What it does
IH 00 71 is ISO's annual transit form: one policy covering a business's shipments throughout the year rather than trip by trip (the trip form is IH 00 78). ISO's theft from unattended vehicle endorsement IH 99 23 lists it among the forms it modifies, and ISO's FDA spoilage endorsement IH 99 32 is written for the annual and trip transit and motor truck cargo owners forms. ISO publishes this form in its IH series of commercial inland marine forms. IH forms are used within the Commercial Inland Marine Coverage Part, together with the Commercial Inland Marine Conditions (CM 00 01) and the Common Policy Conditions.
Who needs it
Shippers whose goods are at risk in transit: under bills of lading, carriers' liability is often limited by tariff or released value, and FOB terms can leave the shipper bearing the loss. Buyers with incoming shipments under FOB origin terms are exposed too.
Quoting and selling notes
Ask for annual shipped values by mode (own trucks, common carrier, air, rail), maximum per conveyance, commodities, terms of sale (FOB origin or destination), packing and whether goods are temperature sensitive. Rating is often on annual shipments or receipts; value reporting is available with IH 99 08.
Before presenting it
ISO's IH forms are often adopted with carrier changes, and their wording differs from the filed CM forms. Obtain the carrier's specimen and walk the insured through covered property, property not covered, the exclusions, valuation, the deductible and any coinsurance or reporting condition, and match the limits to a current schedule of values.
