Cargo Insurance in Transportation :

Cargo insurance is a type of insurance that must be obtained for the transportation of goods . The main goal of this insurance is to cover the potential costs and damages that may arise in the event of accidents and various risks during the transportation of goods and cargo along the route.

Cargo insurance serves as a vital tool in the transportation and logistics industry to safeguard cargo and prevent financial liabilities resulting from damages to the cargo. Alongside its primary transportation services, the international transportation company “Barman Tarabar” is also capable of handling insurance matters.

This insurance encompasses several types of coverage, including:

  1. In-Transit Cargo Insurance: This type of insurance covers damages resulting from accidents during transportation, including road accidents, road incidents, maritime or aviation accidents, and other incidents that occur along the cargo’s transportation route.
  2. Damage and Loss to Cargo Insurance: This type of insurance provides coverage for potential damages to the cargo, including physical damages, damages due to packaging defects, incidents at terminals, and warehouses.
  3. Third-Party Liability Insurance: This type of insurance covers the compensation for damages and associated costs resulting from an incident that causes harm to a third party (other than the cargo carrier).
  4. Cargo Transportation Insurance: This insurance type covers risks related to the loading, unloading, and transportation process of goods. It’s one of the insurances often carried out by transportation owners to protect their assets.

International transportation company “Barman Tarabar” provides insurance services to ensure that damages arising from transportation throughout the journey are compensated .

The importance of cargo insurance in international and domestic transportation , especially for valuable and sensitive cargoes, is paramount. This insurance enables transportation managers and cargo owners to compensate for financial losses resulting from accidents and prevent damage to their reputation and service quality for customers. For more information on international transportation and insurance, please contact us at 09158186856.

Types of Cargo Insurance (Based on Origin of Transport):

  1. Import Cargo Insurance : The origin of the import cargo insurance policy is outside the country, while its destination is within the country.
  2. Export Cargo Insurance : The origin of the export cargo insurance policy is within the country, while its destination is outside the country.
  3. Transit Cargo Insurance : Transit cargo insurance covers cargo that originates and is destined outside the country, passing through the country during transit. If the cargo doesn’t enter the country during transit, it’s referred to as non-transit transit insurance.

  4. Internal Cargo Insurance:
    In this type of insurance, both the origin and destination are within the country. The insurance policy is subject to domestic laws and covers damages caused by fire, vehicle accidents, and other risks that threaten the transported cargo. Additionally, with the insurer’s agreement and the payment of additional insurance premiums, additional risks such as total theft of the cargo by the carrier, damages due to loading and unloading, oil spills, leakage, breakage, damages due to proximity to other goods, flooding, and other risks can be added to the insurance coverage.

Types of Cargo Insurance Conditions or Clauses:

Due to the presence of various risks throughout the transportation route and the determination of insurance company commitments, a set of conditions or clauses has been designed at the international level. These are accepted by insurance companies worldwide. Individuals, based on the type of cargo and the risks that may threaten their cargo during transport, can choose one of the following four clauses. Furthermore, respected policyholders can request specific risks in addition to standard Clauses B and C from the insurer. For example, requesting coverage for non-delivery in addition to the standard Clause C.

Insured Risks:

  • Insured risks under Clause C include: fire, explosion, grounding of the vessel, sinking, overturning, or derailment of the ground transport, collision with external objects, cargo discharge in emergency situations, general average, salvage and throwing cargo into the sea, the insurer’s share of general average and salvage costs.
  • Insured risks under Clause B include: all insured risks under Clause C, plus earthquake, volcanic eruption, lightning, cargo falling off the ship, saltwater and freshwater immersion due to the entry of water from the sea, lake, or river into the floatation, transportation vehicle, container, cargo warehouse, and complete loss of each package during loading or unloading from the floatation.
  • Insured risks under Clause A include: In this type of insurance, all risks that threaten the goods during transport are covered, except for the exceptions mentioned under Clause A.

Insured Risks in Domestic Cargo Insurance Policies:

In this type of insurance, usually, risks such as accidents, vehicle collisions, and fire on the vehicle are insured. With the agreement of the insurer and the policyholder, it is possible to also insure risks such as loading and unloading, cargo falling off the carrier, theft, collision of the cargo with external objects, earthquake, flood, explosion, and lightning.

Insurance Exemptions:

Exemptions under Clauses C and B include: intentional acts of the policyholder, normal wear and tear of the cargo, damages resulting from inadequate packaging, improper stowage, inherent defects, damages due to delay even if the delay occurred due to an insured risk, bankruptcy of owners, managers, or charterers of the vessel, deliberate acts of individuals, damages caused by atomic-powered weapons, unseaworthiness of warships, war, civil war, revolution, insurgency, occupation, confiscation, seizure, mines, torpedoes, or other military weapons, labor strikes, lockouts, internal disturbances, and terrorist acts.

Exceptions in Policy with Clause A:

The exceptions in the insurance policy with Clause A are the same as the exceptions in Clause C and B, with the difference that in Clause A, “deliberate acts of individuals” are not considered exceptions.

Exceptions in Domestic Cargo Insurance Policy:

Deliberate acts of the policyholder and their employees, representatives, corruption of the cargo due to delays in transportation, war, civil war, revolution, uprising, riot, strike, detention, confiscation of property, nuclear reactions, nuclear radiation contamination, transportation of explosive materials, transportation of metals and precious stones, money and securities, works of art.


Insurance Period in Clauses C, B, A:
Insurance coverage starts from the moment of loading the goods at the origin specified in the insurance policy and ends upon delivery of the goods to the final warehouse, or in the case of sea transportation, 60 days after the goods have been unloaded from the ship. In the case of land transportation, 60 days after the goods have entered the customs of the destination country. In the case of air transportation, 30 days after the aircraft has landed at the destination country's airport, whichever occurs earlier. In the case of domestic transportation, 8 days after the goods have arrived at the transportation institution at the destination, or upon arrival of the goods at the warehouse, whichever occurs earlier.

Addendum Types:

  1. Increase or Decrease in Insured Amount Addendum.
  2. Policy Term Extension Addendum. If, for any reason, the policyholder is unable to clear the insured goods from customs within the specified periods in the insurance policy, they can request an extension of the policy term before its expiration. Therefore, the insurance term can be extended under the condition that, firstly, the goods have not reached the specified destination, and secondly, the request for extension is made by the policyholder before the expiration of the insurance policy.

Policyholder’s Duty to Provide Information to the Insurer: The policyholder is obligated to provide all information related to the transportation of goods, including the following:


  1. Complete specifications of the cargo.
  2. Number of times the cargo is transported.
  3. Specifications of the means of transporting the cargo (or means of transportation in case of combined transportation).
  4. Maximum value of the cargo in each transport.
  5. Date of cargo departure.
  6. Price of each part of the insured cargo before or immediately after transportation.
  7. The maximum value of the cargo before the means of transportation reaches the destination, which should be communicated to the insurer.


For more information about your cargo insurance options, contact International Transportation Company “Barman Tarabar” at 00989158186856.