Cargo insurance is a type of insurance when freight transported in a vehicle is insured against damage, destruction or theft during transportation. Insurance coverage takes effect from the moment when insured freight is forwarded for transportation indicated in the insurance contract from the location where it was stored beforehand, and lapses as soon as freight is delivered and unloaded in the place of destination indicated in the insurance contract. Insurance coverage is valid during intermediate storage.
Usually when carrying goods by land transport, carrier’s liability is regulated by the CMR Convention adopted in 1956 in Geneva. Carrier’s liability, otherwise known as CMR insurance is limited per gross kilogram 8,33 SDR* – the index of which is set by the International Monetary Fund. Though rarely but at times it happens so that freight is damages or lost for certain reasons, such as natural disasters, thus the possibility of insuring freight against all risks should be considered.
To insure cargos is it worth because:
- Having purchased freight insurance, you will reduce risk to the minimum – cargo insurance coverage applies for full freight value.
- The Insurer covers additional expenses incurred as a result of damage related to the rescue of freight, additional warehousing or reloading.
- In case of damage, you will avoid possible financial losses and disputes with business partners and carriers, because without purchasing cargo insurance, only standard carrier and freight forwarder liability applies, which is limited.
During freight transportation, vibration and loads are inevitable. Freight safety depends on the strength of packaging.
Appropriate packaging protects the contents of the freight from usual transportation hazards and ensures that the carried shipment would not damage other loads.
We will insure each transported freight for You at favourable terms and conditions.