When you are shipping freight, it’s important to protect it against physical loss or damage as it travels through the global supply chain. A comprehensive freight insurance plan covers your cargo from door to door, regardless of where it travels.
Freight insurance, also called cargo insurance, can be purchased through the shipper or from a third party insurance company. This coverage exceeds the freight company’s carrier liability coverage. You can purchase protection through:
- Online insurance brokers
- Business insurance
- Credit card insurance
Typically, insurable goods include personal effects, automobiles, household items, artwork, and antiques. Merchandise shipped with invoice can be insured for their stated value. Otherwise, items are valued and insured for fair market value or actual cash value, which is the replacement cost minus depreciation.
Check Your Shipment
When your shipment arrives, check it for visible signs of damage. If you experience a loss, contact your freight insurance or credit card company to file a claim. Please note that you are only covered for the cost of repairs. This does not include lost time, labor charges and shipping costs.
Before you ship goods, take the time to make sure your cargo is covered for loss or damage. A few minutes of due diligence may save you a significant hassle in the long run.