IAMI CMFI flashcards

32 cards. Read the term and the definition here. The deck at the top of this page is optional.

Uberrimae fidei

The marine insurance duty of utmost good faith, requiring the assured to disclose every material circumstance known to them before cover is agreed.

Indemnity principle

Recovery restores the assured to their pre-loss financial position and never creates profit; over-insurance and double recovery are classic fraud indicators.

Insurable interest

A legal or financial relationship to the subject matter such that the assured benefits from its preservation or suffers loss from its damage.

Institute Cargo Clauses

Standard London market cargo wordings: Clause A covers all risks, while B and C cover progressively narrower lists of named perils.

Claims leakage

The difference between the amount paid and the amount that should have been paid, including inflated, duplicated, or entirely fabricated claim payments.

Scuttling

The deliberate sinking of a vessel by its owner or with their knowledge to obtain an insurance payout, often near the end of the ship's economic life.

Constructive total loss

A loss where repair cost exceeds the insured value or the vessel cannot be recovered economically, entitling the assured to abandon the vessel.

Phantom cargo

A shipment that never existed, supported by fabricated documents; it is exposed by absent vessel tracking, port records, and terminal movement data.

Shortlanding

Delivery of less cargo than the bill of lading states; genuine shortages are verified against stow plans, tally records, and verified gross mass.

Switch bill of lading

A second set of bills of lading issued to replace the originals, often changing shipper or destination; a known vehicle for documentary fraud.

Verified gross mass

The mandatory SOLAS declaration of a packed container's total weight, used to test shortage and over-valuation claims against physical reality.

Double financing

Pledging the same cargo to multiple financiers or insurers; detected through duplicate bills of lading and overlapping policies.

Reefer data logger

An onboard recorder of temperature and settings for refrigerated containers, downloaded to test spoilage claims alleging refrigeration failure.

Red flag

An observable fact or pattern suggesting possible fraud; indicators are weighted cumulatively and never prove fraud on their own.

Document anomaly

An inconsistency in paperwork such as altered fonts, sequential numbers from unrelated suppliers, or dates after the loss that warrants scrutiny.

Claims history check

Review of a claimant's prior claims, cancellations, and declined cover across insurers to identify repeat or serial fraud patterns.

Staged theft

A fabricated theft, usually lacking forcible entry, alarm records, CCTV evidence, and a police report, used to claim cargo that was never lost.

Hijacking

The forcible seizure of a vessel or cargo in transit; claims are tested against route consistency, distress alerts, and crew accounts.

IMB Piracy Reporting Centre

An industry body recording piracy and armed robbery incidents worldwide, used to verify whether an alleged attack actually occurred.

UKMTO

The UK Maritime Trade Operations centre, which monitors and reports maritime security incidents and supports verification of alleged attacks.

Ransom claim

A demand for payment following crew abduction; verification through flag state and response consultants is essential before any payment or settlement.

Cargo substitution

Replacing stolen goods with low-value or damaged goods before delivery; detected by checking seals, weights, and serial numbers at discharge.

P&I cover

Protection and indemnity insurance covering third-party liabilities such as crew injury, passenger claims, cargo liability, pollution, and wreck removal.

Phantom crew claim

An injury claim by a person never signed on to the vessel, exposed by checking the crew list, seaman's book, payroll, and immigration records.

Independent medical examination

An examination by a doctor appointed by the insurer rather than the claimant, used to test the severity and causation of alleged injuries.

Chain of custody

A documented record of who handled each item of evidence, when, where, and why, preserving its integrity and admissibility.

Cognitive interview

An interviewing technique using free recall, reverse-order recall, and change of perspective to elicit more accurate and detailed accounts.

Hash value

A unique digital fingerprint of a file or recording, used to prove that electronic evidence has not been altered since collection.

Fraud Act 2006

England and Wales legislation creating offences of fraud by false representation, failing to disclose information, and abuse of position.

Insurance Fraud Bureau

A UK industry body that gathers and analyses insurance fraud intelligence and coordinates referrals to police and regulators.

Reservation of rights

A written notice that the insurer is investigating and has not yet accepted or declined cover, preserving its right to decline later.

Subrogation

The insurer's right, after paying a claim, to pursue third parties responsible for the loss and recover the sums paid.