You need specific Insurance Cover when Transporting Goods for Others
When you are a business that is transporting goods that belong to another company or individual, you are legally responsible for taking care of those goods to the best of your ability.
Now the fact is that the vast majority of goods that are shipped, whether by road, sea, air, or rail, do arrive safely at their destination. This is because everyone involved in handling them, as far as businesses are concerned, will take the utmost care to see to it that they do indeed arrive in perfect condition.
However, the problem is that – as with anything in life – things can and do go wrong. Accidents can happen, with the best will in the world, and in most cases, accidents cannot be avoided. They may be due to negligence on the part of a third party, but if you are on the “receiving” end of an accident there is very probably nothing that could have been done to avoid it.
Of course, another thing that can happen to goods in transit can be the result of criminal intent. Unfortunately, in this world there are people who will endeavour to steal from you if they can, and this is something else which one takes every care to avoid, but sometimes the criminals are simply smarter. Criminal intent may be the intention to steal the goods and sell them on for money, or it may sometimes be as a matter of revenge for a perceived slight by the individual concerned. Either way, goods may be stolen or damaged intentionally.
Of course, as a percentage, all of these things only happen a very small amount of the time, unless there is a war on, in which case they will happen a lot more often.
With all that said, when you are transporting goods that belong to other people, you need to take out goods delivery insurance to protect you and your business in case anything happens to them, no matter what the reason. You can insure against most things, although no insurance company is going to cover goods in a war zone. But you can, and should, insure against the likelihood of certain circumstances occurring which could result in damage to or loss of the goods.
Insurance companies offer a range of different types of policy depending on what it is that you want to cover and against what circumstances. The premiums can vary quite considerably depending on the level of cover that you require and the type of goods that you are transporting.
There may also be certain caveats involved as well. For example, with some policies covering transport by van or lorry, you can insure against loss or damage when the vehicle is parked overnight. However, it has to be locked and in a secure place. If the driver failed to lock the vehicle, then loss of the goods would not be covered. As far as the insurance company is concerned, it doesn’t matter why the vehicle was not locked: the driver could have been taken ill and rushed off to hospital, but if it was not locked and the goods were stolen or damaged the policy would not cover them.
Fortunately, such things are rare, but it pays to look closely at the policy terms and conditions in order to see exactly what is, and what is not covered.
As a business that transports goods belonging to others, there are different types of insurance policy that we can provide at The Insurance Broker that cover different aspects of transport, as you might have guessed. For example, you may transport goods only across the UK and only by van or lorry. Perhaps you transport goods by any possible combination of road, rail, air, and sea. You could be transporting goods from overseas where they are first moving by road from, say, a factory in China, then transfer to a ship that brings them to a UK port, and then you carry them onwards to their final destination here in the UK. Or you might transport goods from a manufacturer here to Heathrow Airport, from where they are flown to the Caribbean and then taken by lorry to a customer over there.
If you are only transporting goods by van or lorry within the UK you will only need a transit insurance to cover those elements, although you might also want to add the overnight protection. If you are transporting goods internationally, at The Insurance Broker we would recommend international transit insurance so that the goods are covered wherever on their journey they happen to be.
We have over 20 years of experience of cargo transport insurance at The Insurance Broker, so talk to us and let us make certain that you get the right level of over for the minimum rate.