Marine Insurance For Cargo
Many out there have a blasé attitude sometimes when it comes to Marine Insurance for cargo. They feel that the cost can sometimes be more than the value of goods they are shipping so will go without. They feel the chances of losing a shipment during transit are low and can’t justify the cost especially if the shipments value is low. To these people we say think again!
The cost of losing your shipment may be a lot more than just the cost of your cargo. It is important to know when you put your cargo on a vessel, you actually enter into a joint venture with the shipping line and every other Shipper with cargo on that voyage. The list of things that can go wrong is huge!
- Theft of Goods
- Loss or Damage
- Sinking, Capsizing, Container dumping
- Loading and Unloading incidents
- Warehousing and storage issues
As you can see from above the risk is real. By having your cargo on a vessel and entering into this agreement if any of the above happens then you and every other shipper with cargo on that vessel are liable to share the costs of damage or loss even if your container or shipment is fine!
There is a reason that Maritime insurance is one of the oldest forms of insurance out there and it’s astounding that there are still so many shippers willing to run the risk of going without when freight forwarding. Even if the loss of your cargo might not be worth that much, your share of the cost for a voyage mishap could be an absolute fortune! Do you still want to risk not insuring your goods?
Anything can happen on a sea voyage with weather and human error all playing parts in possible risks that could hinder or cause in loss of a shipment. A good example is if containers are dumped at sea to save a vessel, even if your container or cargo is safe and sound on the ship, you may still find yourself being asked to contribute towards the loss of another Shipper’s container. This is based on the principle that the other Shipper’s cargo was sacrificed to save not only the vessel, but your cargo as well.
Now you’re starting to pay attention!
Centuries of maritime law mean ship owners are able to pass the bulk of their risk on to the Shippers who use their service – This protects them and keeps cargo moving across the globe – Now you need to make sure as a shipper that you are protected too!
At Avanti we know that things can happen in transit and we have seen it happen and seen shippers pay the price. By not taking out marine insurance you are taking the risk that the loss of your cargo worth thousands could end up costing you hundreds of thousands.
Ask us for a quote today, you will be surprised that by paying a small amount could save you a fortune.