GlossaryEN1 min readUpdated: Jun 16, 2026
Air Cargo Insurance Solutions
Freight forwarders, shippers, and insurance brokers turn to air cargo insurance solutions whenever goods move by air and protection against loss, damage, or theft is required.
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Source: https://www.iata.org/en/programs/cargo/cargo-insurance/
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Incoterms 2020 Simulator: Who bears costs & risk?
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Definition & Explanation
Freight forwarders, shippers, and insurance brokers turn to air cargo insurance solutions whenever goods move by air and protection against loss, damage, or theft is required. Policies are tailored to aviation-specific risks such as pressure changes in the hold, temperature deviations on cold-chain shipments, and handling damage during transfer. Coverage can be limited to the cargo value itself or extended to ancillary costs including additional freight charges and storage fees. Unlike the liability cap imposed on carriers under the Montreal Convention, a dedicated cargo insurance policy provides full replacement of the commercial value of the goods. Shippers should review policies carefully for exclusions relating to unpacked goods, inherent vice, and certain commodity categories.
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