What type of insurance protects the transporter in the event of damaged or lost freight?

The appropriate type of insurance that protects the transporter in the event of damaged or lost freight is Motor Truck Cargo Insurance. This specialized insurance is designed specifically for trucking companies and freight carriers, covering goods held in transit. It ensures that if the cargo is lost, damaged, or destroyed due to covered perils such as accidents or theft, the transporter can recover the financial losses incurred. This type of coverage is critical for businesses that rely on the transportation of goods, providing them peace of mind and financial protection against potential liabilities related to cargo.

Other types of insurance listed do not fulfill this specific need. Comprehensive Auto Insurance generally pertains to vehicle-related incidents but does not cover cargo. Liability Insurance typically protects against claims for bodily injury or property damage arising from business operations rather than specifically addressing cargo loss or damage. Homeowners Insurance is intended to cover personal property and liabilities associated with a person's home, making it irrelevant for transport-related scenarios.