Freight Insurance
Description
Carrier liability is limited, and losses happen more often than most shippers expect. Cargo insurance arranges the coverage type the shipment needs, so risk is priced and controlled before goods move. Insurance can be added alongside air, sea, road, customs, and warehousing steps, keeping claims and documents in one place instead of chasing multiple parties later. Send cargo value—get coverage options.
Glossary
Term | Definition |
ICC (Institute Cargo Clauses) | Standard policy wording: “A” covers all risks; “B” and “C” cover named perils only. |
All Risks | Broadest coverage—protects against loss or damage from any external cause unless specifically excluded. |
Named Perils | Coverage limited to listed events (e.g., fire, collision, sinking)—cheaper but narrower. |
General Average | Maritime law requiring all cargo owners to share losses when cargo is sacrificed to save the vessel. |
Particular Average | Partial loss affecting only your cargo—not shared with other shippers. |
Subrogation | Insurer’s right to recover paid claims from the party responsible for the loss. |
Survey Report | Independent inspection documenting damage—required to support insurance claims. |
War Risk | Separate coverage for losses caused by war, terrorism, or piracy—mandatory on some routes. |
SDR (Special Drawing Rights) | IMF currency unit used to calculate carrier liability limits under international conventions. |
Deductible | The portion of each claim you pay yourself before insurance covers the rest. |
Certificate of Insurance | Document proving coverage exists—often required by banks, buyers, or customs. |
Know what's covered—and what's not.
Institute Cargo Clauses (ICC) come in three tiers: “A” covers all risks, “B” and “C” cover named perils only—choose based on cargo value and sensitivity. Carrier liability under Hague-Visby rules caps around $500 per package or 2 SDR per kg, whichever is higher—far below most cargo values. War-risk and strikes coverage is separate and required for routes through conflict zones or high-piracy waters. Claims need prompt notice (often within 3 days of delivery), survey reports, and original documents—delays weaken recovery chances. Premiums depend on commodity type, route, packing quality, and loss history; hazardous or fragile goods cost more to insure. Tip: Photograph cargo before loading and at delivery; visual evidence strengthens any claim.
Frequently Asked Questions
Carrier liability is capped and excludes many risks; separate cargo insurance protects the full value of your goods against most external causes.
“All Risks” covers most accidental external damage unless excluded, while “Named Perils” only covers events specifically listed in the policy.
Coverage usually runs from warehouse-to-warehouse, starting at pickup and ending after delivery at the named final address.
Note damage on delivery receipt, take photos, keep packaging, and inform us or the insurer immediately so a surveyor can be appointed.
Yes—on request we can quote and bind cargo insurance alongside your air, sea, land, and project movements so everything stays under one roof.