Cargo Insurance – Better Safe than Sorry
Various unforeseeable factors can expose your cargo to risks during transit. With our Cargo Insurance solution, you can sit back and relax knowing that your goods are protected against unpredictable events.
It is important to us that your goods always reach their destination. Unfortunately, despite all precautions, accidents can still happen.
Cargo Insurance
In general, logistic companies, shippers, carriers, and freight forwarders only carry limited liability under international law and maybe even less under national law, which is why we strongly suggest that you stay safe by getting cargo insurance. Specifically, when dealing with the transport of ready-made goods and so-called high-value products, the economic risk is so high that cargo insurance should be a natural preference.
Your cargo may be damaged or lost for numerous reasons in transit or during transport. Who is liable can be fairly complex. Especially since there are major differences between the liability of shippers, carriers, and freight forwarders. Without insurance, you risk not being able to get any or full compensation if your cargo gets damaged.
Your goods are the heart of your business. Do you worry about unpredictable circumstances, like theft or bad weather conditions, causing loss or damage to your shipment?
At GlobeCargo, we understand that protecting your cargo from potential risks is your biggest priority, which is why our experienced professionals offer you cargo insurance solutions with coverage for the value of goods.
GlobeCargo Insurance is our one-stop shop solution that applies a suitable cargo insurance each time you book your shipment – effectively removing extra processing steps and bringing you peace of mind. Within Cargo Insurance, your claims will be settled quickly and efficiently, saving you plenty of time and effort. This way, you’ll be able to focus on growing your business while we ensure that your goods are protected against harm.
Minimise the risks
Transport of goods is always associated with risks – whether it relates to transport by vessel, truck, rail or airplane.
With cargo insurance, you are, for instance, covered and protected from:
- Suffering financial damage due to loading incidents
- Traffic accidents
- Incorrect handling
- Stolen or lost goods
- And more
You never know what may happen.
At the same time, our insurance solutions are very competitive due to our expertise and large portfolio.
Insuring different types of cargo, under all modes of transport
Globe Cargo Insurance covers you for containerised and bulk commodities under all transportation modes. Furthermore, storage risks during the regular course of transit is also covered as per related insurance clauses, up to 60 days. The coverage time can be extended according to your shipment needs.
Insuring different types of cargo, under all modes of transport
GlobeCargo Insurance covers you for containerised and bulk commodities under all transportation modes. Furthermore, storage risks during the regular course of transit is also covered as per related insurance clauses, up to 60 days. The coverage time can be extended according to your shipment needs.
Our solutions
- Spot – Covers one-time shipments.
- Flex – Automatically covers shipments handled by GlobeCargo, without requiring additional administrative work from you. This option comes with an opt-out feature for your convenience.
- Fix – Covers all shipments on an annual basis, including those not handled by GlobeCargo.
Leverage these unique benefits:
- Get support from our partnership with top-rated insurance companies that provide powerful solutions.
- Increase efficiency using a one-stop shop solution that fulfils both your freight and insurance needs.
- Leverage our global network with local specialists to easily navigate through complex processes.
- Get a seamless experience from the time you book the insurance, until your claims are settled.
Contact us today to find out more about our services.
Cargo insurance covering General Average in sea freight
Even when your cargo arrives safely, the General Average can force you to pay for the loss and expenses of others. Find out more about the General Average.
General Average: Definition
It is a principle of maritime law that requires ship and cargo owners to also share proportionately the costs associated with the rescue of cargo and ship after a major accident. The captain or owner of the ship will declare General Average when cargo, equipment or funds must be voluntarily sacrificed in order to save the ship from peril in the event of an emergency.
Situations that can result in General Average
- Ship running aground
- Hull and engine damage – caused by efforts to refloat a vessel
- Fire onboard the ship
- Mechanical engine failure
- Shifting of containers – due to heavy storm
- Discharge and reloading – of cargo at a port of refuge
How can you be prepared?
Cargo insurance not only protects the loss of (or damage to) cargo during sea transport. In the event of General Average, the cargo insurance company takes over and represents you on behalf of the cargo owner towards the average commissioner. Insurance protects your cargo for unforeseen events during the voyage that are beyond your control, such as General Average.
| With cargo insurance | Without cargo insurance |
|---|---|
| Institute Cargo Clauses fully cover all General Average expenses | All expenses on the cargo owner |
| No need to worry about bureaucracy or documentation | Unless you provide a cash deposit or a bank guarantee, your cargo will not be released |
| You continue your business with total peace of mind | You have the obligation to provide all documentation to the General Average adjuster |
Suez Canal incident and General Average
How did the General Average declaration affect the cargo owners having containers on the EVER GIVEN – especially when they did not have a cargo insurance?
The Suez Canal reopened and whilst the world trade route restored to normal, those who have cargo interests on board received a „General Average Declaration” letter from the shipping company. An Average Adjuster was appointed to calculate the cost of general average. The related General Average security has to be paid before containers can be released from the ship. Shippers without appropriate insurance cover will need to pay the required cash bond.
Our Global Cargo Insurance Team is here to help you. Please contact us for further information.
