With the rising costs of cargo insurance you really need to shop around if you want to get the most protection for the least amount of cash. The first thing to do is to conduct a review of all the insurance companies that offer this type of insurance. Looking at the different companies that are offering cargo insurance and then one by one getting a quote from them on what they would charge you, for the same amount of coverage. Some individuals only look at the premium they pay but that is risky, you also need to look at what you are getting for your money. Once you have compiled the quotes from all of the various insurers you should not buy the policy with the lowest premiums until you have spent a few moments reading over the “fine print”.
The Fine Print of Cargo Insurance
A few things to look for in the fine print are things like; the deductible you will pay out of pocket for the cargo. What types of commodities are covered and what is not covered. You will also need to see the radius that the policy is willing to cover a load, the circumstances in which the policy will cover the cargo. Please note that not all insurance policies will give you the same coverage’s. Some policies will exclude coverage outside of the radius of operation. Certain types of commodities are also excluded while others insurers will exclude coverage from stolen cargo if the driver ever leaves his vehicle.
After you have read the fine print you need to find out whether the company that is offering this cargo insurance takes good care of their clients. Customer service should be an important factor in your buying decision, you want to be sure that if you ever need to file a claim the insurance company is going to pay in a timely manner and that your phone calls will be returned. Look for customer reviews that have been posted online, by reading over these reviews you should have an easier time picking the cargo insurance provider that takes good care of their clients.
You will also need to review the financial health of the insurance company before making a firm decision on who to buy your cargo insurance from. Since the economic collapse in 2008 there has been a considerable increase in the number of insurance providers who are not financially solvent, if you bought cargo insurance from a company that is not financially stable you run the risk of filing claims that will not be honored.
There are independent reporting agencies that rate the creditworthiness of insurance companies so look for their report on the insurance company you are buying your cargo insurance from. By only dealing with reputable insurers that take good care of their clients and charge competitive rates you will be well protected should the need to file a claim arise. While at first glance this may seem like a considerable amount of work think about this, if your buy cargo insurance from a company that has bad pricing, service or could go bankrupt what will that mean for you and your business? By taking these proactive measures you are safeguarding your company while keeping your costs of doing business low.