Goods in Transit Insurance: Why Your Courier's Coverage Won't Save You

Most merchants assume they're covered when a courier picks up their parcel. Without separate parcel insurance, they're not.

Every courier, freight carrier, and logistics operator carries some form of Goods in Transit (GIT) insurance. It protects them against liability claims during shipment. The problem is how it calculates a payout. For anyone shipping watches, jewellery, electronics, or collectibles, the calculation is brutal.

What Is Goods in Transit Insurance?

Goods in Transit (GIT) insurance covers loss, theft, or damage to goods while they're being transported (from collection to delivery). It applies across road, rail, air, and sea freight.

Carriers are legally required to hold it. That's why couriers and hauliers can accept liability for lost or damaged shipments. But "accepting liability" and "paying what your goods are worth" are two entirely different things.

The Weight Trap: How Carrier GIT Actually Pays Out

Standard carrier GIT insurance doesn't pay based on what your item is worth. It pays based on how much it weighs.

Under the CMR Convention (the international framework governing road freight), carrier liability is capped at approximately 8.33 SDR per kilogram of gross weight. At current rates, that's roughly £7 to £10 per kilogram.

Under most domestic courier contracts, the figure drops further: typically £1.30 per kilogram, unless you've declared a higher value and paid an additional surcharge.

The implication for high-value, lightweight goods is not subtle.

A 1kg watch worth £5,000 shipped via a standard courier? The carrier's default liability: approximately £10. Not £5,000. Not £2,500. About £10.

This is the weight trap. It catches watch dealers, jewellers, electronics resellers, PSA-graded card traders, and anyone else who ships items where value and weight have nothing to do with each other.

Carrier GIT vs. Declared Value Cover: The Real Difference

The alternative is declared value cover: insurance based on what the shipment is actually worth, not how much it weighs. This is what Secursus provides.

That last row deserves attention. Carrier GIT appears free because it's embedded in the shipping contract. But "free" coverage that pays £10 on a £5,000 item isn't coverage. It's the illusion of coverage.

What Standard GIT Does Not Cover

Carrier liability frameworks exclude more than most shippers realise. Across CMR, BIFA terms, and standard courier contracts, several categories routinely fall outside default coverage.

Inadequate packaging is the single most common basis for claim denial. The carrier defines what "adequate" means, not you.

Inherent vice covers damage caused by the nature of the item itself. Not your fault, not their problem.

Consequential loss is entirely off the table: the client you lost, the resale window that closed, the replacement you had to source at a higher price. None of it.

Underdeclaring voids the claim entirely. If you've been shaving a few pounds off declared values to reduce surcharges, a serious loss will be very expensive.

High-value commodity exclusions are often buried in contract schedules. Jewellery, watches, electronics, and cash are capped or excluded by more carriers than the booking page lets on.

When a carrier denies a claim, they're not acting in bad faith. They're applying the contract you agreed to when you booked the shipment.

Who Actually Needs Declared Value Cover

If you regularly ship any of the following, standard carrier GIT won't do the job.

Watches and jewellery. A single piece can weigh under 200g and be worth £10,000 or more. Weight-based liability returns essentially nothing.

PSA and BGS graded trading cards. A PSA 10 Charizard or BGS 9.5 rookie can exceed £10,000. A courier treats it as a £0.26 payout (200g × £1.30/kg). That's not a typo.

Electronics. High-end cameras, laptops, and audio equipment carry a poor weight-to-value ratio and are frequently targeted in transit.

Loose gemstones and unmounted stones. Explicitly excluded from most carrier policies and from several third-party providers. Secursus covers them.

Independent resellers and e-commerce merchants. One uninsured loss per month on items above £500 typically costs more than insuring every shipment at 0.6% for the entire month. The maths aren't complicated.

How Secursus Works

Three steps. That's it.

Declare your shipment value and get a quote. Rates run from 0.6% to 1% of declared value depending on item type and destination, typically £6 to £10 on a £1,000 shipment.

Ship with any carrier using a fully tracked service. For items above £200, require adult signature confirmation on delivery.

If something goes wrong, open a claim with your commercial invoice, proof of posting, and evidence of loss or damage. Payment within 72 hours of complete documentation. No back-and-forth, no months of waiting.

No subscription. No minimum volume. No weight-based calculation.

What to Check Before Choosing Any GIT Provider

Before you commit to any insurance solution (carrier-provided or third-party), verify four things.

Valuation method. Weight-based or value-based? If it's weight-based, it's not suitable for high-value goods, regardless of what the sales page says.

Commodity exclusions. Read the terms of service, not the marketing copy. Loose stones, precious metals, and watches are excluded by more providers than they'll tell you upfront.

Claim timeline. 30 to 90 days is standard for carrier-handled claims. An independent insurer should do considerably better.

Who investigates. With a carrier insuring its own shipments, the conflict of interest isn't theoretical. It's structural.