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The primary benefit of cargo insurance is minimizing your financial loss, even if your shipment is damaged or lost. In addition, the small investment (a.k.a. the premium) you pay provides peace of mind as your goods leave your warehouse.
It also includes these advantages for your business:
Cargo Insurance provides coverage against all risks of physical loss or damage to freight during the shipment from any external cause during shipping, whether by land, sea, or air. Also known as Freight Insurance covers transits carried out by the water, air, road, rail, registered post parcel, and courier. Cargo insurance is vital in international trade. The risk then continues during the ordinary course of transit to terminate on delivery. In addition, cargo insurance covers loss or damage caused by war, civil war, revolution, rebellion, insurrection or civil strife, or any hostile act, capture, seizure, arrest, restraint detainment, general average, and salvage charges, strikes, riots, etc. Different cargo insurance policies are available for transporting goods by land, sea, or air. Businesses need cargo insurance to reduce the risk of importing and exporting.