Carrier’s liability

Carrier’s liability

When planning to order the transport of goods, it is always good for the customer to know about the compensation in case the worst happens, i.e. when the goods get lost or are damaged. In the case of damage of goods, which took place during transportation, the owner of goods is entitled to right of claim against the carrier. The customer (owner of goods) does not have to pay separately for the liability of the carrier. It is necessary to know the following, regarding the insurance liability of the carrier:

  • In air transport, carrier’s liability is restricted to the maximum of 19 SDR per gross kg of goods (AWB insurance);
  • In road transport, carrier’s liability is restricted to the maximum of 8,33 SDR  per gross kg of goods (CMR insurance);
  • In maritime transport, carrier’s liability is restricted to the maximum of 2 SDR per gross kg of goods or 666,67 SDR per unit (B/L insurance);
  • In the case of loss or damage of goods during the local transportation process, the liability of the carrier is stipulated by the General Conditions of the Freight Forwarders Association of the relevant country, or by other valid document;
  • Liability insurance like any other insurance compensates damage on the basis of real weight, consequently, not on the basis of possible volume weight.

It has to be remembered that in addition to the restrictions in the rates of compensation, the carrier’s liability also involves damages, caused solely due to the fault of the carrier. The carrier is not responsible for damage, if such damage was caused by circumstances, which could not be avoided by the carrier (e.g. robbery).

If the value of your goods exceeds the marginal rates of the given insurance value carrier, and if you want to be insured also in the case when the carrier is not responsible for the damage of goods, we recommend you to order full freight insurance against all risks, according to ICC(A) terms.

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