Warehouse-To-Warehouse Clause

Santa had a lot of kids (centuries of roaming the world, running into a lot of lonely, single moms), and eventually the names just started getting weird.

Financially speaking, warehouse-to-warehouse clause refers to an insurance provision covering an item in transit.

Your product is ready to ship to your client. You put on a truck at your warehouse. The truck takes it to your client’s warehouse.

You have a warehouse-to-warehouse clause. Which means that, while your product is traveling, the insurance company has it covered. You know, in case the driver veers off the road while peeing in a bottle, or the shipment gets hijacked by Jimmy Three Guns.

The clause is necessary, because the trip form your place to your client’s place represents a possible loophole. The product isn’t on your property. It isn’t on theirs. Whose business insurance (if any) covers it while moving from place to place? The warehouse-to-warehouse clause closes this loophole.