Transportation Insurances
Transportation Insurances
Delivery Method Determines Risk, Policy Follows
The delivery method (Incoterms) determines at what point in a shipment the risk passes to the buyer. If the starting and ending points of the policy are not compatible with this transition, the damage occurs right in the gap in between.
It establishes a subscription or voyage-based structure according to your shipment volume, route and transportation type; We consider packaging, stacking and transfer conditions as part of the guarantee structure.
- Subscription and voyage based commodity assurance
- Carrier and broker liability
The moment when the ownership of the cargo passes and the moment when the risk passes are often not the same day.
Scope
Coverage Scope
Commodity transportation (subscription)
A structure that is established based on annual shipment volume and does not require separate transactions for each voyage.
Trip based coverage
A policy issued specific to the route for one-time or irregular shipments.
Boat and machinery (hull)
Coverage for physical damage to the hull and machinery of marine vehicles.
Carrier liability (CMR)
Legal responsibility of the carrier towards the cargo in road transportation.
Storage and intermediate transfer
Ongoing protection during temporary storage and transfer periods during the shipping process.
Value and special cargo transportation
Coverage designed separately for high-value, sensitive and special-transportation-requiring loads.
Key Risks
What We Watch in This Area
Transfer Points
Most of the damages occur not during transportation, but during transfer and handling.
Packaging and Stacking
Inadequate packaging directly affects compensation as an express exclusion in the policy.
Route and Region Risk
Certain routes require additional coverage or separate pricing.
How is it determined?
Data Determining Transportation Coverage
- Type of commodity, its fragility and temperature sensitivity
- Mode of transport: land, sea, air or rail
- Route, transfer points and waiting times
- Delivery method (Incoterms) and moment of transition of risk
- Packaging, stacking and container loading standard
- Annual shipment amount and maximum load value at a time
FAQ
Frequently Asked Questions
No. CMR covers the carrier's legal liability and compensation within legal limits; The policy that guarantees the real value of the cargo is commodity transportation insurance.
It is based on estimated annual shipment volume; Shipments are reported periodically and the premium is adjusted according to the actual volume. It is not necessary to issue a separate policy for each trip.
It determines the delivery method. In FOB, the risk passes to the buyer at the port of loading, in DAP, at the point of destination. The starting and ending points of the policy must coincide exactly with this transition.
It is evaluated in commodity transportation policies written with extensive coverage. Since this contribution requested by the shipowner in maritime transportation can be requested separately from the cargo owner, it is important to clarify the scope from the beginning.
Do You Have a Need in This Area?
Let's assess your risk together and build the coverage structure around your needs.