There are a number of reasons you may want import bond insurance. Whether it’s a contractual obligation or to help prevent loss here are a few reasons to consider.
Mandatory by Contract
In some cases the import bond contract may require you to have insurance. In this case you will have to hold a policy in order to conduct business. You client or bank may also ask you to have insurance before working with you.
Insurance can help reduce exposure to loss. This is especially true if you have not received goods you paid for or were not paid for goods you shipped. It may also help if your carriers insurance won’t cover your goods in the event of a storm or other natural incident.
Liability coverage can help in the event you or someone employed by you is found at fault for an incident. It can help cover losses and pay for any medical expenses required by the other party.
As you can see there are a number of reasons you may want import bond insurance. While some contracts require you to be insured, you may also draw comfort from knowing most losses will be covered. You may also gain peace of mind from having liability coverage.