Why is cargo insurance important?
Transportation carriers are often responsible only for their legal liability for damage caused to your cargo, which may not be equal to the full value of your cargo, and in many cases, such as acts of god, may not be liable for the damage for the loss or damage at all. Even in the case your cargo was not damaged and discharged successfully at your destination, you may still need to pay for the loss of others under the “General Average” concept.
With AMANA CARGO INTERNATIONAL insurance, our customers know their goods are in the safest hands. We are able to offer cargo insurance on almost all types of commodities including bulk interests and hazardous cargo.
Incoterms and Liability
Each Incoterm rule specifies the seller's obligations for cargo delivery and clarifies when delivery takes place. Each rule also specifies when the risk of loss or damage to the goods being exported pass from the seller to the buyer by reference to the delivery provision.
Limits of international freight forwarder liability
The degree of liability depends on the contract in question, relevant laws, insurance coverage, and the particular circumstances of the loss or damage.
Freight Forwarder Liability (FFL) insurance covers carrier liability, errors & omissions, breaches of regulations and third-party liability claims.
| Transport Modes | Conditions standard | Maximum Liability |
|---|---|---|
| Air Freight | Convention de Montréal | 22 DTS par kg |
| Ocean freight | Rules of Hauge-Visby | 666,67 DTS par colis ou 2 SDR par kg, le plus élevé des deux |
| Road transport (international) | Conditions CMR | 17 DTS par kg |
SDR = Special Drawing Rights: a virtual unit of currency which is maintained by the International Monetary Fund (IMF) and represents a claim to a number of major currencies (SDR 1 is approx. EUR 1.22 at November 2023).
CMR = Convention Relative au Contrat de Transport International de Marchandises par Route (Convention on the Contract for the International Carriage of Goods by Road).
Why is cargo insurance important?
Amana Cargo International has teamed up with a leading global insurance broker and internationally acclaimed and financially strong A-rated insurance companies. In addition to superior coverage, this will gain you access to a global network of insurance expertise at a competitive price. All claims handling is outsourced to professional claims handling agencies with global presence should you need a surveyor to inspect your container.
That’s why it helps to know the general principles, what the most common risks associated with goods transport are, and when it makes sense to arrange for cargo insurance.