• By Raymond Momanyi

The Difference Between Motor Commercial – Own Goods and Motor Commercial – General Cartage

What happens if you carry somebody else’s goods with the wrong cover, how a carrier’s liability cover plays in, and the valuable policy extensions you’ll want. Let’s get real.

1. Own Goods vs General Cartage – what’s the deal?

Own Goods

This cover is for vehicles that transport goods that belong to you (the insured business) as part of your own operations. In other words: you’re hauling your stuff. 

Key points:

• It includes accidental damage, fire, theft, and liability to third parties (bodily injury or property damage arising from use of the vehicle). 
• It does not cover carriage of goods for hire or reward (i.e., you may not be transporting third-party goods for payment under that cover). 
• Can be structured at various cover levels: Comprehensive, Third Party Fire & Theft (TP&F&T), Third Party Only (TPO). 

General Cartage

This cover is for vehicles used in the business of transporting goods belonging to third parties (i.e., for hire or reward – you get paid for moving someone else’s stuff). 

Key points:

• Cover includes damage to your vehicle (if you pick Comprehensive option) and liability to third parties. 
• The “hire or reward” piece is critical: your vehicle is in the business of carriage of goods for others.
• Because you're in the logistics/haulage business, the risk profile is higher than owning your own goods only.

Side-by-side in plain Gen-Z speak

• Own Goods = you’re carrying your stuff; you’re the business owner shipping your own inventory, materials, etc.
• General Cartage = you’re carrying someone else’s stuff; you’re the transporter, the logistics arm, paid to move goods.
• If you’ve taken an Own Goods policy but do general cartage (carry for pay) — you’re operating outside the intended scope. Risk alert.

2. What about Comprehensive vs Third-Party & what changes with each?

Both Own Goods and General Cartage can be under different cover scopes:

• Comprehensive: covers damage to your vehicle (accident, fire, theft, etc) and third-party liability (bodily injury/death, property damage) plus any other extras your insurer provides. 
• Third Party Fire & Theft (TPF&T): you’re covered for liability to third parties + fire/theft of your vehicle, but not for all vehicle damage. Example: if you crash your truck into a ditch, that damage might not be covered. 
• Third Party Only (TPO): The bare minimum – covers liability to third parties (injury/death, damage to their property) but not damage to your own vehicle. 
  
  So: Always check what level you bought. If you’re hauling heavy, for pay, and have only TPO – you’re exposed.

3. Your scenario: I insured for Own Goods but I carry goods for pay and I lose the client’s goods – what happens?

This is a danger zone. Here’s the breakdown:

• You took Own Goods cover → meant for your goods, not for carrying others’ goods for hire/reward.
• You did carry for pay (you transported third-party goods). So you’re outside the scope of your insured purpose.
• If the client’s goods are lost/damaged: your Own Goods policy likely does not cover the client’s goods (because they’re not yours). Many Own Goods policies explicitly exclude “loss of or damage to the contents being carried in or on the vehicle” under the vehicle’s insurance. 
• Also, because you’re operating as a carrier for hire when your cover was set up for your own goods, the insurer might say “this is not what we insured you for” → they could decline a claim entirely, or reduce payout.
• You could be liable to your client (contractual liability) for the loss of their goods, and your motor policy won’t help. You need carrier’s liability / goods-in-transit / indemnity to cover that gap.

Bottom line: you’re exposed – you’ve taken the wrong variant of insurance. If you get caught in a claim, you may bear the cost yourself. Not cool.

4. How does Carrier’s Liability Insurance complement General Cartage?

So you switch to the correct base cover for your business: you’re in cartage (hauling others’ goods). But even then: your motor commercial policy (General Cartage) covers your vehicle and your liabilities (third-party injury/property damage) while you’re using the vehicle. It often doesn’t cover the goods you’re carrying or the contractual liability you took on toward the cargo owner.

That’s where Carrier’s Liability (also known as Carrier’s Legal Liability) steps in:

• This cover protects you against claims arising from damage or loss of the goods you’re transporting — owned by third parties, under your care, custody or control.
• Example: you pick up a client’s shipment, you transport it, there’s an accident causing spoilage/damage/theft of that shipment. Your motor policy may cover your truck, but might exclude the cargo-owner’s goods. The carrier’s liability policy picks up the cargo side.
• It thereby compliments your General Cartage cover: the motor cover protects the truck and general liability exposure; carrier’s liability covers the exposure associated with the goods you’re hiring/rewarded to carry.
• Some insurers bundle or offer it as an extension; others sell separately. Good hauliers and logistics operators ensure they have both. Without it, you might pay for damage to a client’s goods out of pocket, even if your motor cover paid for the truck.

In short:

Motor Commercial (General Cartage) = your vehicle + general liability
 Carrier’s Liability = the goods you carry + contractual liability to your client

5. Other policy extensions you can add to your Motor Commercial cover

Because you want your business to be resilient, right? Here are popular extras you’ll want to ask your broker (yes, you can come by us at Imana Insurance Agency Kenya Ltd and we’ll check the market). These extensions can make the difference between “lost money” and “we survived”.

• Goods in Transit cover – covers the goods you are carrying (either your own or third-party) against perils in transit (accident, theft, fire etc).
• Excess Protector – covers the excess you have to pay in the event of a claim, so you’re not left with big out-of-pocket. 
• Political Violence & Terrorism cover – extended cover should your vehicle/consignment be affected by riots, strikes, sabotage, terrorism. 
• Tracking device / telematics discount – insurers offer reduced premiums if you install GPS tracking, telematics on your fleet – better risk management. 
• Driver & Loader Personal Accident cover – covers drivers and load-handlers in case of injury/death during operations. 
• Windscreen/Glass cover – separate for large trucks, windshields, container glass, especially if you’re in risky routes. 
• Container/Equipment cover – if you transport containers or special equipment, you may need cover for them.
• Legal costs / defence costs cover – if you face legal action from third parties or clients for cargo damage.
• Cross-border/COMESA cover – if you haul across Kenya’s borders (EAC/COMESA region), make sure motor cover and cartage cover extend to those jurisdictions. mykava.co.ke
• Loss of use / business interruption – for high-value vehicle fleets: if your truck is off the road, you need cover for lost income.
• Trailers and attached equipment – ensure they’re declared and covered; sometimes there’s an exclusion.
• Unladen transit cover – when truck is moving without load but still on job, some policies restrict; clarify.
• Overload clause/risk‐mitigation – watch for exclusions: damage caused by overloading, strain, improper maintenance etc often excluded. 

6. Final words + actionable next steps

Alright — so you’re a true logistics-player, you’re moving trucks, trailers, cargo. You’ve got to match your purpose of use and goods type with the right cover:

• If you move your own business goods → Own Goods cover.
• If you move goods for other people (you’re paid) → General Cartage cover plus carrier’s liability (and ideally goods in transit).
• Check your cover level: Comprehensive is best if you can afford it, but at least TPF&T if you want more than bare minimum.
• Make sure you add the right extensions: especially tracking, goods in transit, carrier’s liability, cross-border.
• Review your policy wording: watch for exclusions (overloading, driver under influence, improper maintenance, goods excluded, outside-territorial limits).
• If you currently have Own Goods cover but you’re doing General Cartage work → stop, talk to your broker immediately, adjust your policy. Because if something goes wrong, you might be on the hook.

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Courtesy of Imana Insurance Agency Kenya Ltd, Website - www.imana.co.ke and www.mykava.co.ke, WhatsApp - +254 796 209 402 or +254 745 218 460