What is the meaning of freight insurance?
Definition of freight insurance
: insurance for indemnifying the policyholder against loss of the freight money if the shipowner cannot complete his contract of carriage because of unavoidable peril.
What is covered under freight insurance?
Freight insurance is designed to protect against any loss or damage that may occur during the shipping process. This includes things like lost shipments, damaged goods, or delayed deliveries. Cargo insurance, on the other hand, is designed to protect against loss or damage to the actual goods themselves.
What is the difference between cargo and liability insurance?
With carrier liability, the shipper must prove that the damage or loss is the carrier’s fault and provide evidence of value and loss. With cargo insurance, you only have to prove that damage or loss occurred while the goods were in the carrier’s possession.