Is Your Warehouse Coverage All-Risk?

Just as carriers significantly limit their liability for cargo loss or damage, so to do warehouses! However, unlike carriers, there is no state or federal regulations that require any specific warehouse liability limits.

Make sure your warehouse coverage is all risk! Consider the following examples: 

1.The warehouse sprinkler system bursts due to pipes freezing as the heat wasn’t turned on causing significant product loss. 

The warehouse had only a $2,000,000 Warehouse Liability Policy yet that limit applies to all effected freight, not just yours. The total loss is over $10,000,000. Even with the warehouse clearly negligent, their insurance is unable to fully compensate all clients.

With all-risk warehouse insurance your claim will be paid in full regardless of the status of the warehouse’s own insurance!

2. Thieves break into the warehouse defeating all security and steal your freight.   

As the warehouse acted reasonably in provided security alarms, locked doors, and fencing, they are not negligent and as such cannot be held liable. Their insurance company refuses to pay.  

With all-risk warehouse insurance your claim will be paid in full! 

3. Windstorm, Flood, or Earthquake damages your freight.   

A warehouse is not liable for Acts of God and their insurance does not respond. 

With all-risk warehouse insurance your claim will be paid in full!

Review your warehouse insurance policy to make sure you have all-risk coverage! If you have any questions, feel free to contact us.