Reasons why International Shipping Insurance is essential for your business
There are a number of reliable shipping services that handle transportation of goods between different locations globally. Some of these include DHL, FedEx and UPS. While packages and shipments sent with these carriers are typically handled with diligence, there is always the risk of your goods being damaged or lost.
This could be a result of something happening to your goods while they’re being transported from one warehouse to another by sea, air or road, or even simple clerical errors that mean deliveries miss their determined arrival slots.
This is largely why international shipping insurance for UK businesses and individuals is required for anyone that relies on the transportation of goods between the UK and locations across the globe. At The Insurance Broker, we’ve amassed a great deal of experience in this area, and have helped countless businesses ensure the safety of their cargo at all stages of the logistics process.
If you’d like to receive a tailored quote or advice on what kind of cover is best for your needs, get in touch with one of our friendly professionals who will happily assist you in your inquiry.
What is Shipping Insurance?
Shipping insurance lets you cover your packages against any damage, loss or theft during the shipping of your goods with various insurance services. Shipping insurance is a service that reimburses senders for the products lost, damaged or stolen during transit.
While these policies can’t guarantee safety or determine how individuals within the shipping industry behave with your products, they can cover in you in the event something happens to your products while they’re out of your hands.
Who Sells Shipping Insurance?
Shipping insurance is sold by a number of parties. Many shipping carriers (also known as carriers) offer packages that complement their shipping services. Also, insurance companies and other third-party service providers offer shipping insurance for a range of different prices and cover types.
Does Shipping Insurance Cover All My Goods?
There is shipping insurance available for most cargo types. However, there are also some restrictions too and not all packages are covered by standard policies and service providers, especially those that come as free complementary insurance services.
For example, many insurers do not provide insurance for precious stones and packages worth over a certain amount. This will require third party cover from a dedicated insurance provider who can cover high value items. Also, the trading terms and local conditions in each country can determine whether you can get sufficient cover for your products.
If you want to send or receive packages from places where conflict or war is currently taking place, then you may not be able to get sufficient cover. These include places like Yemen, Syria or certain parts of the African continent. The reason for this is that operating in these places will naturally come with higher risk of damage or loss to your property.
Should I Take Out Shipping Insurance?
Insurance is certainly worth buying for your high-value shipments. You will only receive free compensation from certain providers of shipping services if the value of your products is modest. For anything over around £100, it’s likely that you will need additional cover.
Buying an insurance policy will give you peace of mind, and if there is damage, loss or theft, you’ll get financial reimbursement. So if you are shipping high value products like electronics, artworks, and other valuable items, we always recommend choosing international shipping insurance.
Shipping Insurance for Online Retailers
The world of ecommerce and cross-border deliveries is growing exponentially. More and more online merchants and sellers are taking advantage of new online retail methods and technologies.
When you sell online, it is important that the package reaches safely to your customers. This will help to improve future sales, generate great reviews, produce good ratings and establish a sound reputation.
If your products are damaged during shipping, you will be required to pay out in terms of refunds, replacements, and additional shipping. As such, it’s wise to have protective cover in place so you don’t need to spend too much on keeping your customers happy and protecting your credibility as a brand.
With international shipping, the risk of damage and loss of packages is significantly higher when compared to domestic shipping. As well as the obvious risks, there are several day-to-day complications that could occur, potentially disrupting your successful shipment. No matter what kind of items you’re shipping or why, it’s worth taking out international shipping insurance just in case something goes wrong.
At The Insurance Broker, we can help you understand the appropriate level of cover your business needs and offer you tailored quotes at competitive prices. Just get in touch with one of our friendly team members and we’ll walk you through the entire process.