Purpose-built cover for Singapore couriers and last-mile logistics operators: merchandise liability, errors and omissions, third-party liability, and cash in transit, combined in a single policy.
What this covers
As a courier or parcel delivery operator, your legal exposure arises at the point you take custody of goods. A package lost in transit, a mis-delivery that sends a consignment to the wrong address, or an accident during a delivery run can each generate a claim against your business. This policy provides four integrated areas of cover.
Merchandise liability: your legal liability for physical loss of or damage to goods in your care under a valid contract of carriage.
Errors and omissions: your liability arising from incorrect completion of delivery documentation, failure to deliver within a reasonable period, or mis-delivery of goods to the wrong destination, including the reasonable cost of redirecting merchandise to its correct destination.
Third-party liability: your liability for physical loss of or damage to third-party property, or death or bodily injury to a third party, arising from your delivery operations.
Cash cover: your liability for physical loss of or damage to cash in transit, including paper currency and coins held under a contract of carriage.
Who this is for
This policy is structured for businesses that hold the contract of carriage and take on direct legal liability for goods during the delivery leg. Typical insureds include:
- Local courier and express parcel delivery companies
- Last-mile logistics providers serving e-commerce merchants
- Cash-on-delivery service operators
- Logistics companies deploying sub-contractors or delivery riders
The policy extends cover to named sub-contractors where they fulfil contractual obligations on your behalf, and the geographical scope is Singapore.
How it differs from freight forwarder liability
Freight forwarder liability covers businesses that arrange the movement of goods, typically across borders and multiple transport modes, acting as agent or principal in the chain of carriage. Delivery partner liability covers businesses that physically move goods as the operating carrier on the final leg within Singapore.
If your business both arranges international freight and self-delivers locally, both covers may be relevant. We would assess your full logistics exposure before recommending the appropriate structure.
Key areas of exposure
Unattended vehicles: cover for theft from an unattended vehicle is excluded by default. Operators should implement documented handover procedures and vehicle security protocols to manage this exposure.
Non-approved contracts: where delivery is performed under contracts not pre-approved by the insurer, liability is subject to a lower limit per kilogram or per package. Submitting your standard trading conditions for approval is a condition of obtaining full policy limits.
Sub-contractor risk: the policy covers named sub-contractors only. Operators using a network of riders or third-party carriers should ensure all active sub-contractors are named in the schedule.
Excluded merchandise: certain categories are not covered under merchandise liability, including precious metals, jewellery above USD 250 per item, fine art, live animals, and dangerous goods (unless regulatory compliance is demonstrated). Operators handling these categories should discuss specialist coverage.