Cargo insurance and packing
The main thing to know before shipping: no insurance on our routes covers damage to cargo. What's covered is loss, theft, and non-delivery — that is, cases where the cargo disappears entirely. Breakage, dents, and crushed boxes aren't covered by either the carrier's mandatory coverage or a voluntary policy. The only protection here is packing, which is why we bring it up ourselves.
What's covered and what isn't
| Case | Covered | How to protect against it |
|---|---|---|
| Cargo lost in transit | yes | carrier's mandatory coverage |
| Theft | yes | mandatory coverage; voluntary for high-value cargo |
| Non-delivery | yes | mandatory coverage |
| Breakage, chips, dents during transshipment | no | packing |
| Deformation from the weight of packages on top | no | rigid packing, pallet |
| Water damage | no | moisture-proof packing |
| Factory defect in the goods | no | warehouse inspection before dispatch |
Cargo damage is the most common complaint in the entire niche, and the market prefers to stay quiet about it until the first case. We say it upfront: consolidated cargo is transshipped several times along the way, packages are stacked on top of each other, and a cardboard box without a rigid frame won't survive that. There will be no compensation for breakage from us or from any other contractor on these routes.
Mandatory coverage: how much the carrier pays
It's included in the shipping cost and isn't paid separately. The amount depends on the route and carrier:
| Direction and method | Coverage |
|---|---|
| Russia, TIR truck | $3/kg |
| Russia, air express | $10/kg |
| Kazakhstan, truck | $5/kg |
You need to calculate based on your own goods, not the table. A shipment weighing 300 kg and worth $9,000 works out to $30 per kilogram; with coverage of $3 per kilogram, a loss would return $900 out of nine thousand. The gap is closed by voluntary insurance, and for high-value cargo it's closed mandatorily.
Voluntary insurance: rates
Arranged on your request on top of the mandatory coverage. The rate depends on the declared value per kilogram of cargo:
| Cargo valuation | Rate of value |
|---|---|
| up to $30/kg | 1.5% |
| $30 to $50/kg | 2.5% |
| over $50/kg | 3.5% |
Carriers don't insure cargo worth more than $80–100 per kilogram at all. This isn't our policy but a limit of the market: for such cargo, what's left is packing, splitting the shipment across multiple runs, and air express, where there are fewer transshipments.
An extended policy covers the same cases as mandatory coverage — loss, theft, non-delivery. It doesn't cover damage either. Insuring fragile goods instead of packing them is money spent for nothing.
Packing: types and prices
| Type | Price | What it's for |
|---|---|---|
| Bag and tape | $5 per package | textiles, footwear, anything soft and unbreakable |
| Cardboard corner, bag, tape | $6 per package | boxes that need protected edges and corners |
| Wooden crate, small boxes | $15–25 per package | electronics, glass, ceramics, instruments |
| Pallet in a crate | $30 per cubic meter | large, heavy shipments, equipment |
Packing is done at our warehouse in Guangzhou after receiving and measuring, before the shipment is formed. The supplier's factory packing is designed for transporting a whole shipment within China, not for consolidated cargo with transshipments — so it's almost always reinforced.
How to choose packing for your goods
Three questions that determine the choice:
- What happens if another package of the same weight is placed on top? If the goods can take it, a bag is enough. If not, a rigid frame is needed.
- How much is the content of one package worth? A crate costing $20 for a package with goods worth $3,000 is a fraction of a percent of the value. The same crate for a package with goods worth $150 doesn't pay off.
- What happens if the shipment arrives damaged? If it stops production or disrupts a marketplace delivery, what matters isn't the value of the goods but the cost of the disruption.
We suggest the type of packing when calculating the shipment and explain why. The decision is yours, and it's recorded in the order — so there's no need to sort out later who meant what.
What we do to reduce the risk
- Photo-documented receiving on the day of arrival. Each package is photographed as a whole, with markings and any damage photographed separately. This records the condition of the cargo on intake at the warehouse — before it ships.
- Actual measuring and weighing. Weight and dimensions are taken from the scale and tape measure, not from the supplier's word.
- Checking and recounting the contents — by agreement, when the shipment is consolidated or the supplier is new.
- Discrepancies are reported the same day, before dispatch, not in the invoice upon arrival.
The point of the photo report isn't reporting for its own sake: it answers the question of whether the damage happened in transit or the cargo arrived that way from the supplier. Without intake photos, that question can never be resolved, and the dispute ends with the client paying.
If the cargo still arrives damaged
- Record it upon receipt. A note on the condition is entered on the delivery waybill before signing. Cargo accepted without remarks is considered accepted in proper condition — this rule applies with every carrier.
- Photograph before unpacking: the whole package, the damaged spot, the markings, then the contents.
- Write to your manager the same day. We'll pull up the receiving photos and compare the condition on intake and on dispatch.
- Then it depends on the facts. If the damage happened during receiving at the warehouse, that's a question for the supplier, and we'll help you formulate a claim against them. If it happened in transit, there will be no insurance compensation, and we'll say so straight, not stall for time.
We don't promise compensation that doesn't exist. We promise to sort things out quickly and show evidence — ours and the carrier's.
Frequently asked questions
Does insurance cover it if the cargo arrives damaged?
No. Neither the carrier's mandatory coverage nor a voluntary policy covers damage to cargo — breakage, chips, dents, deformation from transshipment. What's covered is loss, theft, and non-delivery, that is, cases where the cargo disappears entirely.
This isn't a quirk of our company but how the market works on these routes. The only protection against breakage that actually works is packing, which is why we suggest the type when calculating the shipment and explain the choice.
How much does the carrier pay if the cargo is lost?
Under mandatory coverage: $3 per kilogram by TIR truck to Russia, $10 per kilogram by air express to Russia, $5 per kilogram by truck to Kazakhstan. It's included in the shipping cost and isn't paid separately.
Calculate based on your own goods. If a kilogram of your cargo is worth $30 and the coverage is $3, a loss would return a tenth. The gap is closed by voluntary insurance.
How much does additional cargo insurance cost?
Based on the declared value: 1.5% for cargo valued up to $30 per kilogram, 2.5% for $30 to $50, 3.5% for over $50. Arranged on your request before dispatch.
Carriers don't insure cargo worth more than $80–100 per kilogram at all.
How much does warehouse packing cost?
Bag and tape — $5 per package. Cardboard corner with bag and tape — $6 per package. Wooden crate for small boxes — $15–25 per package. Pallet in a crate — $30 per cubic meter.
Packing is done in Guangzhou after receiving and measuring, before the shipment is formed.
Isn't the supplier's factory packing enough?
Usually not. Factory packing is designed for transporting a whole shipment within China, while consolidated cargo is transshipped several times along the way and packages get stacked on top of each other.
For soft goods — textiles, footwear — factory packing with a bag is genuinely enough. For electronics, glass, and ceramics, a rigid frame is needed.
What to do if the cargo arrives damaged?
Record the condition on the waybill upon receipt, before signing, and photograph the packing before unpacking. Cargo accepted without remarks is considered accepted in proper condition.
Then write to your manager the same day. We'll pull up the warehouse receiving photos and compare the condition on intake and on dispatch: if the damage happened before shipping, we'll help with a claim against the supplier.
Tell us the goods, weight, and dimensions — we'll calculate the rate and suggest packing for your cargo, explaining why.