What are BIFA Standard Trading Conditions?
How they shape your liability and your cover.
Freight ForwarderInsurance
Freight Forwarder Insurance
Public liability and liability cover built for freight forwarders, covering the goods you arrange transport for, under BIFA trading terms.
Public liability and liability cover built for freight forwarders, covering the goods you arrange transport for, under BIFA trading terms.
BIFA capped liabilityGoods in transitShipment data
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What is freight forwarder insurance?
Freight forwarder insurance is a combination of covers built around arranging the movement of goods, public liability for injury or damage, liability for goods in your care, and employers’ liability if you have staff.
Most UK freight forwarders trade under BIFA Standard Trading Conditions, which limit your liability but also require BIFA members to maintain liability insurance, the 2025 edition came into full legal effect on 1 January 2026.
Freight forwarder insurance can include:
Freight liability insuranceEmployers’ liabilityPublic liabilityBusiness interruptionGoods in transitBusiness van insurance (separate policy)
Cover often bought alongside freight forwarder insurance
Freight Liability Insurance
Covers your liability for goods you’re arranging transport for.
Employers’ Liability
A legal requirement once you employ any staff, even casual help.
Cyber Insurance
Covers costs following a data breach involving client or shipment data.
Business Contents
Protects your office, warehouse and site equipment.
Goods in Transit
Covers goods while they’re being moved on your instructions.
What are BIFA Standard Trading Conditions?
What are BIFA Standard Trading Conditions?
Most UK freight forwarders trade under these terms, and they shape what your insurance needs to cover.
Most UK freight forwarders trade under these terms, and they shape what your insurance needs to cover.
| Aspect | What BIFA conditions say | What to know |
|---|---|---|
Your liability per claim | Capped, often below the goods’ commercial value | Your own liability cover should reflect this cap, not just the goods’ value |
Membership requirements | BIFA members must maintain liability insurance | This is a condition of trading as a BIFA member, not optional |
Acting as agent vs principal | Changes who bears liability and who can be pursued | Check your contracts state clearly which role you’re acting in |
Claims time limits | Strict time limits apply to bringing a claim | Missing a deadline can mean losing the right to claim entirely |
Top Tip
The BIFA Standard Trading Conditions 2025 Edition came into full legal effect on 1 January 2026. If your contracts haven’t been updated, you may be trading without the liability protection these conditions are meant to provide.
How much does freight forwarder insurance cost?
There’s no fixed price. It depends on the value of cargo you handle, staff numbers, and your claims history.
Value of cargo handled
Higher-value shipments increase your liability cover needs.
Whether you own or rent
Owning your premises adds buildings insurance to consider.
Number of staff
More employees increase your employers’ liability exposure.
Level of cover
Higher liability limits increase your premium.
Modes of transport used
Airfreight and high-value cargo can carry higher risk.
Claims history
A clean claims record helps keep premiums down at renewal.
How to get freight forwarder insurance
How to get freight forwarder insurance
Getting freight forwarder insurance takes four steps: tell us about your business, choose your covers, compare specialist insurers, then get covered, often the same day.
Getting freight forwarder insurance takes four steps: tell us about your business, choose your covers, compare specialist insurers, then get covered, often the same day.
1
Tell us about your business
What you arrange, and whether you have staff.
2
Choose your covers
Freight liability, public liability and any extras.
3
We compare specialist insurers
We search our panel of 20+ UK insurers.
4
Get covered and trading
Receive your documents, usually the same day.
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Trusted by thousands of businesses across the UK
From everyday business insurance to complex specialist cover, our customers trust Insurance Revolution to find the right protection and provide expert support when it matters.
From everyday business insurance to complex specialist cover, our customers trust Insurance Revolution to find the right protection and provide expert support when it matters.
Freight forwarder insurance guides
Freight forwarder insurance guides
Practical advice on cover, BIFA conditions and staying protected.
Practical advice on cover, BIFA conditions and staying protected.
Freight forwarder insurance FAQs
Freight forwarder insurance FAQs
Straight answers on cover, BIFA conditions and cost.
Straight answers on cover, BIFA conditions and cost.
Freight forwarder insurance is a combination of covers built around arranging the movement of goods: public liability for injury or damage, liability for goods in your care, and employers’ liability if you have staff.
Still have questions?
Our advisers are here to help you find the right solution.