Cargo insurance is a complex subject that requires specialist knowledge. The Cargo is prone to being totally or partially damaged and it can happen at any time at the country of origin, during the journey or at the destination country. Statistics are nerve-jangling.
Cargo insurance is a necessary cost of business, including international trade, where cargo damages can cause colossal amounts. Lloyds of London has reported that on an average, one ship sinks every day.
Why Insure The Cargo
The Cargo inside the containers is prone to being totally or partially damaged and it can happen at any time at the country of origin, during the journey or at the destination country. Statistics are spine chilling. Every year, between 2,500 to 10,000 containers are lost in the Ocean. Inside the United States,
thousands of container trucks are involved in road accidents every year, causing deaths and damage to cargo and other property. At US Ports too, cargo damage is hardly a rare incident.
The ocean, air, road and rail carriers almost always have sound insurance coverages to protect the cargo against any damages, but these insurances exclude the shippers’ packing and labelling negligence, apart from the Acts of God, terrorism and war. It is not unusual with the shippers discovering to their horror that the carrier’s insurance company “found out” that the cargo damage was due to shippers’ negligence and hence excluded from the final settlement of the claim.
Take the Advice & Save Dollars
Businesses doing international trade may think that their logistics professionals know well the risk of cargo losses and damages, so they are relied upon to buy the cargos’ insurance wrap. But one needs to start winning every single time, and the right way forward is to get a smart 3 rd Party Logistics outfit, to provide free advice. While an expert 3PL company always maintains the utmost care in handling their clients’ cargo, there are inherent risks involved in transportation that may cause losses beyond their control.
Here are a few reasons for getting the best insurance advice from an experienced and professionally managed 3 rd Party Logistics company:
Drop TEU Global an email at firstname.lastname@example.org , or call us at +1 732-515-9040.
We will support you to determine your cargo damage risks and guide you to the best insurance solution at the most competitive rates.