Marine & transit insurance
How to judge marine cargo cover before you insure a shipment
The provider name tells you little about whether a claim gets paid. These are the criteria that do, framed so you can hold any cover, and any broker, to the same standard.
Two covers can look identical on a summary and behave nothing alike the day you claim. The difference is never the price on the front. It is the exclusions and the claims process behind it.
In short
- Judge cover on criteria, not brand: breadth, exclusions, sum-insured basis, transit modes, and claims handling.
- Ask what is excluded and how a claim is handled before you buy, not after a loss.
- A broker works for you, so judge them on independence and on what they do the moment a loss is reported.
- Use the checklist at the end before you insure any shipment.
Search for the best marine cargo insurance and you get lists of providers. That is the wrong question for a business, because the provider name tells you very little about whether your claim will be paid. The useful question is how to judge the cover itself. Here are the criteria that decide it, framed so you can hold any option, and any broker, to the same standard.
The criteria that actually matter
Judge cover on cover breadth, meaning which clause level, on the exclusions and sub-limits, on whether the sum-insured basis avoids underinsurance, on the transit modes and storage covered, and on how claims and surveys are handled. Price alone tells you almost nothing about whether a claim will be paid.
| Criterion | What good looks like |
|---|---|
| Cover breadth | The clause level (A, B or C) matches the goods and the journey, rather than defaulting to the cheapest. |
| Exclusions and sub-limits | Exclusions are explained upfront, and any sub-limits on high-value or fragile goods are clear. |
| Sum-insured basis | Set at invoice value plus freight, insurance and an agreed margin, so a claim is not scaled down for underinsurance. |
| Transit modes and storage | Every mode you use, sea, air, road, rail, is covered, with no gap during interim storage or transhipment. |
| Claims and survey | The documentation, timelines and who appoints the surveyor are clear before you buy. |
Questions to ask before you buy
Ask what perils are excluded, whether warehouse-to-warehouse and all your transport modes are included, how the sum insured is calculated, what the claim documentation and time limits are, and who appoints the surveyor. Clear answers are a good sign; vague ones are not.
How to judge the broker, not just the policy
A broker works for you, not the insurer, so judge them on independence, on how they handle a claim when it goes wrong, and on whether they explain trade-offs plainly. Ask what they do at the moment a loss is reported, because that is when the relationship is tested.
Anyone can hand you a certificate. The value shows up on the bad day, when a claim is stuck and someone has to take it on. That is the check most businesses forget to make until they need it.
Red flags
Be wary of cover quoted on price alone with no discussion of exclusions, a sum insured set below invoice-plus-freight-plus-margin, gaps between transport modes, and anyone who cannot explain the claim process before you buy. These are the gaps that surface only at claim time.
- Price with no mention of exclusionsIf the whole pitch is a number, the parts that decide a claim have been skipped.
- Sum insured set lowA lower sum insured saves premium now and reduces your settlement later. That is underinsurance, not a saving.
- Mode gapsIf your goods move by road and sea but the cover assumes one, the gap is where the loss lands.
- No clear claim processIf nobody can tell you what happens the moment a loss is reported, assume the worst version.
Price tells you what cover costs; the exclusions and the claims process tell you what it is worth.
This is a general framework for judging cover and brokers, including us, not advice on a specific policy or insurer, and not a ranking of providers.
Frequently asked questions
What should I check before buying marine cargo cover?
How do I compare cover without comparing insurers?
What is a broker meant to do that I cannot do myself?
What are the warning signs of weak cover?
What happens when you talk to us
A 20-minute video call with a Growth Advisor — no obligation, and no quote pushed. It opens with a five-minute video from our founder on how the benefits stack works and why Ethika exists; the rest is your questions. You’ll leave with an honest read on your current cover and claims experience, and a straight answer on whether we can genuinely help — even if you never become a client.
20 minutes with a Growth Advisor. No obligation.
A note on this page. Everything here is general information, not insurance, legal, financial or tax advice, and nothing is an offer. For advice about your situation, talk to us.