Plugged In and Protected: Cargo Liability Cover For Data Center Hardware
TecEx developed a first-of-its-kind In-Use Policy for a leading AI company deploying high-value GPU racks to a data center in Sweden. Our client needed Cargo Liability Cover for data center hardware that went further than transit protection, covering the gear while it was live, plugged in, and running mission-critical workloads.
With no local entity in Sweden and no data center insurance to protect their tech hardware, our client approached TecEx for help.
Project Type
Data Center Deployment
Import To
Sweden
Solution
Cargo Liability Cover for Data Center Hardware
Data Center Deployment With In-Use Cargo Liability Cover
The Challenges
Importing high-value AI gear across borders
Ensuring physical server protection while the hardware is operational
The client cannot act as the IOR
Risk of damage through transit and handling
TecEx Cargo Liability Cover for Data Center Hardware Solution
Once GPU racks are powered on, they face a different set of risks than they do in transit. While data centers ensure power and general site safety, they are not responsible if your equipment gets damaged, which is exactly where most coverage for data center hardware falls short. Standard marine cargo policies don’t fill that gap either. They only protect goods in motion, not while active and plugged in.
TecEx, therefore, had to step in. Leveraging our Cargo Liability Cover offering, we extended protection from pick-up to final delivery, and beyond. To get the client fully operational and protected, we needed a solution that would encompass:
- A DDP import into Sweden using TecEx as the Importer of Record, so the client never needed a local entity and could pass import risks onto us,
- Full, tailored cover from pick-up through final delivery to the data center, and
- A custom on-site policy, extending that same protection to the hardware once it was installed and running in the Swedish data center, was a first-of-its-kind application of the product.
Why DDP and Cargo Liability Cover Work Together
With our DDP solution, the client bears no import risk and needs no local entity to get hardware into Sweden. Cargo Liability Cover then protects the physical goods themselves through pick-up, transit, delivery, and installation. Together, these two specialized solutions provide end-to-end protection, giving the client a single point of contact and complete peace of mind that both the import process and physical goods are protected from start to finish.
Why The Right Cover Matters for High-Value Equipment
Cargo liability has traditionally been linked to shipment weight, which can create a significant gap for high-value tech such as GPUs that weigh little but carry substantial value.
Today, exposure is about more than a carrier’s tariff; it depends on how your shipment moves, the mode of transport, and how many hands it passes through. Every touchpoint creates another opportunity for damage or loss, making reliable cover essential for high-value equipment.
At TecEx, we tailor our Cargo Liability Cover to your shipment and can help minimize exposure through smarter transport solutions, such as dedicated full-truckload movements with fewer handling points, thereby reducing potential risks.
The Result
Standard cargo insurance typically stops once the goods arrive. It was never really designed to cover equipment once it’s installed and up and running. So, at TecEx, we built what is essentially a ‘plug-and-play’ cover that follows the hardware from pickup through to operation. The idea was to build the solution around the way our clients actually operate and the risks they face, rather than offering a fixed, one-size-fits-all solution.
Closing the Coverage Gap Between Transit and Operation
Most importers assume that once hardware clears customs and reaches its final site, the hard part is done. In reality, that is often where the risk exposure increases. Transit insurance expires upon delivery, and the site hosting the hardware, whether a data center or a colocation facility, will not assume liability for gear it does not own.
TecEx’s In-Use Policy was designed to fill that gap. It picks up where cargo insurance would end and remains active for as long as the hardware is installed and running, giving clients real physical server protection rather than a policy that expires. This is what it means to properly safeguard your physical servers.
Expanding? Let's Build Your Cover Around It
Every deployment comes with its own gear, its own route, and its own exposure. Let TecEx build a Cargo Liability Cover solution around yours, so you can scale with confidence without the risk.
