What is cargo insurance/freight insurance?
Cargo insurance provides coverage against all risks of physical damage or loss of goods during shipping, whether by land, sea or air. Because of the many dangers inherent in shipping, most individuals and businesses choose to insure their goods while they are in transit. However, many different types of cargo insurance are available, and it is important that you know exactly what you want before taking the insurance, or you may not be covered for every eventuality.
Transportation companies have limited liability for loss or damage to the cargo they carry. Cargo insurance helps cargo owners and transportation companies manage their risk.
Put simply, cargo insurance provides a cost effective way of covering customer, as well as yourself for physical loss or damage to goods in transit. It provides added value to customers.