If you are at all involved in freight shipping, you might understand the importance of having the right kind of insurance. There are so many hazards and risks that could damage your shipment or even cause it to be lost. Even though you may have some type of cargo insurance, there is still a chance that the insurance company could deny your claim if something happens to your shipment. In that case, you can potentially hold your freight forwarder liable to cover your losses. If your freight forwarder has contingent cargo liability insurance, you will most likely be compensated for a lost or damaged shipment. Otherwise, you may have to absorb the loss.
Many types of carriers such as trucks, trains and ships are covered under contingent cargo insurance and this type of insurance can even protect against hazards specific to ocean shipping such as cargo that sinks with the ship in the event of a shipwreck. In the event that a ship’s crew must throw cargo overboard in order to keep the ship afloat, the shippers are the ones held financially responsible. Without contingent cargo liability insurance, the monetary loss can be staggering.
For peace of mind about what you ship, you may want to make sure that contingent cargo insurance is involved in the process. This is the type of insurance that protects your investments when they are out of your control and unexpected issues arise. There is no need to take unnecessary risks.