Container or cargo insurance covers cargo content for loss or damage from its point of departure to its intended destination, according to Universal Cargo Management. The particular type of coverage for each type of shipment varies widely depending on the material, the type of shipment and the specific policy. Policies can also be extended to cover the cargo material for other periods, such as before it departs from its point of origin and after it arrives at the destination port.Continue Reading
The main value of such insurance is to protect the value of goods in shipping containers while in transit, explains Universal Cargo Management. Policies can be tailored specifically for one shipment and one type of good or purchased comprehensively to cover all the goods shipped by a company. Companies have the option of shipping goods without purchasing such insurance, but they risk bearing the costs of all loss or damage if something should happen.
The most complete type of cargo insurance coverage is known as "all risks coverage," says Universal Cargo Management. Providers make such insurance available only if the goods in question are packed and loaded by a professional company and not the customers themselves. Many insurance companies do not reimburse for losses due to improper packaging in containers or when custom officials reject the shipment.Learn more about Insurance