What is Cargo Insurance?

• Cargo insurance protects a business financially from losses if their cargo is lost or damaged.

• This coverage provides reimbursement for the specified value of goods should an incident occur, ensuring that businesses are not left to bear the financial burden alone

• A general guideline is to ensure coverage for 110% of the Commercial Invoice value, including freight and duties, for all shipments.

• Cargo insurance rates may vary based on value of the goods, cargo types, loss history, coverage amounts and other factors.

• Usually, the shipper is responsible for arranging cargo insurance where needed.

• This responsibility may be highlighted by the carrier or freight forwarder, ensuring that adequate coverage is in place to protect the shipment throughout its journey.

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