Do Not Overlook Cargo Insurance
Cargo Insurance is crucial due to the current act that limits uninsured ship-owners to $500 per unit. It does not matter if you have $200,000 worth of equipment inside of that unit; you will only receive $500 for that “container”. The limits set in place by the Hague/COGSA act protect uninsured ship-owners, but also consist of various loopholes.
For example, ocean carrier coverage does not hold the shipowner liable if the enemies seize the ship during times of war, or if the ship is sinking and the crew has to throw the cargo overboard to live. Unless your plan is to throw your crew overboard in order to save cargo, you NEED insurance.
Browse through the paragraphs below to review and understand the risks and woes of the sea. It’s better to address the cargo risks now, before you lose expensive cargo in an accident.
In which case, you’d probably look like this after hearing about the accident.
And then, you realize you could have protected your assets, but chose not to.
(The accurate emotions depicted above are courtesy of reactiongifs.com)