Freight Insurance: Essential Protection in the International Transport of Goods.

Insurance in logistics plays a crucial role in providing a guarantee of security that addresses the complexities and uncertainties associated with transporting goods globally. This issue becomes more relevant given the exponential growth of trade, where companies from various industries engage in cross-border transactions, sometimes in high-risk context.

Why is it important to take out insurance in international trade?

Cargo insurance coverage protects goods during transport; covering the risks of loss, damage, and theft. This insurance is an agreement between two parties: the insured and the cargo insurance company. The insured pays a premium to the insurance company in exchange for the company's agreement to protect the value of the cargo during transport.

Types of insurance in international trade:

When entering international trade, the types of insurance possible shuold be taken into account and the one that is the most beneficial according to the needs of each company should be chosen. Here are some of them:

Transportation Insurance:

Cargo transport insurance is a financial protection service that assumes and compensates for losses and/or damages suffered by insured goods during their transport. Maritime, air, and land insurance are some of the means contemplated within the insurance.

Cargo Insurance:

Cargo Transport Insurance provides immediate protection to goods in transit from origin to destination, both nationally and internationally. Tailored to the specific security needs of each company or client, this insurance covers a wide range of risks, including total or partial theft, pillage, vandalism, and damage occurring during loading and unloading operations, and failures in the refrigeration system.

In addition to offering comprehensive coverage for maritime, land, and air, transport modes, the insurance supports against various dangers that may arise during the transfer of goods, such as losses or material damages caused by events such as fires, lightning, explosions, aircraft falls, self-ignition, sinking, grounding, overturning, collisions, derailments, and bridge breaks, as well as to loading and unloading maneuvers.

There are two types of Cargo Transport Insurance:

1. Specific Shipment:

   Covers a single shipment of goods from one point to another, only for the duration of the transfer. This product is recommended when shipments are few (less than 24 per year) or very special.

2. Declaration of Shipments:

   Recommended when goods are constantly being moved (more than 24 shipments per year) to prevent the customer from taking out insurance individually. This product allows the declare all your shipments at the end of the month. The validity offered is one year.

Container Insurance.

Container insurance is a policy designed to protect the container as a single unit. It covers loss, damage and other risks to which the container may be exposed during transport.

This type of insurance is useful for container owners or logistics companies, as it offers coverage against accidents, theft, damage due to mishandling or adverse weather conditions, among other risks, thus ensuring the continuity of the supply chain.

Transporting goods across borders exposes businesses to various risks, from property demage to financial loss. Merchandise and/or container insurance acts as an essential buffer, offering coverage against unforeseen events such as loading and unloading accidents, theft, weather or other events that may affect integrity of operations.

Having adequate insurance allows companies to protect their investments and maintain financial and operational stability in a global business enviroment, reducing the impact of potential losses during the international transport process.

At SPARX, we offer a strong layer of protection with policies designed to build confidence in avery transaction. Our coverage minimizes uncertainty, provides a financial safety net, and facilitates the continued growth of your international. operations.