Under what circumstances is it necessary to purchase International cargo insurance?

International Cargo Insurance

International cargo insurance refers to an insurance measure taken due to loss or damage that may occur during the transportation of goods to destinations outside China. Cargo transportation insurance is generally a commercial activity jointly participated by freight forwarding companies, insurance companies, and cargo owners. International cargo insurance provides comprehensive risk protection against losses, delays, damage, theft, etc. during cargo transportation, allowing cargo owners and freight companies to achieve more efficient and safer freight services without taking too many risks.

Under what circumstances is it necessary to purchase International cargo insurance?

In actual business activities, taking freight forwarding insurance can effectively reduce losses caused by accidental losses. The following are some common risks that may arise during the transportation of international goods:

1. Accidents: Risks such as a truck being hit by a car or a ship being hijacked by pirates are difficult to avoid.

2. The goods are affected by moisture, deformation, loss, theft, etc.

3. Various natural disasters: such as earthquakes, storms, floods, etc. In this case, carrying cargo transportation insurance can help the cargo owner avoid excessive liability and financial losses after these events occur, and can ensure that the goods arrive at the destination in pristine condition.

Type of Insurance

International cargo insurance covers many different types of insurance, as described below:

1. Sea freight forwarding insurance

Sea freight forwarding insurance is a type of insurance that insures against possible losses to goods during transportation during each stage of maritime transportation. When ships are performing cargo transportation services, they may encounter various accidents such as pirate hijacking and shipwrecks. Or, because the route spans multiple countries for a long time, seaborne cargo is susceptible to moisture, rodent damage, etc., which may lead to cargo loss. Marine insurance can provide insurance coverage for these risks.

2. Air freight forwarding insurance

Air freight forwarding insurance is a type of insurance that provides insurance coverage for risks that may be encountered during the transportation of goods, including but not limited to moisture, damage to the goods, as well as loss of goods caused by accidents and natural disasters. Since air freight takes less time, the cost of air freight insurance is relatively low.

3. Land freight forwarding insurance

Land freight forwarding insurance is generally purchased jointly by freight companies and cargo owners. It mainly covers commercial risks such as traffic accidents, robberies, strikes, and theft that may be encountered during road transportation. For the future overseas logistics business, risk analysis and insurance plan deployment can also be carried out based on the differences between the sender and the recipient, so as to achieve the purpose of ensuring the safety of cargo transportation more efficiently and reasonably.


International Cargo Insurance

International Cargo Insurance


When merchants choose an insurance plan, they should determine the insurance coverage, insurance amount, and insurance cost of the insurance plan based on factors such as the type of goods, location, price, and transportation method. When settling an insurance claim, the cargo owner needs to prepare the procedures that meet the insurance requirements, and at the same time keep the application portal open so that the insurance company can promptly respond to the insurance company’s query request or processing procedures during the claim settlement, thereby avoiding delays and disputes during the claims process.



In general, International cargo insurance is an industry that pays great attention to commercial risk management. Appropriate insurance solutions should be selected based on the actual conditions of each industry, which can not only save costs but also better protect cargo safety and improve customer satisfaction.

Related news

Scroll to Top