Moving your business internationally involves a lot of logistics, from packing up your equipment to arranging transportation. But throughout all that planning, one key element is often overlooked: cargo insurance.
Cargo insurance freight protects your business goods in transit from physical loss or damage. It is a method of safeguarding the value of your goods. But is it really necessary when moving your business overseas? In our opinion yes, cargo insurance is absolutely necessary.
Below, we’ll review some of the reasons why it’s worth getting cargo insurance when relocating your business internationally.
Risks
It doesn’t matter how careful you are when it comes to selecting a carrier or packaging your business items; some incidents are simply out of your control.
For instance, a fire could spread through the train and destroy your business cargo, a thief could swipe your packages from the terminal, or your cargo container could fall overboard during a storm at sea. No matter if you’re transporting your cargo by land, sea, or air, there are all kinds of risks that could compromise your cargo.
The good news is that cargo insurance plans are designed to protect against common risks. In fact, many plans cover the following: fire, collision, theft, natural disasters, sinking, stranding, and more. That said, it’s important to note some risks may not be covered, such as those associated with war or piracy.
Financial Implications
Moving your business internationally is already going to be an expensive endeavor. So you won’t want to face the financial implications of lost or damaged business items. And that’s why cargo insurance is so crucial.
When you have cargo insurance freight coverage, your plan will compensate you for the value of your compromised cargo. So your business doesn’t take a financial hit if your goods are lost or damaged.
Furthermore, you can find cargo insurance plans that are designed for specific kinds of goods that may be especially sensitive to certain conditions and unique risks, such as pharmaceutical supplies and technical products.
Legal Requirements
In some cases, cargo insurance may be non-negotiable. Depending on the carrier and method of transportation you choose, you may be required to purchase cargo insurance. This is because cargo insurance not only protects your business and its belongings but also protects the carrier in the event of an incident.
Peace of Mind
Finally, purchasing cargo coverage can give you peace of mind during the entire moving process. Instead of worrying about all the potential risks and their financial implications, you can focus more on other aspects of your business move, knowing your cargo is protected against financial losses.
Falvey Insurance Group Coverage
Falvey Insurance Group offers extensive insurance coverage. From All-Risk Shipper’s Interest Insurance to Marine Cargo and Stock Throughput plans, contact us today to find out more about our products.
