Transporting any kind of goods across the globe will always come with risks. If you have ever shipped anything internationally, you are well aware of how many things can go wrong when goods are being transported. This is where cargo insurance and commercial truck insurance will make their grand entrance.
Protection Against A Loss
You will not always be able to provide protection for your freight. Unfortunately, there are numerous containers that get lost or damaged on a yearly basis. However, there is good news. The good news is that using insurance on your goods can protect the value of those goods against any potential loss that can take place during transit, regardless if it is by air, rail, or sea.
Often times, shippers do not have a clear understanding of how liability works if there is a loss. There are also numerous rules and regulations that surround this topic that can make things even more confusing or complicated. Today, we hope to explain cargo insurance and how having it can alleviate some of the shipping risks.
Is It A Requirement?
While there is not a requirement to have cargo insurance, it is a recommendation if you want to protect your goods and all of the exposures to risks and damages. It is essential that you weigh the cost of cargo insurance with all of the potential damages and losses that you could incur without proper insurance.
Even if you are able to prove that the carrier is responsible and liable for the damages, there will be a limit of liability. Most freight will have a much higher value than the limit of liability. If you do not have the proper insurance, you could potentially lose a huge part of what your cargo is actually worth.
Who Will Be Liable If There Is Damage?
There are various types of damages that are beyond a carrier’s liability, including poor packaging, fire, weather-related incidents, and others. With these rules and regulations in place, it can be quite difficult to prove that a carrier should be held liable for the freight. There are also many companies who will have their hands on your goods throughout the transit, and this will make it very difficult to determine where the damage actually occurred. When you have the right cargo insurance policy, you will be covered for the losses and you will not have to pinpoint who should be responsible.
What Should You Look For In A Cargo Insurance Carrier?
You will quickly discover that many companies are offering cargo insurance. It can be difficult to find the right one for your business, but it is important that you take enough time to get all the answers you need. We encourage you to look for a cargo insurance provider that will provide you with the following:
- Flexible policies that are based on the needs of your business
- A provider who can cover all of your goods against damage or loss while they are in transit
- Insurance experts who can help you navigate through the entire process
Are you in need of cargo insurance? Contact ustoday for more information about the cargo insurance services we offer in your area.