Cargo insurance is one of the mandatory nuances in all shipments of goods, especially from other countries. During delivery, there are risks of damage or loss of cargo, various force majeure situations, including delays in transit. In order not to incur losses, it is recommended to immediately provide for the issuance of a policy, which will indicate all possible situations and amounts of compensation. To conclude insurance, all conditions must be discussed in advance; the policy is issued at the place where the cargo is received.

WHAT INSURANCE PROTECTS

Many start-up enterprises short-sightedly refuse unnecessary expenses in the form of a policy. But this only leads to various losses and quite large losses, because anything can happen on the road. The cargo may become wet or seriously damaged during loading; some of the goods may be lost due to unscrupulous transport companies or carriers. Risks in adverse weather conditions, theft and much more cannot be excluded. Therefore, cargo insurance upon delivery to Russia is an important and mandatory factor.

Obtaining a policy allows you to solve the following problems:

• preservation the client against the amount of damage happened to their cargo
• building a competent systematic approach to planning the activities of an enterprise;
• availability of insurance coverage, which allows you to meet the requirements of creditors, partners or investors in the event of insured events.

The presence of this policy provides protection in such situations:

• temporary storage, loading and transportation by the selected route;
• transportation costs (customs clearance, freight and others);
• transportation of damaged goods to the point of restoration or replacement;
• transmission by different types of vehicles.

If the product was damaged, you must collect relevant evidence and apply for compensation. The amount of damage caused is determined within a month, but for mixed cargo transportation this period increases to three months. After the assessment, the amount of compensation is fixed and paid to the applicant.

SCOPE OF PROTECTION AND RISKS

Cargo insurance during transportation applies to the following objects:

• all types of goods (textiles, shoes, clothing and others);
• overhead, transportation costs;
• the expected amount of profit from the sale of cargo.

Possible risks:

• spoilage, partial damage to the entire batch or individual units for various reasons;
• fees, expenses in case of an emergency during delivery;
• the cost of writing off damaged cargo;
• loss of the product due to theft or unexplained circumstances;
• damage caused by natural disasters, fire fighting, accidents;
• damage caused during loading/unloading, stowage;
• other cases.

INSURANCE CONDITIONS

To apply for registration, you must provide the following data:

• the type of vehicle used for transportation;
• the numbers of the accompanying documents and the time of dispatch;
• sender;
• type of cargo transportation;
• delivery point, presence of transshipments or stops along the route;
• type of cargo transportation;
• the full list of possible risks;

Such a package is needed to be calculated thoroughly and conclude an appropriate contract. The main conditions for insurance are:

• the insurance takes effect upon acceptance of cargo from the supplier or sender and continues until it is received at the address specified in the documentation;
• the policy is also valid for the storage of products in intermediate warehouses, auctions or exhibitions;
• it is possible to conclude a policy for a one-time delivery or regular cargo transportation;
• the amount is indicated as fixed, compensation is paid only in the currency that was used to pay the insurance premium;
• the deadline for the consideration of claims are determined at 21 days from the date of their submission and submission of a package of documents.

RATES(Tariffs)

The cost of cargo insurance is calculated depending on the following factors:

• coverage size (category);
• physical and chemical properties of the product, nomenclature;
• fragility, susceptibility to certain types of damage;
• product liquidity;
• type of delivery vehicle;
• route, distance, specifics of transportation;
• presence of a transshipment point;
• additional measures to protect the safety of the goods (seals, security and other factors);
• volume.

On average, the following prices apply:

• road transport – 0.02-0.2%;
• railway – 0.06-0.17%;
• air transportation – 0.05-0.15%;
• combined - 0.08-0.3%.

The total cost depends on the conditions, packaging, reloading and price of the packages, support and many other parameters. Therefore, the tariff can be calculated after providing information and receiving the goods from the supplier.