What is Goods In Transit Insurance?
Goods In transit insurance (also known as GIT insurance) refers to insurance that covers goods/cargo from becoming lost or damaged during transportation from one location to another. This Insurance can cover business or personal goods in transit either locally or internationally.
Most transportation of goods occurs either by sea, air, land, or rail. Generally, when goods are being transported internationally, they are being shipped. If you are interested in insurance for goods being transported via sea, please see marine cargo insurance.
Do You Need Goods In Transit Insurance?
The short answer – Yes. The reason is that if anything happens to your goods during transit, for example, hail damage – it’s not your carrier’s fault. The carrier will only ever be responsible for your cargo if they are found to have been negligent in transit. There is such a thing as Carriers Goodwill Insurance, but unless you’re a big business that conducts regular business with that carrier, it’s unlikely they’ll want to take care of you in the event of an accident.
What Does Goods In Transit Insurance Cover?
Typically, most Transit Insurance Policies will cover the following:
- Collison
- Overturning vehicles
- Natural Disturbances – Earthquakes, Flooding, Storm (hail/lightning damage), Fire
- Explosion, malicious damage, vandalism, fire, water damage
- Theft of goods/equipment that was proven to be securely attached to the vehicle (by locks or other security devices)
- Theft via forced entry (evidenced by breaking into locked parts of the vehicle etc).
There are also several items that are generally not covered, some examples, include livestock, jewelry, cigarettes, tobacco, wines, spirits, antiques, paintings, etc. However, with our expertise being specifically within the transport and logistics insurance sector, we do have access to policies that will insure the above and other typically not-covered items.
How Much is Goods In Transit Insurance?
Your premium will generally be determined by 4 core factors:
- #1 Whether the goods being transported are household or commercial.
- #2 The transportation method (Land, Sea, Air, or Rail)
- #3 Distance, how far the goods/cargo have to travel
- #4 Whether you’re insuring on a single (one-off) or annual basis.
There is no one set price range for this insurance because of all of the variables. However, we can shed some light on a few things. For example, when you select an annual insurance policy, you will generally save between 25-40% as opposed to a single cover policy. With a one-off (single) cover policy, you can expect transit insurance coverage from around $200+
Want Cheaper Transit Insurance?
Our brokers have negotiated competitive premiums at Truck Insurance HQ to save you money on your insurance in transit. We’re specialists in the Truck, Transport & Logistics sectors – This is what we do!
With over eleven years of experience, awards, and access to over 170 different local and international insurers, we can find the right cover and price for you. To see how much you can save on your insurance, and the benefits of dealing with a truck insurance specialist, contact us at 1300 815 344 or get a quote online here ⬇️