Cargo insurance is a type of insurance that covers/compensates a buyer or seller of goods against cargo damage or loss of cargo..
Despite insurance having been around for centuries, there is still a feeling that any form of insurance is a “grudge purchase”..
By its nature, insurance is an intangible benefit, one that can only be tested under adverse circumstances and there is nothing more adverse than cargo damage..
- Local (Street to Street, City to City, Town to Town) shipment;
- to Provincial shipment within the same province/state;
- to National shipment within the country;
- to Regional trade within regional trade blocs like EU, BRICS;
- to Global trade between countries
there are several modes and types of trade/shipments around the world..
Although it may seem obvious, it is shocking to see how many customers still do not take the right Cargo Insurance to cover their cargo comprehensively..
I don’t think this lack of proper insurance cover is intentional, but may be due to ignorance or lack of knowledge on the part of the client as far as Cargo Insurance goes..
So when I read an article from Tom O’Malley of TJO Cargo, I felt I had to share it with my readers for a better understanding of Why cargo insurance and insurers matter..