In this policy, damages to cargos during transportation by accident are compensated. This policy has the following types.
Total loss policy
Total damages that occur in one stage by fire, submerge, or lost, or damages may not be repaired or saved economically.
This policy covers the following accidents: fire or explosion;grounding or stranding; submerging or capsizing of ships or afloats; vehicle upsetting or off-railing; discharge of cargo in another port by emergency; collide of ship of afloat with any other vehicle or obstacle other than water; sacrificing cargos against a public damage; discharging cargos to unburden ships.
Conditional freight policy
This policy includes the following extra damages: earthquake; volcano or lightening; enter of sea, lake, or river water to ship, afloat, compartment, container, or vehicle; total loss of each package due to fall during loading or discharging; extra damages due to non-delivery, theft, rupture, abrasion, rusting, water penetration, oil penetration, crashing, scratching, hitting, tilting, spilling, and damage by other cargos, by the case, including a franchise.
Complete freight policy
This is the most complete freight policy and is mostly used for transportation of sensitive and damageable cargos, which includes all damages from the source to the destination without deducting franchise, unless the following exceptions:
1. Ionizing rays or radioactive materials resulted from any types of fuels or nuclear waste
2. Preventing entering cargo by insured or by importing country
3. Intentional actions of insured resulting damage or loss
4. Normal shortage, decrement, leakage, or spillage of material, weight loss, wear or decay
5. Loss, damage, or cost due to any drawback
6. Loss, damage, or cost due to inefficient package, preparation, or nature
7. Loss, damage, or cost due to application of any weapon working by nuclear energy or similar materials or reactions
8. Loss, damage, or cost due to disability of ship to navigate
9. Loss, damage, or cost due to war, strike, riot, terrorism, unless by previous agreement.
Internal freight policy
This policy insures cargo with source, destination and rout located inside Iran territory against fire, explosion, accident, hitting, and vehicle upset. Additionally, other dangers such as total theft, loading and discharging dangers, falling, and hitting may be covered by payment of extra premium.
Open Cover freight policy
This is used for large projects, in which total project value, transportation vehicle, etc. are mentioned in the contract. Policy holder pays an amount as deposit. Cargos are transported gradually during one or many years and there is no need to inform the insurer for any cargo or to issue a separate policy for each cargo.
According to article 1 of Civil Responsibility Act of 1960, everyone is responsible to compensate his act casing any material or non-material damage or loss to others. This act covers a spread scope and a type of insurance can be defined for every person by his business.