Transportation

Cargo Insurance

Insurance that protects goods against loss or damage during transit.

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Updated 2025-10-01

Definition

Cargo insurance provides financial protection to shippers and consignees against loss, damage, or theft of goods while in transit.

Overview

Overview

Cargo insurance covers all types of transportation, including sea, air, and land shipments.

Types

  • All-risk insurance: Covers most perils
  • Named-perils insurance: Covers specific risks only

Benefits

  • Financial protection against unforeseen losses
  • Peace of mind for shippers and consignees
  • Supports international trade compliance

Example

A shipping company insures a container of electronics to safeguard against ocean damage during overseas transport.

Tags

#Cargo Insurance#Shipping#Risk Management#Logistics

Related Terms

Marine Insurance
Bill of Lading
Carrier Liability