How a cargo claim pays out

If insured cargo arrives lost or damaged, note the problem right away, keep the goods and packaging, gather your shipment documents, and file the claim promptly. An insured "All Risk" claim pays out the value you insured — normally the goods plus freight — rather than the token amount carrier liability would offer. Straightforward claims are often settled in a matter of weeks; complex ones take longer. Tell your Prime Freight team as soon as you spot a problem and we'll help you assemble everything.

This article describes the general process. Your exact steps and timeline depend on your policy and insurer. If you're insured under your own policy, you'll file through your own insurer; if we arranged cover, we'll point you to the right claims contact.

What you do in the first hours matters most:

• Inspect before you sign. If a container, pallet, or carton is visibly damaged or short, note it clearly on the delivery receipt or Proof of Delivery (POD) before signing. A clean signature can weaken a later claim.

• Don't discard anything. Keep the damaged goods and all packaging exactly as received until the claim is resolved — an insurer may want to inspect them.

• Photograph everything. Take clear photos of the damage, the packaging, labels, and the container or pallet as delivered.

• Mitigate further loss. Take reasonable steps to prevent additional damage (for example, moving goods out of the rain). Insurers expect this.

Tell your Prime Freight team and (if it's your own policy) your insurer as soon as you discover loss or damage. Policies have notice deadlines, and separately there are short windows to register a complaint with the carrier — sometimes only a few days from delivery. Early notice protects your claim and keeps the option of recovering from the carrier alive.

A cargo claim is a documentation exercise. You'll typically need:

• The insurance certificate or policy confirming cover for the shipment.

• The Bill of Lading or air waybill for the shipment.

• The commercial invoice and packing list, which establish the value and contents.

• Photos of the damage and packaging.

• A survey or inspection report, if the insurer arranges one for larger claims.

• Any exception noted at delivery (the annotated POD) and your correspondence with the carrier.

Prime Freight holds most of the shipment documents and can supply them quickly — ask your team.

You (or your broker) submit the claim to the insurer. For larger or unclear losses, the insurer may appoint a surveyor to inspect the goods and confirm the cause and extent of the damage. The insurer then assesses the claim against your policy.

An "All Risk" policy pays the insured value of the affected goods — the Total Insured Value (TIV) you set when you insured, normally the commercial value of the goods plus freight (and often a standard uplift). For partial damage, you're paid the proportion of value lost. A deductible may apply, meaning a small first slice of the loss is yours to bear. See Why insure your cargo for how TIV is built.

Note what a payout does not include: consequential losses such as lost sales, missed deadlines, or downstream business costs. Cargo insurance restores the value of the goods and freight, not the wider business impact.

Timelines vary by insurer and by how clear-cut the loss is, but as a general guide:

• Simple, well-documented claims (clear damage, complete paperwork, no survey) are often settled within a few weeks.

• Claims needing a survey or with missing documents take longer, since the assessment waits on the inspection and follow-ups.

• Disputed or complex losses — for example, where the cause is unclear or a general average is declared — can take months.

The single biggest thing that speeds a claim is complete documentation submitted early. Every missing document is a delay.

Tell your Prime Freight team the moment you spot a problem — even before you've gathered everything. We'll confirm who your claim goes to, pull together the shipment documents, and help you present the claim so it's assessed as fast as possible. If you insured under your own policy, we'll still supply the documents you need for your insurer; see Using your own cargo insurance.

• Why insure your cargo

• Using your own cargo insurance

• Request cargo insurance in the portal