What Is Goods-in-Transit Insurance? (And When You Need It)

Goods-in-transit (GIT) insurance covers the value of cargo that is lost, stolen, or damaged while being transported in your vehicle. It does not cover your vehicle itself — that is what your hire and reward motor policy is for. GIT covers the goods belonging to your customers while those goods are in your custody.

For UK courier drivers, GIT insurance is not optional. Every professional delivery platform requires it, customers can hold you personally liable without it, and claims for damaged commercial cargo can easily run into thousands of pounds.

What goods-in-transit insurance covers

A standard GIT policy covers cargo against:

• Accidental damage — items broken during transit due to road conditions, sudden braking, or an accident
• Theft — goods stolen from a locked vehicle, including overnight theft if the vehicle is secured appropriately
• Loss — cargo that goes missing during transit with no explanation
• Fire and flood — damage from vehicle fire or flooding
• Overturning — cargo damaged as a result of the vehicle overturning

The policy pays out the value of the goods up to your policy limit, minus any excess. If you are carrying a load worth £3,000 and your policy has a £10,000 limit and a £100 excess, you can claim the full £3,000 minus £100.

What it does NOT cover

Understanding the exclusions is as important as understanding what is covered. Standard GIT policies typically exclude:

• Cash and negotiable instruments — money, gift cards, and vouchers are almost always excluded
• Jewellery, watches, and precious metals — require specialist endorsements
• Fine art and antiques — same as jewellery; standard policies will not pay out
• Certain electronics — mobile phones, laptops, and tablets are often excluded or have sub-limits (typically £500–£1,000 per item)
• Goods left in an unattended unlocked vehicle — if you leave the van unlocked, you void the claim
• Consequential loss — if a business loses a contract because your delivery was delayed, GIT does not cover that loss of revenue
• Refrigerated goods — perishables that spoil due to temperature require specialist cold chain cover

If you regularly carry any of these goods, you need to either arrange specialist cover or declare the goods and pay for an endorsement on your standard policy.

How GIT differs from your motor insurance

This is the most common point of confusion for new courier drivers.

Your hire and reward motor insurance covers:

• Damage to your vehicle
• Injury or property damage to third parties caused by the vehicle while driving
• Theft of the vehicle itself

Your goods-in-transit insurance covers:

• The cargo inside the vehicle
• Loss or damage to goods while being loaded or unloaded
• Goods temporarily stored at a depot or holding location (check your policy — some limit this)

Neither policy covers both things. You need both policies running simultaneously to be properly protected. A driver who has excellent motor cover but no GIT policy is personally liable for the full replacement value of any goods damaged or lost on their watch.

The key numbers to understand

Per-item limit — the maximum payout for a single item. Standard policies typically cap this at £1,000 to £2,500. If you regularly carry items worth more than this, you need a higher per-item limit.

Per-load limit — the maximum payout for all goods in the vehicle at one time. Common limits are £5,000, £10,000, and £25,000. Hauly requires all drivers to hold a minimum £10,000 per-load limit.

Annual aggregate — the total the policy will pay out across all claims in a policy year. Once this is reached, you have no further cover until the policy renews.

Excess — the amount you pay on each claim before the insurer pays the rest. A £150 excess means a claim for £800 of damaged goods pays you £650.

What GIT cover costs

Goods-in-transit insurance for UK courier drivers typically costs:

Cover level	Typical annual premium
£5,000 per load	£120–£200
£10,000 per load	£150–£300
£25,000 per load	£250–£500

These figures are for standard, non-excluded goods carried in a small or medium van. Specialist goods, higher vehicle categories, or London operation all push premiums higher.

GIT insurance is almost always purchased alongside hire and reward motor cover, and many specialist courier insurers bundle the two. A bundled policy is often cheaper than buying them separately — worth asking about when you get quotes.

A common scenario: what happens without GIT cover

A new driver joins a delivery platform without GIT insurance. They are involved in a minor accident and a box of electronic components belonging to a manufacturing business is damaged beyond use. The components are worth £2,200.

Without GIT insurance:

• The driver's motor insurer pays for vehicle damage only
• The customer claims directly against the driver for the value of the goods
• If the driver cannot pay, the customer pursues them through the courts
• The driver receives a county court judgement (CCJ), damaging their credit and potentially leading to asset seizure

With GIT insurance:

• The driver makes a claim for the damaged goods
• The insurer pays the customer £2,100 (£2,200 minus £100 excess)
• The driver's personal finances are unaffected

The annual cost of GIT cover — roughly £150–£300 — is far lower than the personal liability exposure of a single commercial goods claim.

GIT insurance for occasional couriers

If you only do delivery work occasionally alongside other self-employed work, you may be able to add goods-in-transit cover as an extension to a general tradesperson or business liability policy rather than buying a standalone courier policy.

However, platforms like Hauly that require courier-specific documentation will need to see a certificate confirming you hold GIT cover as a courier driver — a general business policy extension may not satisfy this requirement. Check with your insurer before assuming your existing cover is sufficient.

Getting the right cover

For most Hauly drivers, the practical approach is:

1. Get quotes from specialist courier insurance brokers (not general comparison sites)
2. Ask for a bundled hire and reward + GIT + public liability package
3. Declare your accurate vehicle, mileage, and coverage area
4. Check the per-item limit is suitable for the types of goods you will carry
5. Ensure the policy covers same-day dedicated delivery work (not just parcel network delivery)

For full details on all three types of insurance courier drivers need and how to get the best price, see the complete courier insurance guide.

Once you have cover in place, register as a Hauly driver — verification takes 48 hours.