HORMUZ

The overland route skips the Strait of Hormuz — what that means for cargo insurance

When the Strait of Hormuz is tense, shippers reach for war-risk cover. That is a sea-freight concern. The overland TIR route from China to Tehran West Customs does not pass the Strait — so there is no sea war-risk premium on the road corridor.

Why the road route has no Hormuz exposure

The goods never go near the Persian Gulf. They enter Iran overland at Sarakhs, in the north-east, and run to Tehran.

Origin warehouse
Origin warehouse

What the CMR cover includes

Physical loss or damage, shortage, and accident in transit, from origin loading to unloading at the Tehran customs bonded warehouse. War, sanctions and the exclusion list are checked separately.

What the shipper may top up

For high-value or fragile cargo, an all-risk policy on top. Who declares and who claims after an incident should be written down.

No published rates. To get a quote, send three things: the origin hub; the destination customs (Tehran West Customs / Aprin / Mashhad); and the cargo data — HS code, gross weight in kg, volume in CBM.

FAQ

Does the overland route cross the Strait of Hormuz?

No. Entry is at Sarakhs and the cargo never goes near the Persian Gulf.

Do I need war-risk insurance for road freight?

Not sea war-risk. Physical loss and accident on the road are covered by the CMR transit policy.

What does your transit insurance cover?

Loss, shortage and accident in transit, from loading to unloading at Tehran Customs, up to USD 250,000 per trailer.

Who claims if cargo is damaged?

Per the Incoterm and the policy: the party bearing the risk, or its nominee, declares and claims; write the process into the contract.

Related: Road, sea or rail compared · First China–Iran shipment checklist · China to Iran road freight overview

Articles