Insurance is a promise of compensation in case of damage/injury/loss in exchange for
a premium. It is a form of risk management. Insurance services include various forms
of compensation benefits such as protection of property and vehicles against damage
or loss, reimbursement of the cost associated with healthcare, and compensation for
accidental death to pre-decided beneficiaries.
Logistics insurance offers insurance against the damage or loss to business because
of interruption in the logistics chain. Some of the common events that are covered
under logistics insurance package are given in the exhibit.