Why You Need Cargo Insurance

Ship happens. Protect yourself and your cargo by insuring against the unexpected.

What is Cargo Insurance?

Whether moving cargo around the world or around the block, a lot can happen between point A and B. Without insurance you may be more exposed than you believe. Cargo insurance protects your goods from damage, theft, fire, and a multitude of other unforeseen issues that your carrier won't protect against.

Isn't the Carrier Responsible for Any Problems?

Carriers are innocent until proven guilty and its often very difficult to pin where exactly they were at fault through the process. If it can't be proved that the carrier was a) negligent in its handling and b) in direct control/custody of the cargo, carriers will deny claims leaving you empty handed with a financial and logistical problem.

Even if your claim is approved, Carriers often cap their liability through the terms and conditions that customers agree to in the Bill of Lading. These caps vary by mode of transportation and vendor, but are generally benchmarked per package or by weight and have nothing to do with the value of the shipment. 

For example, international air carriers are usually limited to $29/kg and FedEx is typically $100 or less per package. In many cases, this will be substantially below the value of your goods.

Why you need cargo insurance


Tip

There are hazards at every step of the process and cargo insurance is an excellent way to protect your goods. Evaluate the contents of your shipment to see if additional coverage is right for you.


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