Goods in Transit Insurance for Courier Drivers
Goods in transit (GIT) insurance covers the parcels and packages you carry against loss, theft, and damage from collection to delivery. It’s not a legal requirement, but most courier platforms and commercial clients require proof of it before they’ll give you work. Without it, you’re personally liable for the full replacement value of anything that goes missing or gets damaged while it’s in your vehicle.
- →GIT cover and courier van insurance are completely separate products. Your hire and reward van policy covers the vehicle and your liability on the road. It doesn’t cover the goods in the back. You need both
- →The RHA Conditions of Carriage cap your liability at £1,300 per tonne. For parcel couriers, that weight-based calculation rarely covers the actual value of what’s being carried. A 500g laptop parcel worth £800 generates almost nothing under RHA conditions alone
- →Per-parcel limits are the most commonly misunderstood part of a GIT policy. The policy might show a total cover of £25,000, but each individual item may only be covered up to £150 or £500. If your van is broken into with 60 parcels inside, those per-item caps apply to each one individually
- →Claims are regularly declined for three reasons: the vehicle wasn’t locked, the packaging was inadequate, or the incident wasn’t reported quickly enough. All three are within your control
Key Takeaways
- →GIT is not a legal requirement, but it’s commercially essential. Major parcel networks including DPD, Amazon Flex, Evri, and DHL all require couriers to carry a minimum level of GIT cover before they’ll take you on. You’re not just protecting yourself, you’re meeting a contractual obligation
- →Standard courier GIT policies typically run from £100 to £250 per year for a £10,000 to £25,000 cover limit. For a self-employed courier doing parcel deliveries, that’s less than £5 per week to avoid being personally liable for the load in your van
- →The 2026 RHA Conditions of Carriage introduced specific changes couriers need to know about. Carrier liability for fire now only excludes situations where the fire was caused by the customer or consignee. Carriers are explicitly liable for loss or damage following a road incident. These changes affect how your GIT policy should be structured if your contracts incorporate RHA conditions
- →Fragile goods, electronics, and high-value consignments need specific attention before collection, not after something goes wrong. Many standard GIT policies exclude electronics, glass, and other fragile categories unless they’re specifically declared. Don’t assume a generic policy covers the most valuable items in your van
💬 From the MMC Courier Insurance Team | FCA Reg. 916241
“The most common situation we see is a courier who’s had a van break-in, lost 40 or 50 parcels, and the claim comes back much lower than expected because the per-item limit is £150 and half the parcels contained electronics. The total cover looked fine on the certificate. The individual item limit is what actually determined the payout. The second most common issue is a theft claim that gets declined because the vehicle was left running while the driver was at the door. Locked, alarmed, keys removed, no sign of forced entry required, all of that is in the policy conditions for a reason.”
Every parcel in your van while you’re out on a round has a value. Most of them are someone else’s property. If a parcel is stolen, damaged in a collision, or goes missing between pick-up and delivery, you’re the one who carried it last, and the responsibility for making good on that loss sits with you unless you have GIT insurance in place to cover it.
This guide covers what GIT insurance actually covers, how the RHA Conditions of Carriage work and why they matter to parcel couriers, what per-parcel limits mean in practice, how to handle fragile goods and high-value consignments, and what to do if you need to make a claim.
Why van insurance doesn’t cover the goods in your van
Your courier hire and reward van insurance covers the vehicle itself and your legal liability for what happens on the road: damage to other vehicles, injury to third parties, and cover for your own van if you have comprehensive. The moment you ask it to cover the parcels loaded in the back, the policy stops. Those are two completely different risks, covered by two completely different products.
Think of it this way: if your van is hit from behind at a roundabout, your van insurance pays for the repair to the vehicle. If the collision damages a load of parcels in the back at the same time, that’s a separate event requiring a separate claim on a GIT policy. One incident, two policies, two different claims processes.
This matters because many couriers start out assuming their van policy is sufficient. Some courier insurance policies include a basic GIT extension with very low limits, typically £500 to £1,000. If you’re relying on that extension rather than a standalone GIT policy, check the per-item limits and the total load limit carefully. For most parcel couriers, those bundled limits won’t be adequate. For more on the van insurance side, see our guide to van insurance.
What goods in transit insurance covers
A standard courier GIT policy covers the goods you’re carrying against loss, theft, and accidental damage from the moment of collection until delivery. The main insured events are:
- Theft from the vehicle. Theft during a delivery round where your van is locked, the keys are removed, and there’s evidence of forced entry. If the van is left unlocked or keys are left in it, the policy almost certainly won’t respond
- Accidental damage in transit. Parcels damaged in a collision, during emergency braking, or through a vehicle incident. Some policies also cover handling damage during loading and unloading, but this varies and needs confirming in the policy wording
- Loss in transit. Parcels that go missing and can’t be accounted for or delivered. Most policies require you to be able to demonstrate the parcel was collected and entered into your vehicle, not just that a client says it wasn’t received
- Misdelivery. Goods delivered to the wrong address and not recoverable. Subject to policy conditions and limits
What the policy typically does not cover:
Theft without forced entry
If something is taken from an unlocked van, a van left with windows open, or a vehicle that shows no sign of break-in, the claim will typically be refused. This includes leaving your van open while doing a doorstep delivery.
Inadequate packaging
If damage is caused by poor or insufficient packaging rather than an insured event, the claim can be declined. Items packed in single-layer cardboard that arrive broken after a long multi-drop round are a borderline area insurers will scrutinise.
Excluded goods categories
Cash, jewellery, precious metals, fine art, antiques, live animals, and hazardous materials are excluded by most standard GIT policies. Electronics and fragile goods may also be restricted or require specific declaration. Always check what categories your policy covers before accepting consignments.
Delayed notification
Most GIT policies require claims to be notified within a specific window, typically 7-14 days of discovery. Missing this deadline can result in a claim being refused regardless of its validity.
Unexplained stock shortages
Parcels that go missing with no trace of how or when they disappeared, and no evidence of a specific insured event, are generally not covered. A scan record showing collection but no trace of an incident is a grey area that different insurers handle differently.
Goods left unattended overnight
Many policies exclude cover for goods left in a vehicle overnight unless the vehicle is parked in a locked building or secure compound. An alarmed van on a residential driveway is typically not sufficient for overnight GIT cover on most standard policies.
The RHA Conditions of Carriage: what they mean for courier liability
The RHA Conditions of Carriage are standard contractual terms used across UK road transport that govern what a carrier is legally liable for when goods are lost or damaged. They are not insurance. They define your liability. The current version is the 2026 update. Most courier subcontract agreements reference RHA conditions, which means if you’re working for a larger network, you’re probably already operating under them without necessarily knowing it.
The key figure: under standard RHA conditions, a carrier’s liability is capped at £1,300 per tonne of gross weight for goods that are lost, damaged, or wrongly delivered. For parcel couriers, this weight-based calculation rarely reflects actual parcel values.
A worked example: a 500g parcel containing an £800 laptop. Under RHA conditions, that parcel weighs 0.0005 tonnes. The maximum RHA liability is £1,300 per tonne, meaning the RHA-calculated liability on a 500g parcel is just £0.65. Without full-value GIT insurance behind it, the courier is personally liable for the difference between that notional sum and the actual replacement cost of the laptop.
Key changes in the 2026 RHA Conditions of Carriage
The 2026 update made several substantive changes that affect how GIT policies need to be structured for couriers operating under RHA terms:
Fire liability narrowed
Carrier liability for fire is now excluded only where the fire was caused by the customer or consignee. Previously broader exclusions for fire no longer apply. This increases carrier liability in most fire scenarios and should be reflected in GIT policy terms.
Road incidents now explicit
Carriers are now explicitly liable for loss or damage to goods following a road incident. This was implied previously but is now stated directly in the 2026 conditions, closing a potential ambiguity in liability disputes.
Loading responsibility clarified
Carrier liability for loss or damage during loading or unloading is now explicitly excluded unless the carrier has agreed in writing to take responsibility for loading. If you collect pre-loaded goods, confirm in writing who bears the loading risk before transit begins.
Charge waiver on carrier fault
A new condition states that where the carrier is responsible for loss, misdelivery, or damage, the customer is not liable to pay the carrier’s load charges for that consignment. Redelivery charges remain payable by the customer if they request redelivery.
Source: RHA Insurance Services, February 2026. Only RHA members are authorised to use RHA Conditions of Carriage. Non-members using them may face copyright infringement claims.
RHA conditions versus full-value GIT: which do you need? An RHA conditions GIT policy pays claims based on the weight-based RHA liability calculation. It’s cheaper and suitable for hauliers carrying dense, heavy freight where the weight calculation generates meaningful compensation. Full-value GIT (sometimes called “all risks” or “full responsibility” cover) pays claims based on the actual declared value of the goods. For parcel couriers carrying lightweight, high-value items, full-value cover is almost always the right choice. The weight calculation under RHA conditions generates negligible compensation on most parcel consignments.
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Per-parcel limits: why total cover isn’t the number that matters most
This is the part of a GIT policy that most couriers don’t fully understand until they make a claim and find the payout is far lower than expected.
A GIT policy has a total load limit, the maximum the insurer will pay across all parcels in a single incident. It also has a per-parcel or per-item limit, the maximum the insurer will pay for any single parcel in that incident. These are two different numbers, and the per-item limit is what determines individual claim payouts.
How per-parcel limits work in a van theft scenario
Van broken into. 50 parcels stolen. Total policy cover is £25,000. Per-item limit is £150.
25 low-value parcels
£75/parcel average
Full value paid on each. Per-item limit not triggered. Payout: £1,875
25 higher-value parcels
£400/parcel average
Capped at £150 per parcel. Payout: £3,750 not £10,000. Shortfall: £6,250
Total theft claim
£5,625 paid
Actual value lost: £11,875. The £25,000 total limit was never the issue
This scenario plays out regularly for couriers delivering for parcel networks where the declared content of each parcel isn’t known at collection. You’re carrying whatever the sender packed. If the consignment mix includes electronics, clothing, and household goods, the per-item limits on a basic policy will catch you on the electronics claims.
The solution is straightforward: when comparing GIT policies, check both the total load limit and the per-item limit, and make sure the per-item limit matches the value profile of what you typically carry. A policy with a £500 per-item limit costs more than one with a £150 limit, but for a courier who regularly handles parcels worth several hundred pounds each, the additional premium is justified by the difference in claim settlements.
Fragile goods, electronics, and restricted categories
Many standard GIT policies treat certain categories of goods as restricted or excluded, meaning the normal policy terms don’t apply to them without a specific endorsement or declaration. The most common restricted categories are:
| Goods type | Standard policy treatment | What to do |
|---|---|---|
| Electronics (phones, laptops, tablets) | Often restricted or excluded; lower per-item limits common | Confirm electronics are covered and check per-item limit before accepting regular electronics consignments |
| Glass and fragile items | May require specific fragile goods extension; packaging conditions often strict | Check whether fragile goods are covered and what packaging standard is required. Damage claims are routinely disputed on packaging adequacy grounds |
| High-value single consignments | Per-item limits apply. Single items above £500-£1,000 may need declared value | Notify your insurer before collecting any single item valued above your per-item limit. Don’t wait until after the loss |
| Perishable goods | Often excluded from standard GIT policies; food delivery requires different cover | If you deliver food or temperature-sensitive goods, confirm your policy specifically includes this category or arrange appropriate cover |
| Cash, jewellery, precious metals | Almost universally excluded from standard GIT policies | Decline to carry these items unless you have specialist high-value goods cover. Standard GIT policies will not respond to losses in these categories |
For fragile goods specifically, the packaging question is where most claims disputes land. A GIT policy covers goods against insured events in transit, but if the packaging is inadequate for the type of goods being carried, and the damage is consistent with what would be expected from normal transit forces rather than a specific incident, the insurer can decline the claim on the grounds that the damage was caused by packaging failure rather than an insured event.
The practical position: you generally can’t control how a sender has packaged a parcel. What you can control is whether your policy has the right terms for the goods you’re carrying, and whether you document the condition of parcels at collection, particularly any that look insufficiently packaged when you receive them.
High-value consignments: what to do before collection
A high-value consignment is any single item or shipment that exceeds your per-item limit. For most standard courier GIT policies, this threshold is somewhere between £500 and £1,000 per item. The moment you accept a consignment worth more than that limit without any additional arrangement, you’re carrying an uninsured excess.
Most GIT policies allow you to declare a higher value for specific consignments, typically for an additional premium. The process is straightforward:
- Contact your insurer or broker before collection, not after the event
- Declare the specific consignment, its value, and any relevant details about the goods
- Confirm the additional cover is in place and noted on your policy
- Keep all documentation: the declaration, the insurer’s confirmation, the collection evidence
For one-off high-value collections, this process is manageable. For couriers who regularly handle high-value goods, it’s worth arranging a policy structure with a higher per-item limit from the outset, rather than relying on individual declarations each time. The premium difference between a £500 per-item limit and a £2,000 per-item limit is typically modest on an annual courier GIT policy.
How to make a goods in transit claim: the process step by step
GIT claims follow a reasonably consistent process across most UK providers, but the steps you take immediately after discovering a loss or damage can significantly affect whether the claim succeeds.
Report immediately
Contact your insurer as soon as you discover the loss or damage. Most policies specify notification within 7 days of discovery. For theft, report to police first and get a crime reference number before contacting the insurer. The crime reference is a key piece of evidence.
Document everything before touching anything
Photograph the vehicle, the load, all packaging (including the inside and outside of damaged boxes), and any evidence of forced entry. Take multiple angles. These photos are the primary evidence the insurer will use to assess the claim. Don’t throw away packaging until the claim is resolved, even if it looks undamaged.
Gather proof of value
The insurer will settle based on the value of goods at the time of loss, not their retail price. Proof of value includes supplier invoices, purchase receipts, or assessment of current market value for used items. For goods you didn’t purchase yourself, contact the sender for their purchase documentation. Without proof of value, the insurer will settle at their own assessed figure, which may be lower.
Don’t repair or dispose before authorisation
Don’t repair damaged goods, arrange disposal, or return them to the sender before getting explicit authorisation from the insurer. If damaged goods are disposed of before the insurer can assess or recover salvage value, you may lose part of the claim. If the insurer authorises disposal, get that in writing.
Submit the claim form with all evidence
Complete the insurer’s claim form and attach all supporting documentation: crime reference number (theft), photos of damage and packaging, proof of collection (scan records, delivery manifests), proof of value for each item, and any correspondence with the sender or client. A complete, well-evidenced submission processes faster and is less likely to attract requests for additional information that delay settlement.
One practical point on timing: under the RHA Conditions of Carriage, claims for visible damage or loss must be made within specific timeframes. Most GIT policies align their notification requirements with these, but your policy document will confirm the exact deadlines. Missing the notification window is one of the most avoidable reasons for a claim being refused.
Disclaimer: This article is for general information only and does not constitute insurance or legal advice. GIT policy terms, cover, exclusions, and claim processes vary between providers. Always read your policy document in full and seek advice from an FCA-regulated broker for guidance specific to your operation. MyMoneyComparison.com Ltd is authorised and regulated by the Financial Conduct Authority (FCA), registration number 916241.
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| →Courier Insurance | →Van Insurance |
| →Hire and Reward Insurance for Couriers | →What Is Courier Insurance? |
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Last updated: May 2026
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