FNC Freight Guaranteed Plan: FNC group offers the Freight Protection Plan to its members. All FNC members are eligible to participate the Self Freight protection Plan while paying a small premium to its fund pool. Each policy holder can claim up to USD 20000 per year.The security fund will be utilised during any bad debt claimed by FNC member from another FNC member.
Premium Amount – USD 1000/Year
Terms & Condition
Credit policy: A protection policy holder can deal with all FNC members for business, irrespective of their membership category.As per FNC Group credit policy is concerned each member is entitled to offer credit limit as below.
Maximum claim amount USD 5000 per Basic Member
Maximum claim amount USD 10000 per Verified Member
For a new member the maximum allowed credit limit is USD5000 until they complete first year membership in FNC group.
Maximum Claim allowed per year : USD 20000
To simplify the above,a policy holder can offer credit limit of USD 5000 to a basic member and USD 10000 to a verified member.
Participation in Program: All approved FNC members can participate in the Freight Protection program. Each member have to pay USD 1000 to take part in this program
Purpose of the program: To boost the bilateral relationship between members, FNC’s FPP program is introduced.FPP provides compensation between members during any case of unpaid invoice due to bankruptcy by other fellow member.
Freight Guaranteed Badge : All participate will receive a badge for using email signature, website and other stationory
FNC Group do not accept any claim from the member who do not hold the Freight Protection Policy.All members must report FNC Admin if there is any unreasonable delay of payment by the fellow-partner in the group.FNC Admin will there-on interfere and will make a follow-up and assist further.
Please email email@example.com to know more about fnc group freight protection program or additional protection.
FNC Group do not accept claim from non participated members.
The Freight Protection Plan is applicable for the business from the date of Valid Protection Policy.The claim cannot be accepted if the business is done before the policy's commencement date.
This program is applicable for freight payment default only. Cargo Claim is not applicable in this program. Each member can obtain the cargo insurance and third party liability insurance separately.
The following documents is required to prepare for the compensation.
Unpaid Invoice related to freight forwarding, project handling or transportation
Copy of 3 reminders should be intimated in reasonable interval.
Creditors must report the default within 90 days from the date of Invoice
Each case will be evaluated by the administrator approval.Admin office appoint the collection agents to recover the payment.On failure of collection by the recovery agency, admin office will instruct to release the compensation from the fund pool.It takes approx 45 days to complete the compensation procedure.
Before offering or accepting business,we request to check the FNC group directory and confirm if the member is holding a valid membership in the group.
Members will not be entertained to do business or claim for the protection program even after the notification of any suspended / Terminated member of the group is announced.We request the member to carefully read each announcement/circulation message from FNC admin and forward the same to your respective department in your office.
Frequently Asked Question
My company is under freight protection program, are we eligible to offer credit all FNC member?
Yes, your company is eligible to offer credit to fellow FNC group members. But please follow the credit policy instructed as mentioned in our description.
What should I do if a fellow member asking for higher credit limit?
All FNC group companies are independent and has their own credit policy. However the respective company will be protected according to the terms under FPP.
What is the maximum credit limit to offer according to FPP Policy?
As per FNC FPP policy, member can offer up to USD 5000 for a basic member and USD 10000 for a verified member.
What policy is applicable to a newly joined member?
All members are verified by admin team. Member can offer up to USD5000 for a new company until
they complete one year membership.
Can I claim for cargo damage or loss of cargo under FPP?
No. Member must have liability insurance for every shipment. FNC do not accept any claim for damage or loss of shipment. It is the responsibility of the booking agent / shipper to obtain the cargo insurance prior to the shipment.
Can I hold the payment due to delay or damage of shipment?
No. According to the International transport practice a booking agent or a shipper cannot hold the payment due to delay or damage of the shipment. If any member holding the payment due to the above reasons we will consider them as a delinquent agent.
How do I file a Freight Protection Claim?
FNC Group recommended to report the delay of payment if any member exceed 60 days of credit period. Member must report to FNC Team along with the account statement with supporting documents.
How the claim will be processed?
As soon as FNC admin team receive a complaint we will verify and intervene the matter and try to resolve the case. Incase of failure to collect the outstanding admin team will instruct FPP team to compensate the claim. The maximum expected time limit to settle the compensation is 60 days.
FNC recommend the following guidelines
By implementing the above system in your business, we hope to make better business networking within the group.
7 Ways to Avoid Freight Debts