General Average can cost you - big time.​

The last time General Average was declared before the Ever Given was following the 2018 fire on board the Maersk Honam.

In this scenario, the adjustor fixed the salvage security at 42.5% of cargo value and 11.5% as a General Average deposit. A shipper with a cargo worth $100,000 onboard had to pay a deposit of $54,000 in order to get its shipment released.

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we know a thing or two about protecting cargo - no matter what happens at sea.

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General Average Claims are Climbing

Today, we’re seeing an increase in General Average being declared because of the supply chain crisis and port congestion. 

General Average can be declared not only during disasters like the Ever Given in the Suez Canal, but for inclement weather when cargo is lost, for fires onboard, machinery breakdown, stranded or grounded ships, situations where vessels need assistance from tugs or other vessels, or if a ship has to call at a port of refuge. 

Find out if you’re covered with our e-book,

“General Average: A Very Real Threat to Shippers”

General Average: A Very Real Threat to Shippers

Get the protection you need with TLR's all-risk Insurance

Are you a shipper looking to protect your cargo?

You’re probably aware that if your cargo is lost, damaged, delayed, or even stolen while in transit, you could be liable to recoup the cost- but did you know you may also be on the hook for other goods on board and even the ship itself! That’s thanks to a maritime law called “General Average.”

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years of experience

in protecting our clients with cargo insurance.

Feel safe with TLR's cargo insurance

All-Risk Insurance

The all-risk policy encompasses warehouse to warehouse coverage, General Average claim coverage, and more.

Basic Cargo Insurance

Learn more about the different kinds of cargo insurance here:

See if you're protected from General Average Claims Today

See if you're protected from General Average Claims Today

Frequently Asked Questions

To be covered for loss-protection against General Average or any other type of incident, you should consider an “All Risk” cargo insurance policy. However, you must check that there is a specific General Average clause within the policy to ensure door to door coverage.

General Average is a complicated and involved process. The calculation is done by marine insurance companies who determine aggregate worth, either in whole or part, then fairly distribute across stakeholders to establish an average claim amount per person affected by the disaster.

General Average Losses refer to the materials sacrificed in order to save a ship or its crew. They can include cargo that was jettisoned overboard or an entire ship itself depending on the disaster.

General Average can be declared not only for inclement weather when cargo is lost but for fires onboard, machinery breakdown, stranded or grounded ships, situations where vessels need assistance from tugs or other vessels, or if a ship has to call at a port of refuge.

There are three necessary elements for enacting general average: the vessel must be in imminent danger, there needs to have been an intentional, voluntary sacrifice of property by crew or owners with intent on saving themselves, and lastly, this act of sacrificing materials would ensure the crew or ship was safe from peril.

Keep your cargo safe

The good news is that we can help protect your company from huge General Average bills with our all-risk insurance coverage.

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