What is worth knowing about carrier's liability insurance?

What is worth knowing about carrier’s liability insurance?

We associate liability insurance mainly with owners of passenger vehicles. This type of contract must also be concluded by companies that deal with transport on a daily basis. It is important to distinguish between the obligatory third party liability insurance and the less known carrier liability insurance. 

What is the carrier’s liability insurance?

The Carrier ‘s liability insurance is a fully voluntary insurance that protects the transported goods. They can be purchased by any entrepreneur who runs a business in the field of road transport of goods (in domestic or international traffic). The Carrier’s liability insurance is effective at various distances. It is often mistakenly assumed to be only intended for the longest journeys.

It must be remembered that the entrepreneur bears full responsibility for the transported goods from the moment it is collected from the ordering party until it is delivered to the recipient. The Carrier’s OCP protects against the effects of unforeseen events. The length of the route, changing weather conditions and random factors may affect the damage to the goods. Therefore, despite the voluntary form, this insurance is bought by the vast majority of entrepreneurs.

What does the carrier have to take care of?

The carrier’s list of duties is very long. He should pay particular attention to securing the load. The transported goods may not move freely around the vehicle. Food products, transported at a certain temperature and / or humidity, require special conditions.

The driver must keep an eye on the safety of the cargo during the journey. This is not only limited to the travel time, but also to designated stops. The presence of cameras will be especially desirable with valuable goods. Monitoring is sometimes required with some insurance options.

The final issue will be to ensure safety throughout the entire logistics chain. We are talking about the receipt of goods, preparation for unloading, as well as the proper release. The transport itself must meet the requirements for maximum driver working time. It was rigorously defined under the threat of a severe penalty imposed on an unreliable employer. The full liability of the carrier is included in the CMR Convention (more specifically the “Convention on the Contract for the International Carriage of Goods by Road”). It is supported by the local transport law.

Factors classifying insurance offers

The most important components determining the attractiveness of individual offers will be of a financial nature. The Carrier’s OCP should include: an appropriate guarantee sum, scope of application and a possibly short list of exclusions from liability.

The guaranteed sum is the maximum amount that will be covered by the insurer in the event of a loss. The carrier’s OCP usually adjusts it to the material being transported. The purchase of a variant in which any potential losses will be covered only in part, looks very unfavorable. At this point, it is worth mentioning mass restrictions. Some companies use an indicator of the maximum amount paid per kilogram of a given commodity. It may be money disproportionate to the damage caused. Therefore, it is worthwhile to review the contracts carefully and not be guided solely by the purchase amount. The quality of the offer is indicated only by the so-called value for money.

The territorial scope determines whether the traffic is national or international. To this condition should be added the “desired” parking rules. The insurer may refuse to pay the benefit from the Carrier’s liability insurance, if the vehicle was not in a guarded car park. Of course, if such a provision is included in the contract. Practice shows that it is used really often.

The last point is an equally important “protecting” list of the insurer. Most often it will include the so-called force majeure. The scope of protection is particularly important in the context of the occurrence of compensation. It is often associated with the carrier’s OCP purchase price . The extended protection option will be more expensive, but it will also provide better protection. Transporters should be interested in special offers: works of art, live animals or money. Insurers often contain provisions in their contracts excluding the above-mentioned loads from the scope of protection.


The Carrier’s OCP is a voluntary form of insurance that protects property during transport from point A to point B. It can be used by entrepreneurs who provide transport services on a daily basis.  The insurer will pay compensation in the event of damage related to the scope of the contract. Therefore, it is worth reading the exceptions to this rule carefully. The collateral held should fully cover the risk of activity in the area in which the company specializes.

Undoubtedly, the specified guarantee sum has the greatest impact on the price of the Carrier’s OCP. This is the maximum amount that the insured will receive in the event of a loss. In addition, the final price is determined by: the scope of insurance, the list of exclusions from liability, as well as the history of cooperation with the company. Standard offers start from amounts in the order of several hundred zlotys. This is a rough value and varies depending on the scope of services offered.