Securing the proper cargo insurance is critical in mitigating the risk of financial loss to your goods within the supply chain. Cargo insurance provides coverage for your goods in the event of loss or damage during domestic and/or international transit.
Transit risks can include incidents that involve: rough handling, collision, overturn, theft, non-delivery, jettison (the act of casting goods from a vessel or aircraft to lighten or stabilize it), general average (all parties in a sea venture proportionally share any losses resulting from a voluntary sacrifice of part of the ship or cargo to save the whole in an emergency), and natural disasters, to name a few.
Cargo insurance may be written to protect goods shipped by sea, air, truck, or rail, and can include coverage throughout the distribution supply chain as well as while warehoused or in storage, as needed. Goods may be insured on a spot-shipment basis or under an open cargo policy.