Transport insurance is one of the oldest types of cover. Each transport means exposure to the various types of risks. Insurance of goods during transport (cargo insurance) provides protection against such risks; which means cover the damage and losses sustained during transport due to external and unexpected perils (including some special or even war risks).
Policy is normally concluded by an entity which has a financial interest in the cargo.
The carrier assumes liability for the cargo and may purchase carrier’s liability insurance that covers the damage to the goods as well as a delay in delivery (yet it is not liable for force majeure damage as a consequences of natural disasters).