Business insurance · Goods in transit
Goods in transit insurance in South Africa: what it covers, what drives the price, and when you need marine cargo instead
Goods in transit insurance protects the load, not the vehicle, from the moment stock is loaded until a customer signs for it. If your business moves goods by bakkie, truck, carrier or courier, here’s what the cover is for, what insurers weigh when they price it, the conditions that decide most claims, and where marine cargo cover takes over.
What goods in transit insurance covers
Goods in transit insurance is cover for the load itself: stock on its way to a customer, materials going to site, equipment moving between branches. Your motor policy deals with damage to the bakkie or truck; transit cover deals with what’s inside it. South Africa’s Insurance Act describes the transport class as covering “damage or loss resulting from the conveyance, storage, treatment and handling of goods in transit, irrespective of the form of transport” (Insurance Act, Table 2 (2017)).
In practice, a goods in transit section commonly responds to events such as an accident, overturning or fire involving the carrying vehicle; theft or hijacking of the vehicle with the goods on it, often subject to security conditions; damage while goods are loaded or unloaded, where that’s on the schedule; and, in some policies, the cost of clearing debris or recovering goods after an accident. What’s included varies between policies, so treat that list as things to check on your own schedule rather than a description of any one policy.
For a fleet, transit cover usually sits alongside commercial vehicle and fleet insurance, which deals with the trucks themselves. The first question an insurer will ask, though, is who is doing the carrying.
How goods in transit cover works: own vehicles, carriers and couriers
Policies often treat goods in your own vehicles differently from goods with a hired carrier or courier, and some only include one of the three. Getting this right at the start avoids the most basic gap.
Your own vehicles
Goods carried in vehicles the business owns or operates. Insurers usually want to know the vehicles, who drives them and how they’re secured when parked. If the vehicle is a bakkie that also does private driving, check that its motor cover is rated for business use; our bakkie business-use guide explains why that matters.
Hired carriers
Goods moved by a transport company you contract. The carrier may hold its own carriers’ liability cover, but its liability to you is usually set by its contract terms and may be capped well below the value of your load. Your own transit cover can fill that gap.
Couriers and postal services
Courier terms commonly limit what they’ll pay for loss or damage, sometimes to a small amount per parcel unless you declare a value and pay for extra protection. The courier’s insurance usually protects the courier, not your interest in the goods.
Once you know who carries the goods, the next question is what the cover will cost.
How much does goods in transit insurance cost?
There’s no standard rate for goods in transit insurance. Insurers price the load, the route and the security, so two businesses with the same turnover can get very different quotes. These are the details insurers commonly ask for:
| Factor | Why it matters |
|---|---|
| Type of goods | Electronics, cigarettes, alcohol, metals and fast-moving consumer goods attract thieves. Fragile or perishable goods are more easily damaged. |
| Maximum value per load | The limit for one vehicle or consignment. It needs to match your most valuable load, not the average. |
| Annual value carried | Some policies are rated on the total value moved in a year and adjusted afterwards. |
| Routes and territory | Long-distance routes, cross-border trips and known hijacking areas change the risk. |
| Vehicles and drivers | Own fleet or hired carriers, and how drivers are vetted. |
| Security | Tracking, alarms, immobilisers, secure overnight parking and rules about stopping. |
| Packing and handling | How goods are packed, secured and loaded affects damage claims. |
| Claims history | Past transit losses and how they happened. |
Security carries extra weight on Gauteng routes. Police reported in June 2026 that 25 of South Africa’s top 30 truck hijacking hotspots are in Gauteng, with increases in Alberton, Orange Farm, Germiston, Mamelodi East and Kempton Park in the first quarter of the year (EWN (2026)). The national trend has improved: SAPS figures for April to June 2026 showed truck hijackings down 21% on the same quarter a year earlier (SAnews (2026)). Road is also where most of the exposure sits, because so much freight that could go by rail doesn’t: the Department of Transport found that about two-thirds of domestic mining freight flows are rail-friendly, yet only 35% went by rail in 2019 (Department of Transport (2023)).
Price is only half of it. Whether a claim is paid often comes down to the conditions attached to the cover.
The conditions that decide most transit claims
Most disputes on transit claims aren’t about whether the goods were lost. They’re about whether a condition on the policy was met at the time. Look for these on your schedule and wording:
- Unattended vehicles. Many policies restrict theft cover when a loaded vehicle is left unattended, or require it to be locked with keys removed and alarms set.
- Overnight loads. Goods left in a vehicle overnight may only be covered in a locked building or a secured yard.
- Tracking. Where tracking is a condition, check what happens if the unit isn’t working at the time of loss.
- Packing. Damage caused by inadequate packing is commonly excluded.
- Delay and loss of market. Losses because goods arrived late are commonly excluded unless a specific extension applies.
- Refrigerated goods. Spoilage after a refrigeration unit breaks down is often only covered by a separate extension.
- Limits per vehicle. If a load is worth more than the per-vehicle limit, the claim may be capped at the limit. The same logic as underinsurance and the average clause applies to values set too low.
Tracker data can cut both ways. In one ruling summarised by the National Financial Ombud Scheme, an insurer relied on speed data from the claimant’s own tracker to apply a speeding exclusion, and the NFO stressed that policyholders should read their exclusions and tell the truth when claiming (NFO (2026)). None of these conditions is universal, and some can be changed by agreement before you sign. If the worst happens, how you report the loss matters too.
If goods are lost or damaged on the road
Report the loss to the police and your insurer or broker as soon as you can, and keep the delivery note, the load list and any tracking records. Most policies set a time limit for notifying a claim, and the Policyholder Protection Rules require insurers to tell you what information they need, the time limits and the excess that applies (Policyholder Protection Rules, rule 17 (2017)).
Late notification doesn’t automatically end a claim. The ombud has made that point directly:
“Rejecting an insurance claim on the grounds of late notification by the complainant may not always be fair and reasonable. That’s especially the case when an insurer cannot prove that this delay resulted in any material prejudice.”National Financial Ombud Scheme, July 2026
If a transit claim is rejected and you disagree, our guide to rejected claims and the National Financial Ombud sets out the steps. All of this applies to local journeys; once goods cross an ocean, a different kind of cover usually takes over.
Goods in transit vs marine cargo insurance
Goods in transit cover is usually arranged for road or rail movements within South Africa, and sometimes into neighbouring countries. Marine cargo cover is usually used for imports and exports, especially where goods go by sea or air for part of the journey. Despite the name, marine cargo policies often run “warehouse to warehouse”, including the road legs at each end.
| Goods in transit | Marine cargo | |
|---|---|---|
| Typical journeys | Local and long-distance road or rail within South Africa, sometimes neighbouring countries | Imports and exports by sea, air, road or a combination |
| Common basis | Insurer’s own wording, often a section of a business policy | Often the Institute Cargo Clauses (A), (B) or (C) |
| How it’s arranged | Annual cover with a limit per vehicle or load | Per shipment, or an open policy declaring shipments as they happen |
| Who buys it | Usually the business that owns or carries the goods | Depends on the sale terms (Incoterms) |
The Institute Cargo Clauses come in three levels. Clauses (A) are broad, “all risks” cover; Clauses (C) cover a narrower list of named events and are “sometimes referred to as minimum cover” (ICC Academy (2020)). For an import or export, the contract’s Incoterms rule decides who must insure. Under Incoterms 2020, a seller on CIF terms must insure for the buyer to at least Clauses (C), and CIF is only for sea and inland waterway transport; a seller on CIP terms must insure to Clauses (A). If you’re buying on CIF terms, the seller’s minimum cover may be narrower than you expect for finished goods, so it’s worth asking whether to top it up with your own marine cargo cover. Businesses that hold stock through several stages, from purchase to storage to sale, sometimes look at stock throughput insurance instead of separate transit and stock sections.
With the cover types straight, it’s worth testing what you’ve picked up.
Check what you know
Four quick questions on how goods in transit cover usually works. Your answers stay in your browser.
Goods in transit insurance FAQs
General answers about goods in transit and marine cargo cover in South Africa. Your schedule and policy wording decide what applies to you.
What is goods in transit insurance?
It is cover for loss of or damage to goods while they are being moved, and usually while they are loaded and unloaded, subject to the limits and conditions on your schedule. South Africa’s Insurance Act describes the transport class as covering loss from the conveyance, storage, treatment and handling of goods in transit, whatever the form of transport.
How much does goods in transit insurance cost?
There is no standard price. Insurers usually look at what you carry, the most you carry in one load, how much you move in a year, your routes, your vehicles or carriers, security such as tracking and parking, and your claims history. Ask for the premium and the excess together, because a low premium with a high theft excess can cost more at claim time.
Does goods in transit insurance cover theft and hijacking?
Many policies include theft and hijacking, but often with conditions, such as the vehicle being locked, tracked or not left unattended, or goods not being left in the vehicle overnight. Read those conditions closely, because they are a common reason claims are disputed.
Is goods in transit the same as marine cargo insurance?
No. Goods in transit is usually arranged for movements by road or rail within South Africa, and sometimes neighbouring countries. Marine cargo is usually used for imports and exports that include a sea or air leg, and is often written on the Institute Cargo Clauses.
Does the courier’s insurance cover my goods?
Not automatically. A courier’s or carrier’s liability is usually limited by its terms and conditions, and may be far lower than the value of what you sent. Check those terms and decide whether your own transit cover is needed.
Does goods in transit insurance cover goods in my own bakkie?
It can. Many policies distinguish between goods carried in your own vehicles and goods sent with hired carriers, and some only include one of the two. Tell the insurer which applies, and check that your vehicle’s own policy is rated for business use.
Who insures the goods on an import or export?
It depends on the sale terms. Under the Incoterms 2020 rules CIF and CIP, the seller must buy insurance for the buyer: at least the minimum Institute Cargo Clauses (C) for CIF and the broader Clauses (A) for CIP. Under other terms, check in the contract who carries the risk at each stage.
Match the cover to how you move goods
Questions about goods in transit or marine cargo cover? Contact Best Care. Cover remains subject to underwriting and the final policy documents.
This article is general education, not personal financial or legal advice. Policy features described are common examples, not the terms of any particular policy; cover, limits, excesses, conditions and exclusions are governed by the policy schedule and wording. Incoterms summaries reflect the ICC’s guidance on the 2020 rules, checked in October 2026; check your contract. Crime figures are as reported by the sources cited. Best Care Insurance Brokers CC, registration 1992/100995/23, Authorised FSP 8754. See the FAIS disclosure.