Freight insurance API: how FreightInsure embeds goods-in-transit cover into your platform

A freight insurance API connects shipping software directly to an insurance provider's platform, automating cargo cover at the moment of booking. Instead of separate portals, phone calls, or annual policy renewals, platforms can quote, bind, and issue cover in a single transaction. This article covers how Australian transport companies, freight platforms, and shippers use API integration for goods-in-transit insurance, with a focus on FreightInsure's API.

Freight insurance differs from carrier insurance in one key way: it covers the shipper's declared cargo value, not just the carrier's capped liability. Under Australian standard trading conditions, road carriers commonly limit liability on a per-kilogram basis through consignment note terms. International sea freight under the Hague-Visby Rules is capped at 2 SDR per kg or 666.67 SDR per package, whichever is higher — a fraction of most cargo values. A Sydney-to-Melbourne truckload of electronics valued at AUD 80,000 can easily exceed contractual carrier caps, leaving the shipper exposed. FreightInsure embeds freight insurance into a transportation management system, freight booking platform, or carrier portal, issuing per-consignment cover that closes these gaps. For a full breakdown of the gap, see carrier liability vs freight insurance.

Why freight insurance APIs matter for Australian freight and logistics

Australian freight carries elevated risk from long distances, remote corridors, and environmental factors. Road shipments cross thousands of kilometres of variable conditions. Theft hotspots in NSW and VIC drive significant cargo losses each year. Air and sea shipments from ports like Sydney or Melbourne face cyclone risk, contamination, and pilferage.

Most shippers rely on limited carrier insurance or basic liability caps:

• Road carriers cap liability through standard trading conditions, typically on a per-kilogram basis defined in their consignment note terms
• International sea freight operates under Hague-Visby caps that rarely match high-value cargo
• Higher-value shipments in electronics, perishables, or machinery often exceed AUD 50,000, creating significant exposure
• Disputes over underinsured cargo frequently end up in tribunals like NCAT

Goods-in-transit insurance provides financial protection against loss, damage, or theft of goods while they are being transported. It can be tailored to cover specific shipments, allowing businesses to insure each consignment individually rather than through an annual policy.

API-driven freight insurance creates on-demand, per-shipment cover instead of relying only on annual policies. Inside the booking flow, automation removes the separate insurer portal step, cuts manual insurance administration, and clarifies risk allocation between carrier and shipper.

How a freight insurance API works in your booking flow

When a user creates a shipment in their TMS or platform, the system sends shipment details to the API. A typical request includes data like this:

The API validates data against underwriting rules — checking for prohibited goods, lane eligibility, and value thresholds — then prices the risk using factors like distance, mode, commodity, and historical claims patterns.

The response returns a quote payload containing:

• Premium amount in Australian dollars
• Coverage terms and conditions
• Per-shipment price
• Policy reference for binding

At checkout, insurance can appear as a toggleable option next to freight costs. Once bound, the API issues a policy certificate. No annual reporting cycle. No separate paperwork.

With FreightInsure, coverage is issued per consignment, with domestic limits up to AUD 100,000 and international limits up to AUD 50,000 per shipment. For more on how premium is calculated, see how much is freight insurance and how it is calculated.

FreightInsure API: key features for platforms and carriers

FreightInsure is an API-first, embedded freight insurance solution headquartered in Sydney. The platform serves transport companies, 3PLs and 4PLs, insurance brokers, and technology platforms that want to offer cover at the point of booking.

Core product attributes:

• Goods-in-transit insurance covering loss, damage, and theft
• Zero excess on claims
• Per-shipment pricing in AUD
• Available to Australian residents and entities only
• Domestic coverage limit: AUD 100,000 per shipment
• International coverage limit: AUD 50,000 per shipment

In Australia, policies are underwritten by Assetinsure Pty Ltd (60%) and HDI Global Specialty SE (40%). The product is regulated by ASIC, with AFCA as the external dispute scheme. FreightInsure also offers cover for shipments originating in New Zealand, underwritten by HDI Global Specialty SE (NZ branch). NZ and AU operate as separate markets with separate licensing and underwriting arrangements; eligibility is restricted to residents and entities of the relevant country.

Built for developers

Engineers integrating freight insurance into a TMS or booking platform work with a modern REST API over HTTPS. JSON payloads. Standard authentication. A sandbox environment for testing before production.

Typical workflow:

1. Submit shipment data, receive a premium quote
2. Confirm coverage, receive policy ID and certificate
3. Retrieve claim status when needed

Documentation, sandbox credentials, and integration support are provided directly to partners during onboarding. To start, book a demo.

Zero compliance and claims handling load on your team

Many Australian freight platforms prefer to avoid holding an insurance licence due to AFSL obligations under the Corporations Act. AFSL holders carry significant ongoing responsibilities — training, internal dispute resolution, ASIC reporting, and product governance.

FreightInsure holds the required licence and manages compliance, policy wording, and regulatory reporting. Partners avoid AFSL burdens entirely.

FreightInsure administers claims directly with the insured party. The process:

1. Submit claim online via the form
2. Documentation upload (photos, carrier statements, police reports where applicable)
3. Assessment by the FreightInsure claims team
4. Payment direct to the insured

Customer support teams at partner platforms refer users into the claims process rather than handling loss assessment themselves. For a full walkthrough of what the customer experiences, see how to make a freight claim in Australia.

Where freight insurance APIs plug in: TMS, platforms, and carrier portals

Australian freight relies on systems like WiseTech's CargoWise, proprietary carrier TMS platforms, booking platforms such as Shippit, and carrier portals from operators like Toll and Linfox.

A TMS can use the API to show opt-in freight insurance alongside lane pricing, fuel surcharge, and accessorials. For a Sydney–Perth lane, the display might show AUD 500 freight plus an insurance line item, giving users control over the cover level.

Marketplaces and digital freight forwarders embed freight protection on domestic and export lanes. Carriers can offer API-driven freight insurance as an add-on to their standard liability cap, giving customers the option to insure the declared value rather than the contractual cap — and turning protection into a revenue line instead of a cost centre.

3PL and 4PL control towers that manage freight across multiple carriers and modes integrate the API to apply consistent insurance rules regardless of which carrier handles the shipment.

Example user journeys inside a platform

Ecommerce shipper booking a carton shipment

A small business ships a carton from Melbourne valued at AUD 5,000. During the booking flow, the platform displays an insurance option. The shipper toggles it on at checkout. Cover binds and the certificate emails through automatically.

3PL operator quoting a pallet load

A 3PL quotes a NSW pallet delivery valued at AUD 30,000 through their TMS. Freight insurance appears as an opt-in line on the quote. The cover protects the cargo beyond the carrier's contractual liability cap.

Freight broker booking international airfreight

A broker books Melbourne-to-Auckland airfreight for cargo valued at AUD 45,000. The API applies the AUD 50,000 international limit and returns a per-shipment price. The policy issues with the booking and the certificate attaches to the shipment documentation.

Revenue and margin opportunities from embedded freight insurance

Embedded insurance converts existing shipment volume into a new revenue line. Platforms and carriers can earn on every insured booking rather than absorbing claims disputes as a cost.

Revenue models vary by partner and are agreed during onboarding. Common structures include per-shipment commissions and white-label arrangements where partners brand the offer under their own name while FreightInsure manages the underlying cover, compliance, and claims.

Revenue scales with attach rate, shipment volume, and average declared value. Embedding insurance at checkout also reduces buyer friction compared to a separate insurance portal — the cover is one toggle, not a separate purchase.

Cover configuration and pricing control

Partners configure which shipments are eligible for freight insurance based on:

• Lane eligibility (e.g., insure Sydney–Melbourne, exclude remote NT)
• Value bands (e.g., show insurance only for cargo above AUD 5,000)
• Customer segments (e.g., offer to retail customers, auto-include for enterprise clients)

Per-shipment pricing allows fine-grained control instead of a one-size annual premium. Partners decide how insurance is presented at checkout: default-off with opt-in, threshold-triggered display, or mandatory for certain commodity types.

Pricing levels, margins, and marketing copy need to comply with Australian financial services regulations and FreightInsure's partner guidelines.

Claims via API: turning incidents into a predictable workflow

Fast, predictable claims handling is central to freight insurance value. The typical FreightInsure claims process:

1. Notification — insured party files online
2. Documentation — photos, carrier delivery notes, police reports where applicable
3. Assessment — FreightInsure reviews evidence against policy terms
4. Payment — direct to the insured, zero excess, up to policy limits

FreightInsure policies carry zero excess and clear per-shipment limits (AUD 100,000 domestic, AUD 50,000 international), making claim outcomes predictable. For an example of how this plays out in practice, see the Clique Logistics case study.

Data, reporting, and logistics risk insights

Platforms can use claims data to improve their operations:

• Claim reasons breakdown (damage, theft, loss percentages)
• Lanes with higher incident frequency
• Shipment value distributions across insured consignments

Product teams can build views like lane-risk heatmaps or monthly incident summaries from the data. To see what aggregate Australian freight claims data looks like, explore the freight claims map.

Aggregated claims data can inform changes like:

• Adjusting packaging standards for high-incident commodity types (see packaging guidelines)
• Reconsidering carrier selection on problem routes
• Setting appropriate insurance thresholds for different customer segments

This data is general logistics risk information, not personalised financial advice.

Implementation checklist for integrating the FreightInsure API

Product and engineering teams planning integration typically follow these steps:

Security and compliance considerations include:

• API authentication and credential management
• Data privacy compliance under the Australian Privacy Principles
• Audit logging for all insurance transactions
• Error handling and retry logic

A staged rollout reduces integration risk and lets teams validate the quote flow, certificate generation, and claims hand-off before going live across all traffic.

To request sandbox access and technical documentation, contact the FreightInsure team.

Regulatory context and general advice disclaimer

FreightInsure operates under an Australian Financial Services Licence and provides general advice only. Under the Corporations Act 2001, general advice means factual product information that does not consider any individual reader's objectives, financial situation, or needs.

This differs from personal advice, which would involve evaluating whether a product suits a specific person's circumstances. FreightInsure's AFSL does not authorise personal advice, so this content describes features, limits, and processes without recommending action to any particular reader.

Any references to New Zealand are factual product disclosure only. FreightInsure does not hold a New Zealand financial services licence, and nothing in this content constitutes financial advice in the NZ context.

This information is general only and does not take into account your personal circumstances. Read the Product Disclosure Statement (PDS), TMD and FSG before deciding whether the product is appropriate.

To explore how freight insurance API integration works for your platform, book a demo or contact the FreightInsure partnerships team.