Cargo insurance is a type of insurance that protects goods while they are being transported. It covers loss or damage to cargo due to various risks, such as accidents, theft, or natural disasters. This insurance is essential for businesses that ship products, ensuring they can recover financially if something goes wrong during transit. There are different types of cargo insurance policies, including marine cargo insurance and air cargo insurance, each tailored to specific transportation methods. By having cargo insurance, companies can safeguard their investments and maintain smooth operations, even when unexpected events occur during shipping.