Cargo insurance can be obtained in the form of a single shipment or one-year contract either for transport by road, sea, air, or a combination thereof. Ghibli Ltd. holds a shipping provider liability insurance with an upper limit unusually high among Hungarian suppliers: EUR 1 million / year.
According to the provisions of the Convention on the Contract for the International Carriage of Goods by Road (CMR), the liability of shipping providers is limited; it is capped at SDR 8.33 / gross volume of goods (about HUF 2600-2900 / kg depending on the exchange rate).
In the event of damage to the goods (destruction, shortage of goods, theft, leaching, cracking, combustion, pollution, injury, etc.), the upper limit of the compensation shall not exceed this amount.
In Hungary, the usual upper limit of shipping provider liability insurance is USD 100,000. Therefore, in cases where the unit price of the goods is higher than SDR 8.33 or the total value of the goods exceeds USD 100,000, we recommend securing a separate single-shipment insurance.
Advantages of the SINGLE-SHIPMENT INSURANCE:
- It covers all risks (with exception of some extreme circumstances);
- It is not a liability insurance, therefore it does not take into account who is responsible, allowing for the insurance company to reimburse the damages quickly, saving us months of trying to identify the party responsible for the loss;
- It is bundled with an additional policy (by default: 10%) to reimburse the other expenses of the customer (e.g. freight costs, liquidated damages, lost profits, etc.);
Contact our colleagues for insurance on favourable terms!