Transit exposes goods to risks that balance sheets prefer not to absorb alone. Insurance in logistics is coverage that protects the financial value of goods against loss or damage while they are being stored or moved.

Policies may be arranged shipment by shipment or under open annual covers. Coverage terms define which perils are included, the valuation basis, and the exclusions. Deductibles and limits shape both premium cost and residual risk.

Claims processes require prompt notification, evidence of value, and proof of loss. Carriers’ liability regimes often fall short of full cargo value, so cargo interests buy separate insurance. Treating insurance as an integral part of landed-cost calculation prevents unpleasant surprises after an incident.

• Financial protection against loss or damage in transit or storage
• May be per-shipment or continuous open cover
• Defined by perils, valuation, and exclusions
• Complements limited carrier liability