Why to buy insurance when shipping goods

Buying insurance is the best way to business. "Risk" is the word that none of us want to listen to or be mentioned. But in everyday life, the risk is entirely probable. And, goods transporting process is too. Risks can occur with your goods or with the goods that we are making shipping. There is a risk that the goods may be lost or damaged by fire, earthquake, flood, cyclone, due to freight cars crashed into other objects, etc. No one can predict how and when risks would happen. So, the problem here is how to limit the risk and how to fix it.

For tenants and goods transport shipping company, then buy insurance is a safe solution, especially with the high-value goods. Buying insurance can make sure that the customers would avoid unnecessary risks during shipping process. There are 2 types of insurance (these types of insurance are not compulsory):

1. for the transport company: to buy civil liability insurance on goods (insurances apply to business car transportation)

Within the scope of liability of this type of insurance, the insurance company will pay for the shipping companies the amount of money that shipping companies pay compensation under provisions for losses on vehicles transporting goods or business activities loads in the territory of Vietnam. At the same time, the insurance company also pays for the transport company necessary and reasonable expenses in order to prevent and limit loss of goods, damage assessment costs of goods and cost of storage, loading and unloading, storage costs during transportation when the car is in accident.

2. for the charterer: should buy insurance of goods transported within the territory of Vietnam.

The insured sum of the insured goods is the value of the goods covered by the declaration of conformity with the value of the goods at the destination. If the insured did not declare the amount of money insured, we can apply the calculation: insured value of goods includes goods value amount indicated on the invoice (or the actual price at the place of shipment if without invoices) plus shipping costs and insurance costs.

Expenses spent for the purchase of insurance is very small compared to the value of a shipment, but it brings peace of mind to the charterer and the shipping company.