Shipping insurance is a type of insurance that prevents the risk of any problems or losses that may arise during the shipment of goods from one place to another. Thanks to the shipping insurance, reliability is ensured between the parties to the commercial agreement. This type of insurance is more prominent in marine trade. Shipping insurance for goods transported from one place to another by sea saves both the buyer and the seller from incurring losses.  

Transport insurance not only creates guarantees for freight companies, but also provides protection to customers who benefit from transportation. You may encounter news that goods are often damaged, especially in marine trade. With shipping insurance, the goods are guaranteed against adverse situations that may arise. Thus, the formation of any discussion environment between the parties is also prevented. It has become a necessity to have some insurance in trade. However, shipping insurance is not a type of insurance that must be made compulsory. 

what is shipping insurance

Although it is not mandatory to have shipping insurance, it is an extremely important insurance to guarantee the goods. The freight companies that make this insurance can take advantage of many advantages. To take advantage of shipping insurance, you just need to get a shipping service. Thanks to this insurance, you can secure your goods in case of any damage that may occur. You can contact us to get detailed information about shipping insurance and to get support. 

What Are the Types of Shipping Insurance? 

It is possible to examine the types of transport insurance under three main headings. Types of shipping insurance; can be listed as commodity shipping insurance, liability insurance and hull insurance. Commodity shipping insurance is much more detailed than other types of insurance. Commodity shipping insurance comes across as a type of insurance that requires extremely painstaking practice and expertise. It is often preferred because a more rigorous study stands out in commodity transportation insurance, which has three diverse types of insurance policies. 

Liability insurance, which is the second of the types of shipping insurance; comes across as a type of insurance that marine and shipyard owners and port operators, as well as companies engaged in commodity shipping in our country and on international highways, can choose with peace of mind. Carrier Liability Insurance, which is one of the sub-headings of liability insurance, is a type of insurance that people who transport on the highways of our country benefit from. Companies engaged in international transportation, on the other hand, use another type of insurance known as C.M.R. 

Hull insurance, which is the last of the types of shipping insurance, is often preferred in transportation, which can be done with any marine vessel you can think of. The damage caused by risky situations that may occur on the seas is guaranteed by this type of insurance. You can visit our company to get consultancy services about the types of shipping insurance and what shipping insurance works. You can review the services we offer for you on our website.  

What Three Types of Policies Does Commodity Shipping Insurance Have?  

Let us look at what three types of policies commodity shipping insurance has; 

  1. The direct firm policy is the first of three types of policies. In the process before the goods are loaded, in all matters known under the name of an insurance policy, the firm policy comes into play. 
  2. The second type of commodity shipping insurance policy is a floating policy. Floating policy, unlike direct firm policy, appears after freighting. In other words, if all the issues covered by the policy become clear only after the freighting process is completed, the floating policy is arranged. At the same time, if the accredit is accredited from the issuing bank, a floating policy may appear to guarantee the goods.  
  3. The last of the commodity shipping insurance policies is the subscription agreement. All logistic activities that will be carried out within a one-year period, the conditions imposed by these activities, their prices and the insurer's responsibilities are determined, the subscription agreement is activated. This type of policy is often encountered in situations where it proceeds with a one-year advance insurance. At the same time, the subscription agreement is most often preferred by companies whose shipping capacity is above the standard. Although some aspects of the subscription agreement must be followed, this type of policy attracts attention as an extremely advantageous policy. Because the subscription agreement provides the insured with automatic security at the specified limit level. It is also often the case that the insured is provided with a return of the premium if certain points in the subscription agreement are complied with.  

What Is the Pricing of Commodity Shipping Insurance Determined by?  

It is curious what the pricing of commodity shipping insurance is determined by. We can combine the issues that are effective in the pricing of commodity shipping insurance under four headings; 

One of the most effective issues in pricing is the type of product, how it is transported and what type of packaging it is. 

  • Which route the planned logistics activities will be carried out via. (Is it a domestic trade or an international one?) 
  • Type and characteristics of the transport. (ship or truck) 
  • Considerations such as what the assurance covers determine the pricing of commodity shipping insurance. 

Nowadays, there is a significant increase in the number of companies providing consultancy services in the field of shipping insurance. Our company stands out from its competitors in this field. You can contact our expert team to get detailed information about what shipping insurance is and how it works. At the same time, you can have an idea about the services we offer by making the necessary reviews on our website. We aim to provide customer satisfaction at the highest level with the experience we have in this field. You can contact us for detailed information. 

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