Insure your shipments. Ensure your business.
Every year, over a thousand cargo containers are lost at sea— never to return. The result— countless businesses suffer heavy damages to both finances and reputations alike— but not at ENC. We utilize the strictest security measures and most advanced technology to ensure that your businesses are not among those organizations. Our team does all it can to keep your shipments on course and advise that suppliers do all they can to keep their businesses on course. Protect yourself by investing in cargo shipping insurance.
What is Cargo Shipping Insurance?
Cargo shipping insurance is an additional service that reimburses the shipper in case their parcel is lost, stolen or damaged in transit. It covers all forms of transit: road, rail, water, and air. Shipping insurance is recommended for people who regularly deal with cargo shipping companies and are concerned about the safety and protection of the components. Although it represents an additional cost, it protects the customer from suffering even greater damage in case their goods are damaged.
Certain postal services, courier companies, and shipping companies provide cargo shipping insurance in addition to their services, while others don’t include this option. In the US, all carriers are required by law to have carrier liability, that is, a minimum amount of cargo insurance. However, as it has a low degree of coverage, it is a common practice for companies to invest in additional insurance with a local provider, insurance agent, etc. The cargo shipping insurance companies provide protection for domestic as well as international packages. The insurer can file a claim at any time for the lost or damaged or stolen parcel.
Types of Cargo Insurance.
There is no one type of cargo shipping insurance that will cover everything, and each comes with certain limitations. It is best to check various insurance companies, check their fees and decide on the one that meets your specific requirements.
It is possible to get insurance for both domestic and international freights, for all types of transport:
Land Cargo InsuranceCovers damages, theft, and a variety of risks. Most commonly, this type of insurance covers cargo transported by trucks and some other smaller utility vehicles.
Marine Cargo InsuranceCovers cargo damages that occur during ocean freight or air freight shipments. These may include risks the cargo is subject to during the loading/unloading process, weather conditions, piracy, etc. When sea or air freight services are used to transport goods internationally, two different policies can be applicable: Specific Cargo Policies, which are further segmented into the renewable policy (usually used for single trip voyages) and permanent policy (created for a specific period of time and applicable to all shipments conducted in that period). Contingency Insurance Policy, drawn up in case of absence of other insurance.
What can be insured?
It is possible to insure any type of cargo – from a general commodity to a high-value product. The precise insurance amount you are required to pay depends upon the value of the product, as well as the type of the parcel.
Most broadly speaking, cargo can be classified into three insurance categories: A, B and C, where A refers to the most widely used product insurance and category C is the most restricted one.
Who is liable for potential damages?
In case your goods are damaged, lost or stolen during the transit, cargo shipping insurance will transfer the costs of the loss onto the carrier. Even in situations when it is difficult to prove who is the main person to blame for the damages, cargo insurance will protect you from having to prove liability.
Note that it is absolutely necessary to declare the value of the cargo on the bill of lading. If you skip this step, the carrier will not be responsible for the potential damages.