Running a shipping company can be tricky, there are a lot of accidents that can happen and damage your shipment or cargo vehicle. But how can you get your money’s worth when your goods and cargo vehicle get damaged? The answer is cargo insurance!!
Why Is Choosing The Best Cargo Insurance Company In India Necessary?
You must have a cargo insurance policy in place to protect your shipments and recover the money you spent on them. There are a number of instances where it is beneficial:
- Import and export cargoes
- Regarding carrying commodities by road, train, air, sea, or post from one place to another for those transported by river
- Small boats or country crafts transport cargo through inland waters. Coastal ships are used to transfer goods between ports
Types of Cargo Insurance Policies
In India, there are several different kinds of cargo insurance policies. You can purchase cargo insurance coverage for the majority of your needs, including import, export, transit within India, one-way travel, etc. Let’s have a closer look at the various kinds of cargo insurance policies available:
Goods that are imported and exported can be covered by an open-cover cargo insurance policy. It is given out under a contractual obligation for a year. When you purchase open-coverage cargo insurance, the insurance company promises to pay for all shipments that fall under the policy’s purview. An unstamped agreement serves as the foundation for an open cargo insurance policy.
Irrespective of the item, this insurance will cover every type of shipment.
A cargo insurance policy with an open period of one year is designed to protect goods being transported within India. The policy covers all the goods in transit declared by the policyholder, subject to the overall sum insured limit. It is printed on a stamped piece of paper. Additionally, stamp duty and the premium are deducted upfront. It is common for premiums to be paid upfront for the entire estimated value throughout the period of the policy. It is not common for every shipment to be covered by an individual cargo insurance policy in such cases.
Specific Voyage Policy:
A single transit or voyage is appropriate for this type of cargo insurance coverage. Typically, the policy is released ahead of the start of the transit. The coverage will end right after the voyage is over and the cargo has reached its destination. Similar to other marine cargo insurance policies, the specific voyage policy typically includes information about the vessel name, conveyance, bill of lading, waybill, and date, as well as the policy terms, conditions, and sum insured
Say you’re just starting your business and trying to get hold of it, this insurance is the safest option for one-time shipping.
You get the insurance before the time of transit and it ends after the shipping is done.
Best Cargo Insurance Companies in India
India’s Bajaj Allianz General Insurance Company, one of the cargo insurance companies in India, offers general insurance. It is a partnership between SE, Allianz, and Bajaj Finserv. In this partnership, Allianz, a German financial services company, and Indian business conglomerate Bajaj own Bajaj Finserv. Since receiving its registration certificate from India’s Insurance Regulatory and Development Authority (IRDAI) in 2001, the company has provided insurance services in nearly all general insurance categories. One of the general insurance product categories offered by Bajaj Allianz is commercial vehicle insurance.
Mitsui Sumitomo Insurance Company and Murugappa Group collaborated to form Chola MS General Insurance Company, one of the cargo insurance companies in India. The company provides a variety of insurance products, including those for travel, health, property, and more. Vehicles like goods-carrying, passengers, and other vehicles are covered under the Chola MS commercial vehicle insurance policy.
An up-and-coming general insurance provider in India is called Digit or GoDigit, one of the cargo insurance companies in India. Customers adore it because of its easy-to-understand insurance plans, lack of secret clauses, and incredibly straightforward claim process. The organization was recognized as the 2019–20 General Insurance Company of the Year in Asia. The company also provides commercial vehicle insurance in addition to its presence in the health, motor, travel, home, fire, and more general insurance types.
Even though Edelweiss General Insurance Company, which was only founded in 2016, is relatively new to the general insurance industry, it does provide a wide variety of insurance products. It covers almost all general insurance segments, including those for automobiles, health, two-wheelers, homes, and commercial vehicles. This business’s commercial vehicle insurance programme is made to cover both vehicles that carry people and those that carry goods.
A joint venture between Generali Group and Future Group is called Future Generali India Insurance Company, one of the cargo insurance companies in India. On the one hand, the Generali Group is a major international insurer, whereas, Future Group is India’s top retail brand. The business is renowned for providing the most pertinent and easily accessible insurance plans.
Together, Magma Fincorp and HDI Global SE of Germany create Magma HDI General Insurance Company and cargo insurance companies in India. The business provides complete insurance coverage for two-wheelers, motorcycles, and personal cars. The business also offers health insurance policies. This company’s commercial vehicle insurance plan offers protection against loss or damage to a commercial vehicle. The insurer additionally offers legally required third-party coverage.
National India Insurance
One of the first public general insurance companies in India is called National Insurance Company Limited. The business provides a range of non-life insurance options, including coverage for commercial vehicles. The policy includes third-party liability insurance coverage and offers coverage for accidental damages and any associated costs.
Risks are raised by delays, damage, loss, or cargo theft. Through the purchase of appropriate cargo insurance, you can lower the risks. Cargo insurance can protect your investment and give you much-needed peace of mind.The best cargo insurance companies in India must be aware of these drawbacks because benefits have restrictions.