US Ravens Logistics


  • Track a Shipment

  • Agent Portal

    Log In

Confusing Logistics Terms You Need to Know

Commonly Confusing Logistics Terms You Need to Know

Every industry has its unique set of terminologies relative to its field. To an outsider, they could appear as a “foreign language.” And Logistics is not any different. The jargon of this sector is made up of thousands of logistical phrases. Sometimes, the logistics sector seems like an alphabet ocean of acronyms. Keeping up with the highly technical terms used in logistics can be challenging, particularly when switching between different specialties like trucking and importing.

Therefore, you can bookmark this guide to ensure you’re always fluent in logistics. Knowing essential terminologies can help you choose your company’s finest logistics workflows and software solutions and make decisions that will benefit your customers and the bottom line.

5 Commonly Confusing Logistics Terms Every Beginner Must Know

It could be overwhelming to jump headfirst into a new industry, especially in logistics and transportation. It may seem daunting initially to understand the typical terminologies and industrial jargon used during conversations.

So, we have compiled a list of 5 commonly confusing logistics terms you must know in this industry that will help you start a conversation with your colleagues immediately!

General Liability

General liability insurance covers damages and injuries that occur as a result of your business operations. It includes two main types of coverage:

Each Occurrence: Each Occurrence refers to a single event that results in bodily injury or property damage.

General Aggregate: General Aggregate refers to the total amount of covered losses that can occur during a policy period.

Automobile Liability

Automobile liability insurance covers damages or injuries that occur due to the operation of a company-owned vehicle. This type of coverage is essential for companies that utilize trucks or other vehicles for transportation.

Worker’s Compensation

Workers’ compensation insurance covers employees in the event of a work-related injury or illness. It provides benefits such as medical expenses, lost wages, and disability payments.

Contingent Coverage

Contingent auto liability and Contingent Cargo are types of coverage that protect against losses when your company is not directly responsible.

Contingent Cargo: If a third-party logistics provider you work with experiences a loss while transporting your Cargo, this insurance would protect you from expenses resulting from that loss.

Contingent Auto Liability: This coverage would protect you if a hired or non-owned vehicle used for your business operations causes damage or injury.

Professional Liability

Errors and omissions (E&O) insurance, also known as professional liability insurance, protects against claims of negligence, errors, or omissions that may arise from your business’s professional services. It is particularly critical for companies that provide consulting, advisory, or other professional services.


Whether you’re handling workers, vehicles, Cargo, or complicated operations, these logistics and transportation terms guide making insurance decisions and risk management plans. By clarifying terms like professional liability, general liability, and worker’s compensation, logistics experts can confidently negotiate this business arena and ensure a smooth flow of products and services from point A to point B.

With this knowledge, we hope you and your business can confidently navigate the logistics world and make informed decisions. If you have any further queries, you can visit our website and contact one of our logistics professionals.