DocShipper Malaysia offers you to ensure your transport and this regardless of your type of transport. This allows you to cover the damage and breakage. If you do not subscribe to insurance you expose yourself to some problems, even if the transport is delayed or your goods are lost, the conveyors do not risk much.

The allowances you may receive in such a situation will depend on their value and the freight chosen and will differ from an international flight to a domestic flight.

Freight insurance – What do you need to know?

Our partnerships with the best insurers allow us to offer you the best package at the same time, the safest and the cheapest. Our insurance allows your company to significantly reduce risk. Because it is true that merchandise lost during transport can be expensive for your company.

Remark DocShipper: Do you need further information about our insurance program? Feel free to contact our experts.

What is freight insurance?

The law requires that each courier subscribes to certain mandatory policies, this is called carrier liability. But it is small and covers a very small radius of risks such as natural disasters, vehicle accidents, and acts of war that could damage your goods. As a result, many deliveries are insured by cargo insurance to insure against damage. This allows the goods to be covered during storage and on the way to the final delivery point.

Does transport insurance have limits?

Cargo insurance may have weaknesses, particularly when carrying out road freight in the USA, we will not be protected against all types of damage due to the legislation specific to each State. Moreover, no such insurance can fully protect against risks.

Indeed, several types of insurance with different names exist, such as “all risks”, “large form” or “motortruck freight”. And depending on the reason that caused the damage or loss of the property during transport, you may not be covered.

Types of freight insurance

Whether for an international or domestic operation, you can subscribe to an insurance of the goods, however it is complicated to standardize them between the different countries. So we'll try to categorize them:

Land freight insurance

This service covers all road freight, whether by truck or small commercial vehicle. It will cover accidents and theft. However, this service only ensures the national network and will not be applied on an international level.

Marine Cargo Insurance

This service will cover both sea and air freight. The goods will be insured against damage caused by handling operations at the beginning or end of the chain, weather conditions, piracy, and many other hazards. This insurance mainly covers international freight.

These policies are as follows:

  • Conditional insurance policy: There are cases where it is the customer who is responsible for insurance against damage during transport. If the goods are damaged, there are risks that the customer will refuse to accept them. Sometimes the customer waives liability and does not insure the goods. The sellers will then seek compensation, which can be very expensive for one of the two parties.
  • Open insurance loading policies: There are 2 different forms of offers for this policy: renewable and permanent. The first one, as its name suggests, must be renewed at each inspection, while the second one is set for a period and allows as many shipments as desired to be made during this period. This policy applies when a company uses an insurance company or freight forwarder to operate a particular shipment. It is a specific freight policy also called a travel policy that covers only one shipment.

Note DocShipper: For more information on air cargo insurance, we invite you to visit the Federal Aviation Administration – Safety Assurance system (SAS)

freight insurance malaysia

The advantages of insurance for cargo

This service includes shipments in types of transport such as maritime transport, road transport, rail transport and air transport. The aspects that are covered by this insurance are as follows:

All risk insurance

This insurance offers great protection against damage or loss due to external factors. Despite the name of this insurance, you must be aware of certain aspects that are taken into account and not taken into account in the contract. The things taken into account are:

  • Infestation
  • Damage caused by poor packaging
  • Rejection by Customs
  • Dishonest employee
  • Abandonment of the goods

The particular average coverage (in maritime transport)

The “free of charge average in particular” coverage does not include compensation for partial loss of cargo or hull unless it is due to sinking, stranding, collision, or combustion. One of the important points of this coverage is that the seller is not liable and will not have to compensate anything if the cargo losses are significant. This insurance only covers a list of certain special risks. In some cases, there may be a difference in coverage depending on where the merchandise is stored. These risks are as follows:

  • Non-delivery
  • Fire
  • Earthquake
  • Collision
  • Heavy weather
  • The flight
  • Derailment

Overall average coverage

The overall average coverage is essential coverage when using maritime transport. It only covers partial losses of the shipment. It is mandatory that each of the shippers of the goods present in the vessel pay compensation to the person who has lost his cargo.

Warehouse coverage

It is when the goods are unloaded from the ship and transported to the warehouse of the final destination that this contract is applicable. The insurer will only compensate the holder's goods and not those of another owner.

Remark DocShipper: You are still not convinced that the freight insurance is necessary to guarantee your import / export operations? Then you should check this dedicated article from the IFA (International Forwarding Association) - The importance of insurance for the freight forwarding services

After all, is it wise to ask for freight insurance

After reading this article, we hope that you no longer have any doubts about this issue and that you realize how important it is when you do international transport. If not, think about what problems you might face if you do not have this insurance.

What would be the impact on your business if an entire shipment was lost? What are the solutions if your cargo transported by a container carrier leaks? Or if the truck transporting your goods is involved in an accident and major material losses are reported?

Because these things happen. This is why shippers of cargoes must apply for transport insurance in order to protect their goods at the same time as they protect their own business in order to avoid excessive vulnerability when such accidents occur. If you need help finding out if this insurance is right for your company, we advise you to contact DocShipper, and we will be happy to guide you through the process.

DocShipper Advise : We help you with the entire sourcing process so don't hesitate to contact us if you have any questions!

  • Having trouble finding the appropriate product? Enjoy our sourcing services, we directly find the right suppliers for you!
  • You don't trust your supplier? Ask our experts to do quality control to guarantee the condition of your goods!
  • Do you need help with the logistics? Our international freight department supports you with door to door services!
  • You don't want to handle distribution? Our 3PL department will handle the storage, order fulfillment, and last-mile delivery!


DocShipper | Your dedicated freight forwarder in Malaysia !


Due to our attractive pricing, many customers trust our services and we thanks them. Stop overpaying the services and save money with our tailored package matching will all type of shipment, from small volume to full container, let us find the best and cost-effective solution.

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