CARRIERS’ LEGAL LIABILITY INSURANCE
All Common Carriers have legal liability towards cargo owners for loss, damage or non-delivery of cargo caused by fire orexplosion or accident to vehicles while such cargo is being transported in the Vehicle. Legal liability arises due to negligence or criminal acts of the Carrier or his servants. In the event of loss or damage the cargo owner is not required to prove that the loss, damage or non-delivery was due to the negligence of Carrier (or Servant). This provides additional edge to the clients in sustaining claims against Carriers.
Carriers’ Legal Liability Insurance, therefore, is a tool to showcase to his clients that they can look beyond the capacity of the Carrier in remaining secured in case of loss /damage to or non-delivery of their cargo during transportation. The Policy shall be taken in the name of carrier of goods, which automatically covers all his Servants or Representatives. Policy will indemnify financial loss suffered by Carrier, his legal liability for claims in respect of loss / damage to or non-delivery of cargo while in transit
“Claims” means damages, judgments, settlements that are awarded against the Carrier (as per Carriers’ Act 2007). Policy does not cover civil or criminal fines or penalties imposed by law, punitive or exemplary damages.
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