First of all, it is necessary for the shipper, seller and the buyer to insure the cargo shipment. In situations where the shipment remains undelivered – irrelevant of the causes, the shipper is the primary convict. He/she was responsible for the delivery of the shipment and he/she failed in doing so. In cases where the shipment is lost, the shipper has to clarify circumstances of the event, when the cargo was lost. If the buyer is in agreement with the shipper’s statement, both will have to mutually decide on the loss. If not, the shipper has to pay for the loss of cargo. In cases where the shipment is broken, there is no mutual consideration over the loss. It is because, the responsibility of checking the cargo and signing the BILL OF LADING lies with the shipper and broken cargo verifies that the shipper failed in checking the condition of the cargo. The conclusion deals with the shipper’s lack of attention towards delivery checking and thus the shipper is held to cover up for the loss. Thus, the buyer will have to make a claim against the seller’s insurance.