Freight Loss and Cargo Claim Procedure

Logistics professionals take on a very important responsibility when it comes to the safe arrival of goods and merchandise for your clients. Whether products travel by truck, rail, air or sea, contingent cargo insurance protects valuable cargo from a variety of potential losses. Whenever a loss does occur, its important to follow the proper cargo claim procedure in order to properly credit the customer for the loss. It always pays to have coverage in the event there are damaged, stolen or lost goods.

You should understand that failing to properly provide protection could ruin what was once a great relationship with a vital customer. This will often lead to stress and losses related to any resulting legal fees. You may have a tough time bouncing back from these types of losses, unless you’ve secured the necessary contingent cargo coverage.

Claims procedures are not difficult to follow

You must garner the necessary coverage from asset-based carriers who take responsibility for such claims. They will generally then take the reins whenever you’re responsible for any claim. This tends to be the case when the motor carrier denies or refuses the claim. Someone must be held responsible once the claim has been processed with the motor carrier due to any number of reasons (i.e., deductions, exclusions, or limits), stating that the claim is not fully indemnified to the satisfaction of the shipper.

Its vital that, as the logistics coordinator, freight forwarder, or the person charge in charge of the safe passage of the freight, that you document the condition of the cargo upon delivery. Make clear exceptions on the delivery receipt noting any loss or damage to the cargo and/or the packing or containers and advise your customer to do this as well. Preserve all packing, damaged goods and seals until advised otherwise by a claims representative.

Whether arranging for the transportation of goods across the nation or around the globe, there’s always a chance the product wont make it to its destination or may become damaged in transit. Thefts, accidents, even sinking vessels can wreak havoc to the bottom line of any company. To protect against these losses, a customized contingent cargo insurance program is essential.

Contingent cargo insurance protects both the assets and the reputation of the your company, and it enhances and protects relationships with customers. Following the cargo claim procedure makes the process run much more smoothly.

 

Why Company Directors Are Facing More Lawsuits

Investing in appropriate company directors liability insurance has always been a sign of responsible company leadership. This has become even more important in recent years, as corporate management in the United States is facing increasing scrutiny from regulatory agencies, shareholders and the general public.

 

Mergers and Acquisitions

 

Because of findings that many directors and officers failed to fulfill their fiduciary responsibilities regarding mergers and acquisitions and other types of high-level business transactions, regulators and shareholders have started to review these executives’ decisions more rigorously. These investigations have resulted in higher numbers of federal citations and shareholder derivative lawsuits.

 

Security Breaches

 

It seems that security breaches and privacy concerns are now a regular part of daily news. From Target’s information leaks to the Heartbleed bug, security issues are everywhere—and company executives and directors are the ones who must ultimately answer for them. These breaches could provide grounds for a myriad of lawsuits, which could lead to huge expenses for a company.

 

Regardless of the current business, economic or political climate, executive liability poses a constant threat for corporations. Any lawsuits, regardless of merit, can lead to years of expensive legal battles that can quickly drain the coffers of a company with inadequate insurance policies. To guard against this, make sure that your company carries sufficient company directors liability insurance to cover any potential litigation costs.

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