Insurance & Liability

Do I need freight insurance, and how does carrier liability work?

Carrier liability is limited and often based on commodity, class, and weight, not selling price. Limits may be low compared with the value of your goods. Cargo insurance can cover the declared value and usually pays even when the carrier was not negligent, subject to policy terms. Consider insurance for high-value, fragile, or theft-prone items, and purchase it before pickup. Claims under carrier liability can be slow and contested, while all-risk cargo policies often resolve faster. Know the carrier’s liability limits for your commodity and lane.
Note exceptions on delivery, keep packaging, photograph damage, notify the carrier promptly, and submit the claim with BOL, delivery receipt, invoice, and repair/replace estimate within required timelines.
Usually a small percentage of declared cargo value, adjusted for commodity risk, route, and deductible. Minimum premiums often apply.

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