AnalysisDetention and delay · What decides a claim
Do cars get damaged during shipping, and who actually answers for it?
Damage happens, and the question that decides the outcome is not whether it happened but what was recorded before the vehicle left. Marine cargo cover for a vehicle typically runs 1.5% to 2.5% of declared value and pays for physical loss or damage. It does not, on its own, cover General Average — the rule under which every cargo owner contributes to a salvage after a vessel casualty, and under which the cargo is held until a guarantee is posted.
The condition report is the claim
Whatever the cover, a claim is settled on evidence of condition before and after. That means a dated photographic record at handover — all four corners, the roof, the interior, the odometer, existing damage in close-up — and a written condition report signed by whoever takes custody.
Without it, the dispute becomes one party's recollection against another's, and the party holding the signed document wins that. This is the cheapest insurance in the file and it costs nothing.
What the cover pays, and what it excludes
| Cover | Typical rate | Pays for | Common exclusions |
|---|---|---|---|
| Marine cargo, all-risk | 1.5-2.5% of declared value | Physical loss or damage | Pre-existing damage, mechanical failure, personal effects |
| Total loss only | Lower | Loss of the vessel or the vehicle | Anything partial |
| Carrier liability | Included | Limited by the bill of lading | Almost everything, at a low ceiling |
Personal effects inside the vehicle are excluded from most RoRo tariffs and from the cover behind them, which is one reason the "nothing inside" rule matters beyond customs.
General Average, the bill nobody expects
When a vessel suffers a casualty and salvage is incurred, General Average is declared and every cargo owner contributes in proportion to the value of their cargo — including owners whose goods were undamaged. The cargo is held until each owner posts a bond or a guarantee.
Standard marine cover with a General Average clause handles that. A bare declared-value arrangement does not, and the owner then finds a solvent-looking shipment held against a contribution they had no part in causing. It is declared a handful of times a year across the world fleet, which is rare enough to ignore and expensive enough not to.
Who you claim against
The bill of lading names the carrier for your shipment, and that is your counterparty. If an NVOCC issued it, the claim goes to the NVOCC rather than to the vessel operator whose ship carried the vehicle. If a broker merely arranged the booking, the broker is not the carrier at all.
Both intermediary types post a bond — $50,000 for a licensed ocean freight forwarder, $75,000 for a US-based NVOCC — and the bond is a shared pool across all claimants rather than cover on your vehicle. On a $40,000 car, that distinction is the whole argument for buying marine cover separately.
Where this goes next
Three pages carry the rest of this question: the number behind it, the comparison of whoever would do it, and the check that runs before you pay.
- who bills the clock, and on which tariff — the figure behind it
- what the forwarder league tables measure — who does it
- how to read a company out of the federal register — check the licence
Two neighbouring pieces sit closer to this one than any of them: How much does demurrage cost per day, and what the index measures, and what you pay.
Frequently asked questions
Do cars get damaged during shipping?
It happens, and the outcome is decided by the condition record at handover. A dated photographic record and a signed condition report are what make a claim work, whatever cover is in place.
What evidence do I need for a damage claim?
A dated photographic record of every panel, the roof, the interior and the odometer taken before handover, plus a condition report signed by whoever took custody. Without both, the dispute is recollection against recollection.
Who is responsible for damage during shipping?
The entity named as carrier on the bill of lading. If an NVOCC issued it, the claim goes to the NVOCC; if a broker only arranged the booking, the broker is not the carrier.
How much does marine cover for a car cost?
Typically 1.5% to 2.5% of declared value for all-risk cover. It is separate from the bond behind the intermediary, which is a shared pool across all claimants.
How do I prepare a car for shipping?
Photograph every panel, the roof, the interior and the odometer with a date; get the condition report signed at handover; empty it, because personal effects are excluded from most RoRo tariffs and the cover behind them.
Sources
- Federal Maritime Commission, bond program information for OTIs — bond amounts by entity type.
- SeaRates measurement of 27 pages ranking for international car shipping queries, 07/25-26/2026.
- Published marine cargo cover rates for vehicles, read 07/25-26/2026.