enable=\"false\" data-particle-mobile-disabled=\"false\" class=\"elementor-section elementor-inner-section elementor-element elementor-element-b8dd7b5 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"b8dd7b5\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-50 elementor-inner-column elementor-element elementor-element-d007edc\" data-id=\"d007edc\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-50 elementor-inner-column elementor-element elementor-element-0ccf72c\" data-id=\"0ccf72c\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-e38c1a7 elementor-widget elementor-widget-text-editor\" data-id=\"e38c1a7\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<ul><li><a href=\"#a1\">What is the general average in shipping?<\/a><\/li><li><a href=\"#a2\">What happens when GA is declared?<\/a><\/li><li><a href=\"#a3\">How to calculate the cost of GA? (example)<\/a><\/li><li><a href=\"#a4\">What&#8217;s the difference between GA and PA?<\/a><\/li><\/ul>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section data-particle_enable=\"false\" data-particle-mobile-disabled=\"false\" class=\"elementor-section elementor-top-section elementor-element elementor-element-ad002c8 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"ad002c8\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-ffbda96\" data-id=\"ffbda96\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-84ee775 elementor-widget elementor-widget-heading\" data-id=\"84ee775\" data-element_type=\"widget\" id=\"a1\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">What is the general average in shipping? <\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-d3c4330 elementor-widget elementor-widget-text-editor\" data-id=\"d3c4330\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>General average is a term in <a href=\"https:\/\/en.wikipedia.org\/wiki\/Marine_insurance\" target=\"_blank\" rel=\"noopener\">maritime insurance<\/a>. It refers to the loss and cost of subsequent remediation caused by the intentional and reasonable measures, which are taken for common safety when the ship, goods, and other property are in common sea danger. These two parts of costs shall be shared by all cargo owners according to their cargo value percentage.<\/p><p>For example, a cargo ship runs aground in the shallow sea. In order to get out of it, the machine is overloaded and damaged. At the same time, it is necessary to discard some goods to reach the destination with a lighter load. Once GA is declared when the ship arrives at the first port, all cargo owners on board should share the loss of the ship and cargo.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section data-particle_enable=\"false\" data-particle-mobile-disabled=\"false\" class=\"elementor-section elementor-top-section elementor-element elementor-element-7597fc4 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"7597fc4\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-1b4509d\" data-id=\"1b4509d\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-47807d0 elementor-widget elementor-widget-image\" data-id=\"47807d0\" data-element_type=\"widget\" data-widget_type=\"image.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t\t\t\t<figure class=\"wp-caption\">\n\t\t\t\t\t\t\t\t\t\t\t<a href=\"https:\/\/jingsourcing.com\/wp-content\/uploads\/2023\/02\/vessel-running-aground.jpg\" data-elementor-open-lightbox=\"yes\" data-e-action-hash=\"#elementor-action%3Aaction%3Dlightbox%26settings%3DeyJpZCI6IjEwODc3MCIsInVybCI6Imh0dHBzOlwvXC9qaW5nc291cmNpbmcuY29tXC93cC1jb250ZW50XC91cGxvYWRzXC8yMDIzXC8wMlwvdmVzc2VsLXJ1bm5pbmctYWdyb3VuZC5qcGcifQ%3D%3D\">\n\t\t\t\t\t\t\t<img fetchpriority=\"high\" decoding=\"async\" width=\"400\" height=\"260\" src=\"https:\/\/jingsourcing.com\/wp-content\/uploads\/2023\/02\/vessel-running-aground.jpg\" class=\"attachment-large size-large wp-image-108770\" alt=\"vessel running aground\" srcset=\"https:\/\/jingsourcing.com\/wp-content\/uploads\/2023\/02\/vessel-running-aground.jpg 400w, https:\/\/jingsourcing.com\/wp-content\/uploads\/2023\/02\/vessel-running-aground-300x195.jpg 300w, https:\/\/jingsourcing.com\/wp-content\/uploads\/2023\/02\/vessel-running-aground-200x130.jpg 200w\" sizes=\"(max-width: 400px) 100vw, 400px\" \/>\t\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t\t\t\t\t\t\t<figcaption class=\"widget-image-caption wp-caption-text\"><\/figcaption>\n\t\t\t\t\t\t\t\t\t\t<\/figure>\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section data-particle_enable=\"false\" data-particle-mobile-disabled=\"false\" class=\"elementor-section elementor-top-section elementor-element elementor-element-16d4da8 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"16d4da8\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-8595475\" data-id=\"8595475\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-a984647 elementor-widget elementor-widget-text-editor\" data-id=\"a984647\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>Only if the following conditions are met can GA be declared.<\/p><ul><li>The general average can only be caused by such risks (e.g. typhoons, tsunamis, stranding, collisions) that pose a threat to both the ship and the cargo.<\/li><li>The general average act must be intentional and reasonable. If the ship encounters heavy winds and needs to reduce its load, then the captain&#8217;s order to throw heavy and low-value goods (e.g. wood and scrap iron) into the sea is intentional and reasonable.<\/li><li>The general average act must be effective. If this act (such as discarding cargo) cannot protect the ship from danger, it does not constitute a GA.<\/li><\/ul>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section data-particle_enable=\"false\" data-particle-mobile-disabled=\"false\" class=\"elementor-section elementor-top-section elementor-element elementor-element-0a9dca4 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"0a9dca4\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-b0fea42\" data-id=\"b0fea42\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-a18c31a elementor-widget elementor-widget-heading\" data-id=\"a18c31a\" data-element_type=\"widget\" id=\"a2\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">What happens when the general average is declared? <\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-c00f1ef elementor-widget elementor-widget-text-editor\" data-id=\"c00f1ef\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>The general average happens rarely. But once it occurs, the amount is huge. For example, in the case of containers falling into the sea, the local maritime bureau is required to send rescue vessels to clean up the channel. This is a colossal sum.<\/p><p>GA is declared within a reasonable time when the ship arrives at the first port. The ship will notify the cargo owners to provide the average guarantee (if any) and attach the goods value list (e.g. <a href=\"https:\/\/jingsourcing.com\/b-proforma-vs-commercial-invoice\/#a2\" target=\"_blank\" rel=\"noopener\"><span style=\"text-decoration: underline\">commercial invoice<\/span><\/a>, packing list). The shipping company will entrust an average adjustment company to calculate the total loss and amount to be shared by all cargo owners.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section data-particle_enable=\"false\" data-particle-mobile-disabled=\"false\" class=\"elementor-section elementor-top-section elementor-element elementor-element-00f5a8c elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"00f5a8c\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-78c78fb\" data-id=\"78c78fb\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-e1b525f elementor-widget elementor-widget-heading\" data-id=\"e1b525f\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h3 class=\"elementor-heading-title elementor-size-default\">If your cargo is not insured<\/h3>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-64ac863 elementor-widget elementor-widget-text-editor\" data-id=\"64ac863\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>You must fill out an average bond (cash payment, usually more than 50% of the cargo value) and pay the designated average adjustment company.<\/p><p>For example, in case of fire, you need to do it whether your goods are damaged or not. If it is unfortunate that some of your goods are burned, and some intact goods (valued at $0.2 million) are damaged in the process of extinguishing the fire with seawater. Only the latter (valued at $0.2 million) is the sacrifice you made for the common safety and will be compensated. You need to bear the loss of the burned ones, because you don&#8217;t buy <a href=\"https:\/\/jingsourcing.com\/b-what-is-cargo-insurance\/\" target=\"_blank\" rel=\"noopener\"><span style=\"text-decoration: underline\">cargo insurance<\/span><\/a>.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-2b5f275 elementor-widget elementor-widget-heading\" data-id=\"2b5f275\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h3 class=\"elementor-heading-title elementor-size-default\">If your cargo is insured<\/h3>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-7217d17 elementor-widget elementor-widget-text-editor\" data-id=\"7217d17\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>Your insurance agent will provide an average guarantee to the designated third-party agency, and then you can collect the goods. In the above cases, the insurance company will pay you the corresponding compensation according to your cargo insurance type. In addition, you will get the compensation paid for the damaged cargo (valued at $0.2 million) caused by the GA act.<\/p><p>As you can see, cargo insurance is very important when the general average is declared.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section data-particle_enable=\"false\" data-particle-mobile-disabled=\"false\" class=\"elementor-section elementor-top-section elementor-element elementor-element-34b181a elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"34b181a\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-0bb59aa\" data-id=\"0bb59aa\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-6244fc6 elementor-widget elementor-widget-heading\" data-id=\"6244fc6\" data-element_type=\"widget\" id=\"a3\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">General average calculation with examples<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-5dc834c elementor-widget elementor-widget-text-editor\" data-id=\"5dc834c\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>Calculating the amount of general average contribution is a complex process. Let me explain it simply with a case study.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section data-particle_enable=\"false\" data-particle-mobile-disabled=\"false\" class=\"elementor-section elementor-top-section elementor-element elementor-element-920d9d5 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"920d9d5\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-5590954\" data-id=\"5590954\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-a7bbdf8 elementor-widget elementor-widget-heading\" data-id=\"a7bbdf8\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h3 class=\"elementor-heading-title elementor-size-default\">GA example<\/h3>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-32f0cde elementor-widget elementor-widget-text-editor\" data-id=\"32f0cde\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>A cargo ship (valued at $4 million) carrying goods (valued at $8 million) from Ningbo Port to Los Angeles Port suffered a fire during shipping. The fire spread to the ship&#8217;s cabin, so the captain ordered seawater to put out the fire for the common safety. This measure was effective.<\/p><p>Although this action resulted in a loss of cargo valued at $2 million, most of the goods were safe. In addition, because the main engine was damaged and unable to continue sailing, the captain hired a tugboat to tow it back to the nearest port for repair, and then returned to Los Angeles port.<\/p><p>In this case, the total amount of GA includes the following two aspects.<\/p><ul><li>GA sacrifice: cargo loss $2 million; ship loss $1 million.<\/li><li>GA expenditure: towing charges $10,000; careenage $0.5 million.<\/li><\/ul><p>Note that in this event, there is no &#8220;freight collect&#8221;, so it is not involved in the accounting of freight. In addition, GA expenditure also includes the additional fuel costs, GA interest, and fees paid to the average adjusters. These costs are too small and here are ignored.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section data-particle_enable=\"false\" data-particle-mobile-disabled=\"false\" class=\"elementor-section elementor-top-section elementor-element elementor-element-e2d0724 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"e2d0724\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-ae33167\" data-id=\"ae33167\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<section data-particle_enable=\"false\" data-particle-mobile-disabled=\"false\" class=\"elementor-section elementor-inner-section elementor-element elementor-element-cee72d0 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"cee72d0\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-50 elementor-inner-column elementor-element elementor-element-9bb8cff\" data-id=\"9bb8cff\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-339a24c elementor-view-default elementor-widget elementor-widget-icon\" data-id=\"339a24c\" data-element_type=\"widget\" data-widget_type=\"icon.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-icon-wrapper\">\n\t\t\t<div class=\"elementor-icon\">\n\t\t\t<svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" xmlns:xlink=\"http:\/\/www.w3.org\/1999\/xlink\" id=\"Capa_1\" x=\"0px\" y=\"0px\" viewBox=\"0 0 448.011 448.011\" style=\"enable-background:new 0 0 448.011 448.011;\" xml:space=\"preserve\"><g>\t<g>\t\t<path d=\"M438.731,209.463l-416-192c-6.624-3.008-14.528-1.216-19.136,4.48c-4.64,5.696-4.8,13.792-0.384,19.648l136.8,182.4    l-136.8,182.4c-4.416,5.856-4.256,13.984,0.352,19.648c3.104,3.872,7.744,5.952,12.448,5.952c2.272,0,4.544-0.48,6.688-1.472    l416-192c5.696-2.624,9.312-8.288,9.312-14.528S444.395,212.087,438.731,209.463z\"><\/path>\t<\/g><\/g><g><\/g><g><\/g><g><\/g><g><\/g><g><\/g><g><\/g><g><\/g><g><\/g><g><\/g><g><\/g><g><\/g><g><\/g><g><\/g><g><\/g><g><\/g><\/svg>\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-50 elementor-inner-column elementor-element elementor-element-9d75da6\" data-id=\"9d75da6\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-fb0a66a elementor-widget elementor-widget-text-editor\" data-id=\"fb0a66a\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>GA loss rate = total amount of GA \/ total value of the journey = ($2 + $1 + $0.01 + $0.5) \/ ($4+$8) = 29.25%<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section data-particle_enable=\"false\" data-particle-mobile-disabled=\"false\" class=\"elementor-section elementor-top-section elementor-element elementor-element-3c968a5 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"3c968a5\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-38879fd\" data-id=\"38879fd\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<section data-particle_enable=\"false\" data-particle-mobile-disabled=\"false\" class=\"elementor-section elementor-inner-section elementor-element elementor-element-4bcb9e9 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"4bcb9e9\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-50 elementor-inner-column elementor-element elementor-element-6cff583\" data-id=\"6cff583\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-ed395f9 elementor-view-default elementor-widget elementor-widget-icon\" data-id=\"ed395f9\" data-element_type=\"widget\" data-widget_type=\"icon.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-icon-wrapper\">\n\t\t\t<div class=\"elementor-icon\">\n\t\t\t<svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" xmlns:xlink=\"http:\/\/www.w3.org\/1999\/xlink\" id=\"Capa_1\" x=\"0px\" y=\"0px\" viewBox=\"0 0 448.011 448.011\" style=\"enable-background:new 0 0 448.011 448.011;\" xml:space=\"preserve\"><g>\t<g>\t\t<path d=\"M438.731,209.463l-416-192c-6.624-3.008-14.528-1.216-19.136,4.48c-4.64,5.696-4.8,13.792-0.384,19.648l136.8,182.4    l-136.8,182.4c-4.416,5.856-4.256,13.984,0.352,19.648c3.104,3.872,7.744,5.952,12.448,5.952c2.272,0,4.544-0.48,6.688-1.472    l416-192c5.696-2.624,9.312-8.288,9.312-14.528S444.395,212.087,438.731,209.463z\"><\/path>\t<\/g><\/g><g><\/g><g><\/g><g><\/g><g><\/g><g><\/g><g><\/g><g><\/g><g><\/g><g><\/g><g><\/g><g><\/g><g><\/g><g><\/g><g><\/g><g><\/g><\/svg>\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-50 elementor-inner-column elementor-element elementor-element-9f2e5a3\" data-id=\"9f2e5a3\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-dd74c15 elementor-widget elementor-widget-text-editor\" data-id=\"dd74c15\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>GA amount shared by each party = cargo value by each party * GA loss rate<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section data-particle_enable=\"false\" data-particle-mobile-disabled=\"false\" class=\"elementor-section elementor-top-section elementor-element elementor-element-03081c8 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"03081c8\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-a867d2e\" data-id=\"a867d2e\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-6e41db8 elementor-widget elementor-widget-text-editor\" data-id=\"6e41db8\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>For example, if an importer has goods valued at $0.5 million, he needs to bear the GA cost of $146,250 ($0.5 million * 29.25%).<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section data-particle_enable=\"false\" data-particle-mobile-disabled=\"false\" class=\"elementor-section elementor-top-section elementor-element elementor-element-abee2ad elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"abee2ad\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-cdde644\" data-id=\"cdde644\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-52d7d13 elementor-widget elementor-widget-heading\" data-id=\"52d7d13\" data-element_type=\"widget\" id=\"a4\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Difference between general average and particular average<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-0682eaf elementor-widget elementor-widget-text-editor\" data-id=\"0682eaf\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>The main differences between GA and PA are as follows:<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-d4601b0 elementor-widget elementor-widget-heading\" data-id=\"d4601b0\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h3 class=\"elementor-heading-title elementor-size-default\">Different causes<\/h3>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-429f2d8 elementor-widget elementor-widget-text-editor\" data-id=\"429f2d8\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>GA is caused by artificial and reasonable measures to remove risks. PA is the loss of goods directly caused by maritime risks. For example, the container is blown into the sea by a strong wind, which is a force majeure factor and belongs to PA.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-4a9f8fb elementor-widget elementor-widget-heading\" data-id=\"4a9f8fb\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h3 class=\"elementor-heading-title elementor-size-default\">Different stakeholders<\/h3>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-eb3c49c elementor-widget elementor-widget-text-editor\" data-id=\"eb3c49c\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>If the owner of the damaged goods does not buy cargo insurance, he will bear the loss of PA. While the loss of GA shall be shared by all cargo owners on board in proportion.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-1d69677 elementor-widget elementor-widget-heading\" data-id=\"1d69677\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h3 class=\"elementor-heading-title elementor-size-default\">Different losses<\/h3>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-0f4dc3f elementor-widget elementor-widget-text-editor\" data-id=\"0f4dc3f\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>PA refers only to the loss of the ship or the cargo, while GA includes the loss of the ship or cargo and the cost incurred therefrom.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section data-particle_enable=\"false\" data-particle-mobile-disabled=\"false\" class=\"elementor-section elementor-top-section elementor-element elementor-element-623b54e elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"623b54e\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-4c9ec84\" data-id=\"4c9ec84\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-33fbce8 elementor-widget elementor-widget-spacer\" data-id=\"33fbce8\" data-element_type=\"widget\" data-widget_type=\"spacer.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-spacer\">\n\t\t\t<div class=\"elementor-spacer-inner\"><\/div>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-a640a47 elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"a640a47\" data-element_type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-5e3d3ae elementor-widget elementor-widget-text-editor\" data-id=\"5e3d3ae\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>If you need help with marine insurance for your sea freight, you need to work with an experienced <a href=\"https:\/\/jingsourcing.com\/b-freight-forwarder\/\" target=\"_blank\" rel=\"noopener\"><span style=\"text-decoration: underline\">freight forwarder<\/span><\/a>. We have cooperative forwarders with marine insurance partners that can handle complex situations such as the general average.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section data-particle_enable=\"false\" data-particle-mobile-disabled=\"false\" class=\"elementor-section elementor-top-section elementor-element elementor-element-a13ffcb elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"a13ffcb\" data-element_type=\"section\" data-settings=\"{&quot;background_background&quot;:&quot;classic&quot;}\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-cbbde79\" data-id=\"cbbde79\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<section data-particle_enable=\"false\" data-particle-mobile-disabled=\"false\" class=\"elementor-section elementor-inner-section elementor-element elementor-element-5e19266 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"5e19266\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-inner-column elementor-element elementor-element-35edcf4\" data-id=\"35edcf4\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-06c55ed elementor-view-default elementor-widget elementor-widget-icon\" data-id=\"06c55ed\" data-element_type=\"widget\" data-widget_type=\"icon.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-icon-wrapper\">\n\t\t\t<div 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