Car shipping insurance… Boat shipping insurance… Vehicle shipping insurance… What is it and do I need it? These probably are the most frequently asked questions that we hear almost every day.
First, let’s determine what shipping insurance is.
Marine insurance, cargo insurance, freight insurance, or shipping insurance, is an insurance policy taken up to protect against loss of or damage to your goods while they are being transported. Marine insurance covers the loss or damage of ships, cargo, terminals, and any transport or property by which cargo is transferred, acquired, or held between the points of origin and final destination.
Cargo insurance (discussed here) is a sub-branch of marine insurance that covers physical damage to, or loss of goods whilst in transit by land, sea and air. Although the term “marine cargo insurance” is sometimes used, it actually includes cover for the land transit commencing from the moment the goods leave the storage until they arrive at the final warehouse.
What is the available coverage?
All risks marine insurance – covers against damage from physical, external cause including partial damage, theft and catastrophe. This coverage is only available for professionally packed shipments (not available for self-loaded cargoes). This is the most comprehensive shipping insurance coverage, subject to underwriter’s terms and conditions.
Total loss marine insurance – as the name implies, this policy covers against total loss/catastrophe of entire shipment.
Depending on your type of shipment, there may be certain restrictions on the coverage. Please, talk to our customer service representative to evaluate your situation.
I am shipping my vehicle or boat with another shipper.
Can I still insure my cargo through your services?
Yes, even if you are shipping with another company we can still arrange the marine insurance cover for your vehicle, boat or RV. Our cargo insurance rates are among the industry’s lowest. Feel free to request a shipping insurance quote here.
How much cargo insurance do I need to buy?
The standard practice is to cover the invoice cost plus freight plus a percentage to cover the anticipated profit (normally 10% to 20% is adequate). For valuable items (valued over $10000) you should consider getting a formal appraisal prior to shipping.
Are there any deductibles?
The deductible is the portion of any claim that is not covered by the insurance provider. It is the amount of expenses that must be paid out of pocket before an insurer will cover any expenses. It is normally quoted as a fixed quantity and is a part of most policies covering losses to the policy holder. The deductible must be paid by the insured, before the benefits of the policy can apply. We offer our customers deductibles that are among the lowest in the industry – from $100 to $500 depending on type of your shipment.
What are the advantages of taking the marine shipping insurance cover?
In case of damages, the local insurance company representative will deal directly with the carrier, handling the survey, estimating the damages and repairing the damaged vehicle. Repairing your vehicle overseas may not be cheap; shipping insurance helps to significantly lower your expenses.