When shipping cargo, the shipment often has a long journey, with various stops along the way. However, that cargo isn’t always in transit—sometimes, it’s placed in temporary storage. If that happens, some might assume insurance covers that cargo while it’s in a warehouse, but that’s not always the case. In fact, not all cargo insurance policies cover every stage of the shipment process, which is why it’s essential to look into a storage cargo policy.
What is a storage cargo policy? A storage cargo policy refers to insurance coverage that extends to shipments while they’re in storage. There are several kinds of insurance policies that include warehouse and storage coverage, such as warehouse liability insurance, all-risk shipper’s interest insurance, inland marine insurance, transportation and logistics liability, and marine cargo and stock throughput insurance.
While some of these policies are designed to specifically oversee storage risks, such as warehouse liability insurance, other policies, like all-risk shipper’s insurance, provide door-to-door coverage, which encompasses storage stints. It’s also essential to note that while some insurance policies offer storage coverage, that may only include storage during the normal course of transit, meaning any storage that veers from the initial itinerary might not be covered.
Why is having a storage cargo policy important? Well, just because the shipment isn’t on the move doesn’t mean it’s not susceptible to damage or loss. For example, what if a fire spreads in the warehouse? Or what if someone breaks in and steals goods from the storage location? From floods to infestations, a lot can happen to cargo while in storage, and an insurance policy can help minimize exposure to loss.
Contact Falvey Insurance Group Today
Falvey Insurance Group understands the importance of having coverage during every stage of transit, including storage. That’s why we offer several comprehensive storage solutions. Contact us today to find out more.
