A DETAILED OVERVIEW OF AIR CARGO INSURANCE

In the field of logistics and international trade, air freight is known for its speed and reliability. However, it also carries inherent risks. Goods may be lost, damaged, or involved in unforeseen incidents during transit. To minimize financial losses and safeguard interests, air cargo insurance has become an essential solution for both businesses and individuals. So, what exactly is air cargo insurance? What benefits does it offer to those who purchase it? Let Smart Link Logistics guide you through the key details in the article below.

1. What is Air Cargo Insurance?

It is a form of protection designed to cover the sender and receiver against potential risks during air transportation. This insurance provides compensation for loss or damage to goods, offering peace of mind when engaging in international trade.

It is especially important for high-value, fragile, or perishable goods. In the event of loss, damage, or mishandling, the insurance provider compensates the insured party according to the terms stated in the policy.

2. Who Should Consider Air Cargo Insurance?

Import-export businesses: Companies that regularly ship goods internationally by air.
Logistics service providers: Firms offering freight forwarding or cargo handling services.
Shippers and consignees: Individuals or organizations that arrange for air transport of goods.
Banks and financial institutions: Organizations that finance import-export activities and require insurance to protect their investments.

3. Key Benefits of Air Cargo Insurance

When purchasing air cargo insurance, policyholders gain several advantages:

Compensation for losses or damages caused by insured risks.
Financial protection against unexpected incidents.
Enhanced safety and credibility in international trade operations.
Timely assistance in resolving issues to prevent delivery disruptions.

4. Risks Covered by Air Cargo Insurance

Air cargo insurance typically covers losses caused by:

Accidents during transit.
Fire, explosion, or natural disasters.
Theft or misplacement of goods.
Unforeseen events that affect the condition of the cargo.

4.1. Exclusions – Risks Not Covered by Insurance

Certain situations fall outside the scope of coverage, including:

Damage resulting from improper or non-standard packaging.
Natural shrinkage in weight or volume.
Delays in delivery or transportation.
Events related to war, strikes, or political unrest.
Losses caused by nuclear weapons or radioactive contamination.

5. Duration of Coverage

Air cargo insurance is valid from the moment the goods leave the warehouse or point of origin and ends when:

The goods are delivered to the destination stated in the policy.
The goods are temporarily stored, not exceeding 30 days from the time they are unloaded from the aircraft.
There is a change in destination, provided it does not extend beyond the original insurance period.

6. Should You Purchase Air Cargo Insurance?

The answer is yes. Purchasing air cargo insurance provides several crucial benefits:

Cargo protection: Reduces the risk of loss or damage during transport.
Financial security: Prevents major financial losses in the event of an incident.
Competitive edge: Insured companies are often perceived as more trustworthy by customers.
Efficient problem resolution: Minimizes disruptions and ensures smoother business operations.

Conclusion

With extensive experience in logistics and international trade, Smart Link Logistics offers comprehensive air cargo insurance solutions to help businesses protect their assets and minimize risk. Let us support your global operations with safety, reliability, and peace of mind.

If you’re looking for the best import-export solutions, feel free to contact us for detailed consultation. If you need legal support or assistance with customs procedures in import-export activities, please contact Smart Link Logistics for fast and efficient consultation. With over 14 years of experience in the transportation field, we are proud to accompany you throughout your journey.

Hotline: + 84 902 964 982 to know more about our services

If you require assistance with international import and export of goods, please contact our team at Smartlink Logistics. We are available to provide you with professional guidance on our services and the necessary customs procedures.

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