Logistics LifeHacks

Cargo Damaged in Transit: What Should You Do?

Even a carefully planned shipment can be damaged by a road accident, sudden braking, shifted pallets, water ingress or handling errors. In this situation, the first actions taken by the consignee may determine whether an insurance claim can be successfully processed.

Do not move the cargo before taking photographs

If the damage is visible before unloading, record the cargo exactly as it arrived. Do not open the packaging, rearrange pallets or remove damaged cartons before the inspection is completed.

Photograph:

- the trailer or container;
- the original position of the cargo;
- straps and securing equipment;
- damaged pallets and packaging;
- labels, seals and package numbers;
- signs of moisture, impact or movement.

Take both wide-angle and close-up images. A single photograph of a damaged carton does not show where it was located or how it was secured.

Record the damage in the documents

The damage should be noted in the CMR consignment note or proof of delivery. Avoid general wording such as “cargo damaged”. Describe the exact condition: “two pallets deformed”, “five cartons wet” or “packaging torn”.

Under the CMR Convention, visible damage should be recorded at delivery. Hidden damage generally needs to be reported in writing within seven days.

Notify the freight forwarder, carrier and insurance company immediately. Keep the packaging and do not repair, destroy or sell the damaged goods without the insurer’s approval. A surveyor may need to inspect the cargo.

What cargo insurance may cover

Depending on the policy, cargo insurance may cover physical loss or damage caused by accidents, fire, theft, vehicle overturning, water ingress and other agreed risks.

However, insurance does not cover every incident automatically. Claims may be rejected because of inadequate packaging, an incorrect cargo description, the natural characteristics of the goods or risks excluded from the policy.

The main logistics tip: photograph the cargo before dispatch

Photographs taken after delivery show the damage. Photographs taken before departure help prove that the goods were undamaged, correctly packed and properly secured when handed over for transportation.

Before dispatch, photograph the goods, pallets, packaging, labels, loading process, securing equipment and final seal. This simple procedure can prevent lengthy disputes between the shipper, consignee, carrier and insurer.

LOADSTAR UNITY LTD provides international freight forwarding, cargo insurance and transport-document support from collection to final delivery.

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