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Cargo Insurance

Any cargo movement from one location to another involves some risk, be it the risk of damage, pilferage, theft of entire packages, or non-delivery of the whole shipment.

Customers are required to protect themselves by taking proper cargo and marine insurance covers. for general cargo, three different levels of insurance can be chosen C, B & A Clauses.

The Lloyd’s Market Association (LMA) and the International Underwriting Association of London (IUA) publish the clauses.

Marine insurers charge cargo insurance premiums based on the type of coverage by the customer. Depending on the Incoterms used, the seller or buyer may bear the insurance cost.

Related reading: What Is ENS And Why Is There An ENS Charge?

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