Cargo Owners Liability Coverage

What is Cargo Owners Liability Coverage?

Ocean cargo owners liability coverage is a type of insurance coverage that protects the insured from claims by third-parties that the insured's cargo caused property damage, personal injury or death while it was in transit. This type of insurance may be required by the carrier or shipping company as a condition of accepting the goods for transport.

Who needs cargo owners liability coverage?

Shippers and importers of hazardous, heavy, or high-risk goods are the most likely to need it. If a cargo fire, spill, or shift injures someone or damages a vessel or other cargo, third parties can pursue the owner of the goods for compensation.

How does it compare to cargo insurance?

Cargo insurance protects your own goods against loss or damage. Cargo owners liability coverage pays for claims that others bring against you. Many shippers buy both, so review each policy's limits and exclusions.

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