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Export Stage 6: Pack and prepare the documents

Import guide · Stage 6 of 10 · The Cover Trail

Import Stage 6: marine cargo insurance, in place before the goods move

Five stations between a purchase and cover that really protects it. Find out who insures, decide how much, choose the policy type, know the claim steps and confirm before sailing. Clear each hurdle, earn each badge, and finish as a Risk Guardian. Prefer reading? Use the plain guide button.

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Cover Cadet

0 of 5 stations0 XP

Tap a station to open it. Clear each hurdle to earn its badge and unlock the next.

Station 1 of 5

Find out who must insure, under your Incoterm

Station 1 of 5 · Badge: Risk Reader

Find out who must insure, under your Incoterm

The Incoterm decides who arranges the cover and who bears the risk.

What you do

  1. FOB, FCA, EXW: you insure
  2. CIF, CIP: the seller arranges minimum cover
  3. Risk passes at a named point
  4. Your interest may be wider than the seller's

Keep these ready

  • Order with the Incoterm
  • Insurance policy or certificate

Watch out

  • Assuming the seller's cover protects you.
  • No cover from the point the risk passes to you.
  • Cover that does not match the goods or the route.

Pro tip

If you buy CIF, ask for the policy copy and check what it covers. Minimum cover may not be enough for your goods.

Full details for this station

Insurance is not automatic. Read your Incoterms term and decide who places the cover, and who bears the risk at each stage.

How to do it

  1. Under EXW, FCA, FAS and FOB the buyer is responsible for the main carriage, and arranging insurance is your call and your cost.
  2. Under CIF and CIP the seller must obtain insurance, but only to the minimum level in the rules. If you want wider cover, you must ask or arrange it.
  3. The risk passes from seller to buyer at a named point, which depends on the term. Cover should run from the point you bear the risk.
  4. Check what is in the contract, not only what the term says.
  5. Decide before the goods leave the supplier, because cover cannot be taken after a loss.

Documents to keep ready

  • Order with the Incoterm
  • Insurance policy or certificate

What the documents must show

Cover note
A short note from the insurer or broker confirming that cover is in force, with the policy number, the goods, the value and the voyage.

Time and cost

  • Arranging: a day or two.
  • Must be in place before the goods start the journey that you bear the risk for.

Where people get stuck

  • Assuming the seller's cover protects you.
  • No cover from the point the risk passes to you.
  • Cover that does not match the goods or the route.
Station 2 of 5

Decide how much to insure, and for what

Station 2 of 5 · Badge: Cover Calculator

Decide how much to insure, and for what

Insure for the full value, and for the risks that matter to your goods.

What you do

  1. Value: invoice plus freight plus a margin
  2. Voyage: from where to where
  3. Type of cover
  4. Special risks

Keep these ready

  • Invoice
  • Freight quote
  • Insurance proposal form

Watch out

  • Insured value equal to the invoice, with freight left out.
  • Inland leg not covered.
  • Special risk not declared.

Pro tip

Ask the insurer in writing to explain, in two lines, what is not covered.

Full details for this station

Too little cover leaves you short after a loss. A wrong description of the voyage can lead to a refused claim.

How to do it

  1. Work out the insured value: usually the invoice value plus freight plus a margin for expected profit and expenses. Ask your insurer what they offer.
  2. Describe the voyage: where the cover starts, the route and where it ends, including inland legs.
  3. Choose the type of cover: the standard clauses offer a range, from basic to wide. Ask your insurer which one suits your goods.
  4. Say what is special about your goods: fragile, perishable, hazardous, or carried on deck.
  5. Ask what the policy excludes.

Documents to keep ready

  • Invoice
  • Freight quote
  • Insurance proposal form

What the documents must show

Insurance proposal
Names the insured, the goods, the packing, the value, the voyage, the vessel or flight, and the cover required.

Time and cost

  • Quote: hours to a day.
  • Policy issued: a day.

Where people get stuck

  • Insured value equal to the invoice, with freight left out.
  • Inland leg not covered.
  • Special risk not declared.
Station 3 of 5

Choose between a single policy and an open policy

Station 3 of 5 · Badge: Policy Pro

Choose between a single policy and an open policy

A regular importer may be better served by an open policy.

What you do

  1. Single shipment policy
  2. Open policy for regular shipments
  3. Declarations for each shipment
  4. Ask your insurer or broker

Keep these ready

  • Open policy schedule
  • Declaration for each shipment
  • Certificate of insurance

Watch out

  • Forgetting to declare a shipment, so it is not covered.
  • Exceeding the limit of the policy.
  • A policy bought from someone who is not licensed.

Pro tip

Diarise the declaration for each shipment, and ask your broker to remind you.

Full details for this station

If you import often, one policy for the year can be simpler and cheaper than a new one each time.

How to do it

  1. For a single or occasional shipment, take a policy for that shipment.
  2. If you import regularly, ask about an open policy, which covers all shipments within agreed limits, and declare each shipment.
  3. Check the limits: per shipment, per vessel and per year.
  4. Check how and when you must declare each shipment.
  5. Insurance is regulated in India by the Insurance Regulatory and Development Authority of India (IRDAI). Use an insurer or a licensed intermediary.

Documents to keep ready

  • Open policy schedule
  • Declaration for each shipment
  • Certificate of insurance

What the documents must show

Declaration
A short form for each shipment: goods, value, vessel, date, route. Given to the insurer on time, as the open policy requires.

Time and cost

  • Arranging an open policy: days.
  • Declarations: before or at each shipment, as the policy requires.

Where people get stuck

  • Forgetting to declare a shipment, so it is not covered.
  • Exceeding the limit of the policy.
  • A policy bought from someone who is not licensed.
Station 4 of 5

Know the claim steps before you sail

Station 4 of 5 · Badge: Claim Ready

Know the claim steps before you sail

A claim has deadlines and needs the right papers. Know them now.

What you do

  1. Notice of loss: promptly
  2. Survey by the insurer's surveyor
  3. Papers to keep
  4. Remarks on delivery receipts

Keep these ready

  • Insurance policy
  • Invoice and packing list
  • Bill of Lading or Air Waybill
  • Survey report
  • Photographs

Watch out

  • Signing a clean receipt for damaged goods.
  • Moving the goods before the survey.
  • Late notice to the carrier or the insurer.

Pro tip

Photograph the container seal and the goods before unloading, even if all looks fine.

Full details for this station

Most claims fail on paperwork, not on principle.

How to do it

  1. Note the insurer's claim procedure and contact details on the policy.
  2. If you find damage or loss, tell the insurer and the carrier promptly, in writing, within the time the policy and the carrier's terms allow.
  3. Do not move or dispose of damaged goods before the insurer's surveyor has seen them, unless told otherwise.
  4. Record damage on the delivery receipt, with photographs.
  5. Keep the invoice, packing list, Bill of Lading or Air Waybill, policy and survey report.

Documents to keep ready

  • Insurance policy
  • Invoice and packing list
  • Bill of Lading or Air Waybill
  • Survey report
  • Photographs

What the documents must show

Claim notice
A short letter to the insurer: policy number, shipment details, what was damaged or lost, date found, and a request to arrange a survey.

Time and cost

  • Notice: as soon as you find the damage.
  • Time limits for notice to the carrier can be short, so act fast.

Where people get stuck

  • Signing a clean receipt for damaged goods.
  • Moving the goods before the survey.
  • Late notice to the carrier or the insurer.
Station 5 of 5

Confirm the cover is in force before sailing

Station 5 of 5 · Badge: Cleared to Sail

Confirm the cover is in force before sailing

Check the papers before the goods move.

What you do

  1. Policy or certificate in hand
  2. Details match the shipment
  3. Premium paid
  4. Contacts noted

Keep these ready

  • Policy or certificate
  • Premium receipt
  • Shipping documents

Watch out

  • Policy in the wrong name.
  • Voyage dates that do not match the Bill of Lading.
  • Premium not paid.

Pro tip

Keep a copy of the certificate with the shipping documents, not only in your email.

Full details for this station

A policy you cannot find, or that does not match the shipment, is a weak shield. Check before the vessel sails.

How to do it

  1. Get the policy or certificate and read it.
  2. Check the names, goods, value, voyage and dates against the shipping documents.
  3. Check the premium is paid, if the cover depends on it.
  4. Note the claim contacts and the time limits.
  5. Tell your broker and the supplier that the cover is in place.

Documents to keep ready

  • Policy or certificate
  • Premium receipt
  • Shipping documents

What the documents must show

Certificate of insurance
Shows the insured, the goods, the value, the voyage, the cover and the policy number.

Time and cost

  • Check: an hour.

Where people get stuck

  • Policy in the wrong name.
  • Voyage dates that do not match the Bill of Lading.
  • Premium not paid.

Run complete

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Words used on this page

Air Waybill: The transport document for air cargo. It is not a document of title.
Bill of Lading: Issued by the shipping line for sea cargo. It is a receipt, the contract of carriage and, in its original form, the document of title.
Incoterms: Trade terms of the International Chamber of Commerce (Incoterms 2020). They say who pays for transport and insurance, and who bears risk, at each point.

Questions people ask

Is marine insurance compulsory?

Not by Indian law for importers in general, but your bank or letter of credit may require it, and uninsured goods leave you bearing the loss.

Does the supplier's cover protect me?

Only as the policy and the terms say. Ask for a copy and read it.

Does insurance cover delay or customs penalties?

Generally no. Ask your insurer exactly what is covered.

Is this legal advice?

No. It is practical guidance. Policy terms vary, so read your own policy and ask your insurer.

Want help placing the right cover?

Send us the goods, value and route. We will tell you what to ask your insurer. It is just a call and a message away.

Message us on WhatsAppCall +91 98230 14118

Office (backup): +91 93733 11838

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Last checked: 12 November 2026. Incoterms are the International Chamber of Commerce rules (Incoterms 2020). Insurance in India is regulated by the Insurance Regulatory and Development Authority of India (IRDAI). Policy terms vary, so read your own policy.

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