Motor Truck Cargo insurance protects the transporter for his responsibility in
the event of damaged or lost freight. The policy is purchased with a maximum load limit per vehicle.
The transporter of freight and commodities assumes responsibility for the cargo he
has taken control of. The amount of that responsibility should be clearly established and
understood by both the shipper and the transporter before the shipment is moved. This is
usually done by contract, by bill of lading, disclosure or by published tariffs.
This insurance policy, without question, requires careful thought and evaluation prior to
purchasing. In addition, you need to be constantly evaluating the nature of your freight
to make sure the coverage meets the demands.
Cargo Insurance may be purchased for dry freight and refrigerated freight, including
refrigerator breakdown. There is a $1,000 deductible with the exception of refrigerator
breakdown which carries a $2,500 deductible.
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