As we are aware, cargo insurance certificates are one of the key trade documents that are exchanged internationally.  

Nowadays, exchanging digital data instead of paper documents/PDF is becoming a new practice in global trade. The DSI (Digital Standards Initiative) is an important function of the ICC (International Chamber of Commerce) which leads the digitalisation and standardisation of trade document data. IUMI is involved with the ICC DSI alongside other industry associations.  

In April 2024, ICC released a report “Key Trade Documents and Data Elements” which gives updates on the progress of digitalising and standardising trade documents.  

If you are involved in the cargo insurance business, I recommend you take a look at the report. 

For those who don’t have the time to look into a lengthy report, here are the most important points to note:    

• 21 documents have an international standard for digitalised data to be exchanged instead of paper documents. These include Commercial Invoice, Bill of Lading, Sea Waybill, Air Waybill, Customs Declaration, Bill of Exchange, etc. 
• Six documents have multiple international standards for digitalised data to be exchanged instead of paper documents. A single standard needs to be developed for these documents which include Purchase Order, Shipping Instruction, Packing List, Letter of Credit, etc 
• Nine documents do not currently have a standard. These include Cargo Insurance Document, Road Consignment Note, International Veterinary Certificate, Excise Guarantee, etc.        

 

This demonstrates that cargo insurance documents are relatively undeveloped in terms of standardisation – most are not even digitalised. 

In 2024, cargo insurance documents are still primarily issued in paper or PDF format and at this point we don’t see any problem with that. However, once data exchange becomes more common with other trade documents, our industry will surely face severe delays. 

United Nations CEFACT is another organisation that works on trade document data standards and I have been working with both organisations to develop a digital data standard.  

In the near future, it is likely that I will canvas opinions from IUMI member associations to help develop an international standard. Your cooperation will be highly appreciated.