All-Risk Cargo Insurance for US Importers & Shippers
Complete door-to-door freight protection under Institute Cargo Clauses (A). Guard your cargo valuation against loss, damage, and General Average liabilities.
Why Statutory Carrier Liability is Insufficient for Global Cargo
International ocean lines, airlines, and domestic truckers operate under statutory liability frameworks that strictly limit their financial obligation if cargo is lost or damaged during transit. Standard carrier liability does not cover full commercial value and is governed by strict statutory limits:
| Transport Mode | Legal Governing Framework | Statutory Carrier Liability Cap | Claim Filing & Time Limits |
|---|---|---|---|
| Ocean Freight | Carriage of Goods by Sea Act (COGSA) | $500 per package or customary freight unit | Written notice at delivery (or within 3 days for concealed damage). Lawsuit within 1 year. |
| Air Cargo | Montreal Convention 1999 (Art. 22) | 26 Special Drawing Rights (SDRs) per kg (~$35/kg USD) | Written notice within 14 days for damage (21 days for delay). Legal action within 2 years. |
| US Trucking / Drayage | Carmack Amendment (49 U.S.C. § 14706) | Limited to declared bill of lading tariff caps | Minimum 9 months to file formal notice; up to 2 years to file civil lawsuit. |
With an All-Risk Marine Cargo policy issued in your company's name, claims are settled on the agreed commercial invoice value plus freight costs and customary markup (CIF + 10%), completely removing carrier statutory defenses.
Full Commercial Value Recovery
Reimburses commercial invoice value, ocean/air freight charges, and customary 10% landed cost margins.
Warehouse-to-Warehouse Coverage
Protects cargo from initial origin warehouse pickup, through international main transit, to final US delivery.
Institute Cargo Clauses (A), (B) & (C) Compared
International cargo insurance contracts rely on standardized London market policy forms known as the Institute Cargo Clauses. Choosing the correct coverage grade is vital for managing supply chain risk:
| Covered Risk / Peril | ICC (A) - All Risks | ICC (B) - Named Perils | ICC (C) - Basic Perils |
|---|---|---|---|
| Theft, Pilferage & Non-Delivery | Covered | Not Covered | Not Covered |
| Rough Handling, Breakage & Dropping | Covered | Not Covered | Not Covered |
| Water Ingress, Condensation & Rain | Covered | Covered (Sea/River Water) | Not Covered |
| Vessel Collision, Stranding & Fire | Covered | Covered | Covered |
| General Average & Salvage Charges | Covered | Covered | Covered |
Key Exclusions Under All Cargo Policies
Even under comprehensive Institute Cargo Clauses (A), statutory exclusions apply across international cargo insurance standards:
Inadequate Packaging (Clause 4.3)
Loss caused by improper container stowage or insufficient export packaging is non-reimbursable.
Commercial Delays (Clause 4.5)
Financial loss, lost sales profit, or port demurrage charges caused by vessel delay are strictly excluded.
Understanding General Average Protection
General Average is an ancient maritime doctrine requiring all cargo owners on a vessel to proportionally share the financial losses incurred when ship gear or cargo is intentionally sacrificed to preserve a ship in distress. If a vessel owner declares General Average, your container will be legally detained at the port of discharge until financial security is posted.
When you hold All-Risk Cargo Insurance arranged through Airlift USA, underwriters immediately issue an Average Guarantee on your behalf, releasing your cargo without requiring direct cash collateral or bank guarantees.
6-Step Cargo Claims Process for Importers
Inspect Cargo Immediately Upon Delivery
Inspect container seals, piece counts, and outer packaging before signing the delivery receipt (POD).
Document Exceptions on Proof of Delivery
Explicitly write all damage notes, seal breaches, or short counts directly on the carrier's delivery document.
Photograph Seal, Packaging & Damaged Goods
Capture clear photographic evidence of container numbers, seal intactness, pallet condition, and damaged merchandise.
Issue Written Notice of Intent to Claim
Notify ocean carriers within 3 days (or air carriers within 14 days) to preserve formal subrogation rights.
Assemble Required Claim Documents
Compile Commercial Invoice, Packing List, Master/House Bill of Lading, Exception POD, and Repair Quotes.
Submit File to Airlift USA Claims Team
Our operational staff submits the full file to underwriters and coordinates surveyor inspections for swift payout.
Frequently Asked Questions
Expert answers on cargo insurance coverage, carrier liability caps, and claim requirements.
All-Risk cargo insurance written under Institute Cargo Clauses (A) covers physical loss or damage from external causes during transit, including theft, non-delivery, breakage, vessel sinking, fire, and water damage, subject to policy exclusions.
No. Cargo insurance is an optional service provided upon request. Coverage must be bound and confirmed prior to the vessel or aircraft departure at origin.
Not necessarily. Incoterms 2020 CIF requires sellers to provide only minimum Institute Cargo Clauses (C) coverage, which excludes theft and breakage. We recommend adding primary All-Risk ICC (A) protection.
General Average insurance covers your required financial contribution when vessel equipment or cargo is sacrificed to prevent total loss, guaranteeing container release without cash deposits.
Protect Your Global Cargo Today
Ensure your international shipments are fully insured against loss, physical damage, and General Average risks.