Can goods transportation insurance be purchased for international air freight?

International air freight can purchase cargo transportation insurance, which is a very important means for shippers to transfer logistics risks. The air freight transportation process is long, involving multiple loading and unloading, transfers, and is subject to risks such as damage, loss, rain-induced dampness, and accidents. Airlines have limited basic compensation amounts, and according to the Montreal Convention, airlines typically calculate compensation based on weight, with a relatively low compensation standard. If high-value goods encounter an accident, the compensation may not cover the actual loss. Purchasing cargo insurance can fill this gap.

International air freight cargo insurance generally supports the "warehouse-to-warehouse" clause. The insurance liability covers from the shipment from the consignor's warehouse, through domestic transportation, airport operations, international flights, customs clearance in the destination country, until delivery to the consignee's warehouse. However, the insurance has a time limit. After the goods arrive at the destination port warehouse, they need to be picked up within the agreed time limit. If the goods are stored beyond this period, the insurance liability will terminate. The market is mainly divided into two categories: basic insurance and comprehensive insurance. Basic insurance mainly covers the loss of the entire shipment and total loss due to major accidents, while for local scratches and damages, it generally does not provide compensation; comprehensive insurance covers a wider range, including damage, rain exposure, loss, and most common risks. For high-value foreign trade goods, the comprehensive insurance plan is the preferred option.

The insurance application process is simple. It can be handled directly with the insurance company or entrusted to a cooperative freight forwarder for insurance. During the insurance process, you need to provide the air waybill and commercial invoice, truthfully declare the value of the goods, and it is recommended to fully insure based on the actual value. Be cautious of underreporting the value to save a small amount of insurance premium. If an accident occurs, the insurance company will compensate based on the ratio of the declared value and the actual value. Underreporting the value will directly result in a reduction in compensation. At the same time, carefully check the key information of the policy: origin, destination, flight information, insured person, and insured amount. Incorrect information will directly lead to the invalidation of the policy.

However, air freight insurance does not cover all losses. There are clear exclusion clauses. Damage caused by packaging that does not meet aviation transportation standards, inherent defects of the goods, natural wear and tear, and war sanctions, etc., are excluded from insurance coverage and will not be compensated. That is to say, purchasing insurance does not mean that you can simplify packaging at will. Compliance packaging is the prerequisite for obtaining compensation.

Many shippers confuse "insurance" with the declared value surcharge of airlines. The declared value surcharge of the airline belongs to the declaration of value to the carrier, and the upper limit of compensation is subject to the airline's rules; commercial cargo insurance is undertaken by a third-party insurance company, and the two can be used in combination. It is recommended to insure high-value electronic products, precision equipment, and fragile items when shipping; for ordinary low-value general cargo, the risk can be evaluated based on the order profit.

Purchasing air freight insurance is mainly for risk transfer, but it does not mean that there will be no problems at all. Even if you buy insurance, you still need to ensure that the packaging is reinforced throughout the logistics process. Once there is an abnormality in the goods, you need to report it immediately, and retain complete evidence such as photos, waybills, and invoices to facilitate the subsequent claim process.