It happens that the insurance is required. In our estimates 8 clients of 10 primarily wish to reduce costs. They want shipping to be cheaper and with minimum impact on the final cost to the end user. Thereby many clients refuse insurance.
Below we will tell you why you should not refuse insurance. If you wish to estimate the insurance cost now please file an application and our Manager will soon contact you.
Why the goods is insured for international shipping from China to Russia: potential risks
Insurance is not assumed in a turnkey delivery since it is the client's personal choice. With this service you have no need to worry about your goods during transportation. Reasons why our clients insure their goods:
- damage to goods during handling operations;
- partial and complete loss goods in warehouses during interim storage;
- loss for various reasons including third party pilferage;
- natural hazards resulting in partial or complete destruction of goods: flooding, fire, deformation, breakage in road traffic accident, etc.
- other force majeure. For example, strikes in ports, airports, transfer terminals.
The freight forwarder responsible for delivery is not guilty under such circumstances. Such circumstances cannot be foreseen. We do our best to prevent at least pilferage and damage.
We recommend you always insure the goods for delivery from China with direct, uncontainerized vehicles. Such routes involve at least one complete transshipment of vehicle, for ex. on the borders. The damage risk is increased in case of such transshipment.
Below are the reasons why the containerized shipping is safer:
- containers are sealed after stowage;
- containers ensure maximum safety and integrity en route;
- containers are delivered to the consignee’s terminal or facility as original.
During containerized shipping the goods packed and stowed as required are not transshipped for several times. Their damage or loss probability is vanished.
When do we advise to insure your goods:
- by air - mandatory;
- by road - on the freight forwarder’s recommendation;
- containerized - at your option.
Depending on the scope of orders and the client’s total insurance amount we reduce the interest in future insurance, via personal negotiations with the insurance companies.
AVM Logistics works with the legal entities via bank transfer. We provide a personal manager for each Client. We provide a closing document package.
Freight insurance rates and cost for international shipping from China to Russia
Insurance is a small part of total shipping cost so you should not always save on it. It completely or partially compensates for the cost of goods in force majeure. We insure according to the declared value or the shipping weight of goods.
The prices for cargo insurance are specified by the insurance agency. Each agency applies own rates. When focusing on the average rates it is 0.05-0.3% of the declared value. The estimate is done personally and depends on:
- category of goods;
- type of transport;
- packing and category;
- final route;
You should provide the exact description of transported goods or HS code and other details for the insurance agency to estimate the insured value. The goods is insured at the minimum rate with the lowest damage risk. The rate will be higher if the goods is fragile, valuable or perishable.
The special approval is required for transportation of below goods:
- excise ,
- pieces of art,
The indemnity amount directly depends on the damage caused during transportation of goods en China-Russia route. Often the difficulties in compensation are arisen during receipt of goods. This mainly happens when the International Convention gives priority to the freight forwarder’s interests and not to the freight owner.
- Basic services
- Additional services