Insights to Help Your Business
How Much Does Cargo Insurance Cost?
Learn the three main factors driving cargo insurance premiums.
What’s the story: Cargo insurance is tailored to meet the unique needs of your business. While things like limits of liability, location, and business age may influence the cost of insurance coverage, there are three dominant factors driving your cargo insurance premium.
Three dominant factors that drive your cargo insurance premium:
1. Commodities: What goods are you shipping?
The more expensive the goods, the more complex the cargo insurance. High-risk commodities are more vulnerable to theft. Your cargo insurance premium is heavily dependent on the level of risk associated with the transportation of your goods.
2. Deductibles: How much are you paying out of pocket?
Consider this the partnership aspect of insurance, where you and your insurance provider agree to share the financial risks associated with shipping your goods. A higher deductible generally means a lower insurance rate.
3. Additional Coverage: What unique coverage does your business need?
From shipping perishable goods to products requiring storage in transit, a cargo insurance policy may be tailored to fit a customer’s specific coverage needs. Complex requirements for your goods will drive up the cost of your premium.
Speak with one of our licensed representatives to learn more about how cargo insurance can protect your business from financial losses.
