Motor Cargo and Logistics Liability Insurance

18-wheeler trucks driving on a road

Motor Cargo and Logistics Liability Insurance

Motor Cargo and Logistics Liability insurance help midsize and large transportation and logistics businesses manage the financial risk associated with damaged, lost or stolen freight.
 
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18-wheeler trucks driving on a road

What Is Motor Cargo Insurance?

Motor Cargo insurance, also referred to as Logistics Liability insurance, helps cover midsize and large transportation business’ legal liability for freight while under contract. This coverage applies when goods are being transported and can extend to temporary storage encountered during the course of transit.
 
Motor Cargo insurance is essential for operations involved in hauling, handling or temporarily storing freight as part of transportation services.
 
This type of insurance is commonly used by businesses that:
 
  • Act as a bailee, being entrusted with the property of others
  • Participate in logistics operations such as a motor carrier, warehouseman, freight forwarder or incidental transportation broker
The Hartford's Carrier Logistics Choice provides flexible and customizable options for motor truck cargo coverage across the entire spectrum of logistics operations.
 

What Does Motor Cargo Insurance Cover?

Motor Cargo insurance helps provide coverage for financial losses resulting from damaged, lost or stolen freight, including:

Loss Mitigation Expenses

This coverage can help pay for significant costs incurred to reduce cargo loss, such as rewards for lost or stolen property or expenses to recover or protect covered property.

Debris Removal Expenses

Coverage may help pay for the cost of removing and disposing of property after a covered loss.

Pollutant Cleanup and Removal Expenses

Motor Cargo insurance can assist with paying court‑ordered costs for cleaning up pollutants from land or water following a covered loss.

Earned Freight Charges

This coverage can help protect freight charges that cannot be collected due to a covered loss to covered property.

Contract Penalties

Coverage can help protect businesses from liability for contract penalties resulting from delivery delays caused by a loss to covered property.

Trailer Interchange

Motor Cargo insurance helps protect businesses from liability assumed for cargo and non‑owned trailers used in the hauling of covered cargo.

Reusable Packing Containers

Coverage can help protect non‑owned packing containers used to transport cargo for which a business may be held responsible.

Spoilage

This coverage helps protect covered property from damage caused by spoilage resulting from a change in temperature.

Rust, Corrosion or Contamination

Coverage may help with property from damage caused by rust, corrosion or contamination.

Voluntary Parting and Employee Dishonesty

Voluntary parting, including fictitious pickup, and employee dishonesty are not excluded under certain Motor Cargo insurance policies.

Deductible Waiver for Location‑Tracked Freight

A deductible waiver may apply to freight protected by approved location tracking devices, providing added incentive to help prevent cargo theft.
 

Who Needs Motor Cargo and Logistics Liability Insurance?

Motor Cargo and Logistics Liability insurance may be appropriate for businesses that assume responsibility for freight during transportation or handling, including:
 
  • Motor carriers and trucking operations
  • Logistics and transportation service providers
  • Businesses hauling general or specialized commodities
  • Operations involved in temporary storage during transit
  • Warehouseman
  • Bailee
  • Freight forwarder
  • Incidental transportation brokers
This coverage supports businesses operating in environments where cargo exposure is a core part of day-to-day operations.
 

Why Motor Cargo and Logistics Liability Insurance Matters

Cargo loss or damage can result in significant financial exposure, contractual disputes and operational disruption. Motor Cargo and Logistics Liability insurance helps midsize and large businesses manage these risks by addressing legal responsibility for freight while it is in transit or temporary storage.
 
This coverage plays a critical role in supporting contractual compliance, risk management strategies and long‑term operational stability for midsize and large transportation‑focused businesses.
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Why Choose The Hartford?

With more than 200 years of experience, The Hartford delivers Motor Cargo insurance backed by specialized inland marine underwriting and claims experience for businesses that participate in transportation and logistics operations.
Coverage advantages include:
 
  • Inland marine specialists with experience in Motor Cargo and Logistics Liability insurance
  • Flexible coverage options
  • Motor Cargo Liability claims specialists who handle claims quickly and efficiently

Frequently Asked Questions About Motor Cargo Insurance

Motor Cargo insurance, also known as Motor Truck Cargo insurance, helps cover a transportation business’ legal liability for cargo that is damaged, lost or stolen while under contract during transit.
Motor Cargo insurance focuses on legal liability for freight while it is being transported, while Logistics Liability insurance can also apply to cargo exposures related to handling or temporary storage during transportation.
Commercial auto insurance typically covers liability for bodily injury or property damage caused by a vehicle and may cover physical damage to the vehicle itself. Motor Cargo insurance is designed to cover a transportation business’ legal liability for cargo owned by others while it is being transported or temporarily stored during transit.
Carrier Logistics Choice may provide coverage for cargo while in transit, cargo in temporary storage, employee and subcontractor dishonesty, fictitious pickup or voluntary parting and defense costs for covered losses.
Carrier Logistics Choice is designed for transportation and logistics operations that assume legal responsibility for cargo owned by others, including motor carriers, freight forwarders, warehouse operators and incidental transportation brokers.
Yes. Carrier Logistics Choice can cover cargo during temporary storage that occurs in the normal course of transit, including unscheduled stops. Optional storage coverage may also be available for goods not considered to be in the “due course of transit,” subject to policy terms.

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