Your business is a result of the hard work you have done, a day after day. Your business is your second lifeline and the profit generated from it is like the sweet fruit of hard work and lot of patience. Similarly, like your life and your family’s life, the property has to be insured in a proper way, so has to be the case of your trade products. When you are dealing in export and import, it is very important for you to get insurance for your freight. This helps in looking after the safety of your cargo when it is on the way to your warehouse or.
Know the importance
Cargo Freight Insurance is extremely important, since protection of cargo is a necessity. Uninsured cargo is a burden for businessmen at times. An insurance policy helps you to transfer the burden of loss to the insurer. Cargo, if not insured, becomes a huge financial risk for the businessmen as well as the freight forwarder. When banks issue letters of credit, a proof of cargo insurance is often required to be provided.
A little deeper
An insurance policy is useful since it compensates any loss partly or fully. Same is the case with inland cargo insurance that compensates the value of your cargo that gets destroyed in transit. An Ocean Marine Insurance is the logistic insurance applicable for your trade. Now, it is good to know that insurance policies are viable only if destruction occurs by artificial or natural means. This means destruction caused by floods, thunderstorms, fire, etc. The money that you get is the net value that is a part of the whole premium that you have paid continuously for years. This value usually covers almost the whole amount to compensate or indemnify the destruction caused.
