Those working in the transportation and warehousing industry know just how much goes into servicing their customers and the exposures that could result in costly claims for lost or damaged cargo in their possession. It’s a lot more complicated than simply shipping something from one location to another.
In order to run a productive and profitable warehouse it will help to ensure that your facility takes the time necessary to organize these shipments. But, most importantly, you must also protect the goods, before, during, and after shipment to their intended destination. This is where insurance for warehouse liability comes in.
Goods often exchange hands during their journey
There are many entities involved in the transportation and warehousing business. They all share in the responsibility of guaranteeing the safety of the products entrusted to them. There may be instances where freight goes missing, or circumstances that are out of their control where losses are incurred. Everyone in the warehousing and logistics industry needs to utilize transportation and warehousing insurance for those times when an incident or accident results in a claim.
This includes railroad transportation, general, as well as specialized, freight trucking, marine cargo handling, and general and refrigerated warehousing. Many shipments spend part of their journey in a warehouse of one type or another. Warehouses may be prone to fire, explosions, theft, weather damage, or damage associated with other causes.
If you transport or store merchandise or products for a third party, then you have the responsibility for those products while they are in your possession. Third party property insurance can protect you if anything were to happen while you have the products stored at your facility. This type of insurance coverage usually protects you in the case of natural or man-made disasters, infestation, contamination, fourth party warehouse arrangements, and even exposure to extreme temperatures and loss of refrigeration.
The cost of any warehouse liability insurance policy depends on a variety of factors. The price you will pay for coverage can be based on the type of insurance you need, the types of goods you handle, the form of shipping and storing of goods, past claims history, the age of your business, and other factors. Speak to an agent about any concerns or questions.