The object of insurance is freight forwarders civil liability arising out of the contract of freight forwarding with their clients. Freight forwarders liability is regulated by the General Conditions of Estonian Freight Forwarders Association and by Law and Obligations Act.

In addition to cargo loss, damage or disappearance, cover also includes claims arising out of contract of carriage such as

  • Freight in the same proportion with cargo loss
  • Delay of delivery
  • Custom duties and fees arising out of contract of carriage

Insurance also covers costs related to avoidance of or minimizing of loss as well as legal costs in connection with defence against claims presented to insured person.

It is possible to buy additional cover against claims directly not arising out of contract of carriage such as:

  • Liability to a third party to compensate claims related to property damage in connection with performance of carriage or loading operations (standard cover)
  • liability for loss/damage to containers (additional cover)
  • liability for loss/damage to trailers (additional cover)
  • liability arised by Gross Negligence (additional cover)

In addition, freight forwarder may insure warehouse’s keepers’ liability if this is a standalone service i.e. not as a part of the carriage. Warehouse keepers’ liability can be insured in accordance with General Terms and Conditions for Warehouse keepers of Estonian Freight Forwarders Association.

Read more for who and why is freight forwarders inliability insurance meant here