Additional Insurance & Cargo Liability

Do you know what the difference is between cargo insurance and cargo liability insurance? Unfortunately, not many people know the big difference in cargo insurance and contingent cargo insurance or liability.

Cargo liability is insurance for motor truck cargo insurance on freight or goods that are hauled by a for hire trucker. This applies to general freight. This insurance covers the liability of cargo that is damaged or lost due to fire, collision, or striking of a load. If you are looking to start your trucking business, cargo liability insurance is essential and mandatory by the D.O.T to operate. This provides you protection to start your operation regardless of the commodity or goods that you are transporting.

ocean-Marine-Insurance-DebunkedNow cargo insurance or freight insurance that Ramon Insurance provides is full replacement value insurance for the goods all risk from origin to destination. We offer all risk cargo insurance for your goods so that if any damages happen to it, your goods are protected. If you have multiple shipments of the same good, we offer an annual policy or multiple shipment policy.

We also offer additional cargo insurance which supplements your current policy, let’s say you already have existing cargo liability insurance for $100,000.00 and you need additional insurance for $400,000.00, we can provide you that additional insurance for a lower rate than your existing insurance.

Ramon Insurance has been in business for over 31 years. We provide free consultation by experts who have been insuring billions of dollars of freight every year. Feel free to contact us!

Written by Iris Arden (Ramon Inc.)

Full Replacement Value and Cargo Liability Insurance

Understanding the difference between Freight Insurance and Freight Liability is a crucial part of the freight and/or logistics industry, especially in an unfortunate event that you need to process a claim. The questions you should be asking yourself is what is the covered by the liability, what is covered by the freight insurance (Full Replacement Value Called All risk that we offer), and what is the difference.

The key point here is to analyze what is the extent of the carrier’s liability for freight loss under the applicable law and/or coverage, and what is the extent of the carrier’s freight insurance protection for that liability.

For example, there are three types of coverage offered by Ramon Inc. One of the coverage is called ALL RISK. This policy covers ANY damages while in transit. This includes damages from physical external cause along with partial or total, theft and catastrophe. This means that if the goods are not covered by All Risk then the insured/shipper is relying solely on the carrier’s contingent liability policy for insurance coverage should there be damage or loss during transit. Since it is a liability policy, the carrier is protected by statue and subsequently limited on their liability to pay claims. This affects the level of individual contract of carriage which was entered by the shipper and carrier. If the shipper imposes any commercial pressure on the carrier, or if the carrier is guilty of gross negligence, or the transit is subject to the Carmack Convention for interstate shipments in the US, then the limited liability of the carrier may be challenged.

Please keep in mind that in case of a claim and relying upon the carrier’s cargo liability insurance, you will be faced with an expensive and timely process that will ultimately involve lawyers and added expenses that accrues. Usually in a claim case, a carrier’s limit of liability is only $1,500. Most of the time customers are lead to believe that the trucking insurance general liability of $100,000 covers their cargo for full replacement value. This is not the case. The $100,000 covers them for all the loads that they haul. Within the fine prints of the contract of carriage, they have a limit of liability of $1,500 per claim. Just like ocean vessels have $500.00 limit of liability per container even if the goods in the container are valued at $500,000. The same with all airlines, they have limit of liability per luggage and/or cargo they carry on-board.  Therefore, Ramon Inc. with more than 31 years of experience in the market strongly advises everyone within the industry to check all the details/information prior to booking cargo insurance with any company or relying on the trucking company’s cargo insurance policy. This policy is simply a mandatory requirement by the DOT for any trucking to operate, and it is very limited.

Please contact us today or get a quote here

Written by Iris Arden (Ramon Inc.)


The first direct freight train service from China to the UK arrived in London on January 18 of 2017. The journey took 7,456-miles and 18 days to complete. The new train is considered the modern-day Silk Road. This new route has made London the 15th European city to have a railway route connection with China.Rail

Nine countries are connected during this route: China, Kazakhstan, Russia, Belarus, Poland, Germany, Belgium, France, and United Kingdom.  The journey is longer than Russia’s famous Trans-Siberian railway, but shorter than the China-Madrid link. With cheaper services in comparison to air transportation and quicker delivery than ocean transportation, the new train railway successfully brings a new opportunity for growth.

China has become one of the world’s biggest exporters amounting to over $2.28 trillion in 2015. With President’s Xi vision to a brighter future for China and the world, he’s work is just beginning. There are already plans for another 20 European rail freight routes which will increase their export potential even more.

Written by Iris Arden (Ramon Inc.)


Food Runs the World

Food provides almost one in three of the world’s population with a livelihood.  From restaurants, supermarkets, entertainment, food runs the world.

0ed6f43f6f27e75e3a92e0443cf18312--grilled-avocado-avocado-mozzarellaAgriculture, food, and related industries contributed $992 billion to the U.S. gross domestic product in 2015. In 2016, 21.4 million full and part-time jobs were related to agricultural and food sectors composing 11% of the total U.S. employment. While employment in agriculture and food-related industries supported another 18.7 million jobs. Food service locations accounted for the largest share with 12.2 million jobs with food/beverage stores supporting 3.2 million jobs. And the remaining agricultural-related industries together added another 3.3 million jobs. In 2017, the Bureau of Labor Statistics, which refers to restaurants as food services and drinking places, informed that sit-down restaurants compose 50% of the jobs; while, fast food restaurants composes 37%.

In 2016, America exported $24 billion in soybeans, $17 billion in meat and poultry, and $11 billion in corn.  And in imports, it was $130 billion with food variations from fish and shellfish to tea. With the high volumes of exports and imports, the demand for refrigerated containers and trucks has increased. According to the Maritime Research, Consulting and Financial Advisory Services (Drewry), the demand for refrigerated transportation will increase by 17% within 3 years.

And as the demand of food increases, so does the risk of food scarcity. With climate change affecting crops and studies predicting by the year 2050 deaths due to starvation, new strategies to maintain the world’s current population with enough good supply has become a challenge.

Although America has not faced agricultural hardships, other countries have. For example, Japan has included buckwheat alongside rice as part of their food culture; which means eating soba noodles has now become a part of being Japanese. France, India and Italy have included lentils and beans alongside wheat.

Food is at the center of almost every culture, a big part of the world’s economy, and a necessity to live.

Written by Iris Arden (Ramon Inc.)


Where are the Truckers?

Truckers are a key part of freight transportation. 70% of all cargo is transported throughout the US highways. According to CBS News, the freight world needs to hire about 90,000 truckers a year to keep up with demand. And if truckers drive America’s economy, this is an alarming concern.

“A Shortage of Trucks is Forcing Companies to Cut Shipments or Pay Up” by Jennifer Smith from the The Wall Street Journal, really emphasized the growth in cargo freight in 2018. Not only did December of 2017 hit record levels in freight volumes, but 2018 has started out with a bang. The amount of freight needed to be transported is way more than the number of truckers available to transport it.

For example, in the spot market, about 10 loads were waiting to be moved in comparison to the previous year that had only 3 loads that were waiting to be transported. Truckers with the weather conditions have raised their price; depending on the company’s location and pick up wait time, the available truckers will turn down the job. The weather conditions have imposed great difficulty with the trucker’s transit, and companies in Canada are willing to pay double for truckers that are willing to make the trip.


Keep in mind that this is the slow season, so imagine when the freight market picks up in April. To keep with demand, companies are increasing truckers’ salaries and benefits. The lifestyle of a trucker isn’t an easy one, but companies are investing hard to attract more and more drivers. With a median salary of $41,000, many people are turning to trucking to live a better lifestyle, but hiring agencies still need to work hard to convince thousands more to join in. But even with all these actions, statistics still show that demand will outreach the drivers.

Written by Iris Arden (Ramon Inc.)