{"id":567,"date":"2026-11-02T01:11:35","date_gmt":"2026-11-02T01:11:35","guid":{"rendered":"https:\/\/jieyilogistics.com\/?p=567"},"modified":"2026-11-02T08:18:01","modified_gmt":"2026-11-02T08:18:01","slug":"cargo-insurance","status":"publish","type":"post","link":"https:\/\/jieyilogistics.com\/de\/cargo-insurance\/","title":{"rendered":"Cargo Insurance for China Shipments: Coverage, Cost and Claims"},"content":{"rendered":"

A container falls overboard, a ship catches fire, or your cartons arrive crushed. Who pays? Not the shipping line, or at least not much. This guide explains how cargo insurance works when you ship from China, what it covers, how much cover you need, and how to make a claim.<\/p>\n

Key points<\/strong>
\u2022 Carriers pay very little for lost or damaged cargo. Their liability is capped by international rules, often far below the value of your goods.
\u2022 Cargo insurance (also called marine cargo insurance or freight insurance) covers the value of your goods while they travel.
\u2022 The standard insured value is the CIF value plus 10%, so 110% of goods, freight and insurance.
\u2022 All-risks cover, Institute Cargo Clauses (A), is the widest. Clauses (C) only cover major disasters.
\u2022 Cargo insurance also protects you from general average, where you can be asked to pay for a ship’s emergency even if your goods are not damaged.<\/p><\/blockquote>\n

Why the Carrier’s Liability Is Not Enough<\/h2>\n

Many importers assume the shipping line or airline will pay if the goods are lost. In practice, carriers are only liable when they are at fault, and even then their payment is capped by international rules:<\/p>\n

\n\n\n\n\n\n\n\n
Verkehr<\/th>\nRule<\/th>\nCarrier’s maximum liability<\/th>\n<\/tr>\n<\/thead>\n
Sea freight<\/td>\nHague-Visby Rules<\/td>\n666.67 SDR per package or 2 SDR per kg, whichever is higher<\/td>\n<\/tr>\n
Sea freight to the USA<\/td>\nUS COGSA<\/td>\n$500 per package<\/td>\n<\/tr>\n
Luftfracht<\/td>\nMontreal Convention<\/td>\n26 SDR per kg (since 28 December 2024)<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n

SDR (Special Drawing Rights) is a unit set by the IMF, worth a little over one US dollar. On a pallet of electronics, the carrier’s limit may cover only a small part of the real value. And for events such as storms, fire on board or general average, the carrier may not be liable at all.<\/p>\n

What Cargo Insurance Covers<\/h2>\n

Most cargo policies are based on the Institute Cargo Clauses (ICC)<\/strong>, written by the London insurance market. There are three levels:<\/p>\n

\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
Risk<\/th>\nICC (A)
All risks<\/th>\n		ICC (B)<\/th>\nICC (C)
Basic<\/th>\n<\/tr>\n<\/thead>\n
Fire or explosion<\/td>\n\u2713<\/td>\n\u2713<\/td>\n\u2713<\/td>\n<\/tr>\n
Ship sinking, stranding or capsizing<\/td>\n\u2713<\/td>\n\u2713<\/td>\n\u2713<\/td>\n<\/tr>\n
Collision<\/td>\n\u2713<\/td>\n\u2713<\/td>\n\u2713<\/td>\n<\/tr>\n
General average and salvage<\/td>\n\u2713<\/td>\n\u2713<\/td>\n\u2713<\/td>\n<\/tr>\n
Washing overboard<\/td>\n\u2713<\/td>\n\u2713<\/td>\n\u2717<\/td>\n<\/tr>\n
Sea water entering the container<\/td>\n\u2713<\/td>\n\u2713<\/td>\n\u2717<\/td>\n<\/tr>\n
Earthquake or lightning<\/td>\n\u2713<\/td>\n\u2713<\/td>\n\u2717<\/td>\n<\/tr>\n
Theft and pilferage<\/td>\n\u2713<\/td>\n\u2717<\/td>\n\u2717<\/td>\n<\/tr>\n
Non-delivery of a whole package<\/td>\n\u2713<\/td>\n\u2717<\/td>\n\u2717<\/td>\n<\/tr>\n
Other accidental damage, e.g. in handling<\/td>\n\u2713<\/td>\n\u2717<\/td>\n\u2717<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n

For most manufactured goods from China, ICC (A)<\/strong> is the sensible choice. Handling damage and theft are among the most common claims, and only (A) covers them.<\/p>\n

What Cargo Insurance Does Not Cover<\/h2>\n

Even all-risks cover has exclusions. The main ones are:<\/p>\n