General Average is a principle in maritime law where all parties involved in a sea voyage (cargo owners, shipowners, and others) share the financial loss when a voluntary sacrifice is made to save the vessel and cargo from a common danger.
For example, if part of the cargo is intentionally jettisoned overboard to stabilize a ship during a storm, all cargo owners—even those whose goods were not damaged—must contribute proportionally to the loss.
In such situations, cargo owners are often required to provide a
financial guarantee or deposit before their goods are released at destination. Without cargo insurance, this can result in significant unexpected costs and delays.
Cargo insurance typically covers General Average contributions, ensuring that you are protected against these shared losses and allowing for a smoother and faster release of your goods.
With
CIO | Cargo Insure Online, your shipments are protected against General Average risks, giving you peace of mind when transporting goods by sea.
