Most people have had the experience of an item getting lost or damaged in domestic, continental transactions. Adding long distances and international borders into the mix, and you get an even more complex set of circumstances. Nowadays, you can’t have anything brought into the United States without import bond insurance, and that’s a good thing for importers.
“Embedded” Coverage via Your Bill of Lading
Chances are, you’d be surprised at how little you would receive in exchange for an unsuccessful international delivery by relying on the terms outlined in a bill of lading. In some cases, transporters release all liability; in others, the maximum compensation they offer would be a fraction of the cost you paid for the goods.
How Import Bond Insurance Benefits Your Business
Economies are complex and dynamic and therefore difficult to predict. Say you’ve brought items in and they don’t sell well for whatever reason. New inventory comes into the country and customers are now buying those goods. You find a buyer overseas, and so you decide to go ahead and export the products. A drawback claim has the power to refund the duty fees you originally paid.
Moving items across oceans or skies can be a lucrative business, but only if the risks are carefully managed. Keep your company not just afloat but profitable by choosing the right insurance policy for your needs.