Why You Should Always Get Marine Insurance When Importing from China
They say people rarely learn from others’ mistakes — and that’s absolutely true. In many situations, we ignore advice until we hit a bump that shakes us up, sometimes mildly, other times tragically. The sad part? It could’ve been avoided — especially when it comes to protecting your business.
One risk that’s simply not worth taking is letting your goods ship from China without marine cargo insurance. That’s why we work hard to educate our clients on the importance of securing marine insurance as part of responsible importing. It’s not just a “nice to have” — it’s peace of mind and should be part of your cost structure from day one.
Now consider this number for a moment: 7,800 TEU. A “TEU” is the capacity of a standard 20-foot container. That’s over 9 million cubic feet of cargo! That’s exactly how much was involved in one of the most recent shipping disasters, when the Maersk Honam caught fire on March 6 while en route from China to Europe. The cause of the fire remains unknown.
According to Maersk Group, the ship has been declared a case of General Average. This puts both the shipping giant and its clients in a difficult position: shippers must now provide financial guarantees through their cargo insurance policies to help cover salvage costs. Even those without insurance may be forced to pay, as explained by Rafael Real, director of Tractio Risk Solutions, in an article for El Levante (Valencia).
And we’re not trying to scare you, but this was just one of three incidents in the span of six weeks. The Maersk Kensington also experienced a fire, while the Maersk Shanghai suffered cargo damage due to severe weather — putting operations, schedules, and supply chains at risk for thousands of businesses.
Inherent Risks in Maritime Shipping
After all the time and effort you invest into buying from China, not insuring your cargo means gambling with your business. Here’s just a sample of the real risks cargo faces once it leaves the port:
- Total or partial theft.
- Improper loading/unloading.
- Moisture damage, rust, or contamination.
- Extreme weather conditions and storms.
- Grounding, collisions, wreckage.
- Fire, freezing, or explosion.
- Fraud by the captain or crew. Piracy.
- General Average and particular average.
- Delays or shipment cancellations.
This list could go on and on. The smartest move is to transfer that risk to an insurance company — they’re better equipped to handle it. What could become a financial disaster for you becomes just another minor incident for them.
Having your entire supply chain insured shows you’re serious about business. Ideally, you should opt for all-risk marine cargo insurance, so that even if the carrier is not held liable due to legal loopholes or international clauses, you’ll still be covered.
Why Having a Trusted Advisor Makes a Difference
Now you’re probably wondering: what should I insure, how do I insure it correctly, what conditions apply, and how do I protect my rights?
The good news is: you don’t have to do this alone. That’s where trusted advisors come in. At Sinergia Trading, we guide importers through every step of this process.
You need strategic partners who can help you responsibly and fairly manage your cargo protection — professionals with experience in legal, insurance, and maritime contracts who will minimize the risks of shipping from China.
They’ll walk you through the critical parts of your marine insurance contract, always prioritizing your safety, peace of mind, and financial protection:
- Contract duration.
- Insured interest clauses.
- Scope of coverage.
- Policy format and terms.
- Types of coverage (single shipment, open cover, floating policies).
With proper advice, your insurance can protect against all kinds of direct and indirect risks — ensuring that your goods from China arrive safely and that no incident damages your business finances unnecessarily.
Because at the end of the day, things happen — but they shouldn’t happen without coverage.
What is marine cargo insurance?
Marine cargo insurance covers your goods during ocean transport against risks like theft, fire, storms, and shipping accidents.
Is marine insurance mandatory when importing from China?
It’s not legally mandatory, but strongly recommended. Without it, you risk major financial loss if your cargo is damaged or lost.
What types of risks does marine insurance cover?
It covers a wide range: fire, sinking, piracy, accidents, general average, rough weather, mishandling during loading/unloading, and more.
Who should buy marine insurance — the buyer or the supplier?
Ideally, the buyer (importer) should secure the insurance to control the coverage and claims process more effectively.
Can an importing advisor help with marine insurance?
Yes, experienced sourcing agents or import advisors can guide you through marine insurance contracts to ensure full protection.
