Cargo Loss

"Cargo Loss" refers to the total or partial loss or disappearance of goods during international transportation, resulting in the consignee's inability to receive the goods or receiving a short quantity. Usage scenarios include sea, air, land, and multimodal transport, commonly seen in bills of lading, insurance policies, claim letters, and other documents. Notes: 1) Cargo Loss differs from Cargo Damage; Cargo Damage means the goods are physically damaged but still exist, while Cargo Loss means the goods have completely disappeared or are short in quantity; 2) Cargo Loss may be caused by carrier negligence, natural disasters, theft, etc., and the risk transfer point must be determined according to trade terms (such as CIF, FOB); 3) The buyer or seller should promptly notify the carrier and insurance company and obtain documents such as cargo loss certificates and inspection reports; 4) If insured, a claim may be filed with the insurance company, but attention must be paid to deductibles and coverage scope; 5) Distinguish from "Shortage": Shortage specifically refers to insufficient quantity, while Cargo Loss may include the loss of entire packages. It is recommended to clearly specify in the contract the allocation of liability for cargo loss and the method of compensation.