Understanding Goods in Transit Warranties

Discover the importance of cargo warranty and how it protects your goods during transportation.

Goods in Transit Warranties Explained

Marine cargo warranty is a type of warranty that provides coverage for goods transported by sea, air, or land. It protects the cargo owner from financial loss in case of damage, loss, or theft during transit. It covers a wide range of risks, including natural disasters, accidents, piracy, and more. By having marine cargo warranty, businesses can ensure the safety of your goods and mitigate potential financial risks.

Benefits

For your peace of mind, FreightExchange offers low cost Goods in Transit Warranty on all shipments. The benefits to your business include:

1. Financial Protection: Provides financial protection to cargo owners in case of loss or damage to goods in transit. This helps your business avoid significant financial losses and maintain your operations smoothly.

2. Peace of Mind: Know that your goods are protected during transit so you can focus your  core operations without worrying about potential risks or losses.

3. Improved Risk Management: Manage risks ensure that you are adequately compensated in case of any unfortunate events.

Managing Your Risk & Lowering Premiums

You can lower your premiums and reduce the risk of damages or losses in transit including:

1. Choose the Right Mode of Transportation:  Choosing an express or high service transport option can reduce your premiums. Some modes of transportation may be more prone to risk, leading to higher premiums.

2. Packaging and Handling: The quality of packaging and handling practices can affect the warranty premiums. Packaging your goods properly to withstand rough handling can reduce the risk of damage, resulting in lower premiums.

Of course, the type of goods being transported plays a significant role in determining the warranty premiums and does result in higher premium costs. Perishable or high-value goods may attract higher premiums due to the increased risk of loss or damage and the high cost of replacing the goods if something does go wrong.

Making a Claim

When a loss or damage occurs during transit, cargo owners need to file a marine cargo warranty claim to ensure payment is made as quickly as possible.

1. Prompt Notification: Notify us as soon as possible after discovering any loss or damage. Prompt notification helps initiate the claim process without any delays.

2. Evidence: you will need to provide proper documentation to support your claim. This will include a packing list, photographs of the damaged goods, invoices for repairs or replacements

3. There is an Excess: There is usually an excess applied to all transit warranty claims. In our case, an excess of $100 applies to all claims except for electrical items, in which case a $250 excess applies to all claims.​ 

4. Payment: Once the claim is approved, we will settle the claim by compensating the cargo owner for the loss or damage.