The risks of shipping freight without insurance

Insuring your shipment is always a smart move, but some people take the risk of shipping their freight without insurance, leaving it entirely up to carrier insurance to protect their goods. Though carrier insurance may cover your freight for incidents that happen during their time with the carrier, there are a few limitations as to what carrier insurance can do for you. The safer option is to insure your freight and reduce the risks that you may encounter. Read about the risks of shipping freight without insurance below:

Risk factors

There are a couple of risk factors that shipments face, regardless of whether they are insured. However, if they are insured the owner of the shipment may be covered for any of the following risks. The first of the risks is fire or explosions. Shipment travelling by any means – air, road, sea, rail – is at risk of being exposed to fires. Two other factors that are specific to shipping by sea are capsizing and collision with any external objects other than water. While neither are particularly common, they are still a threat that your shipment faces. The overturning or derailment of land transport are two risk factors that refer to shipping by road and rail, respectively. These too can lead to major damage, or loss of goods with repayment if you are not insured.


The state for your package is checked multiple times throughout its shipping journey. During these checks, quality control measures are implemented to ensure that the condition of your package is maintained. However, damage may still occur along the journey and, often it can be difficult to figure out where the damage took place. If your package comes back damaged and is uninsured, it would not be possible to receive a repayment; however, if your package is insured repayments may be given.