SAFE TRANSIT - Contingent Cargo

Back in 1986 we put our client-oriented philosophy to work.  The goal was to develop a top quality Contingent Cargo insurance program underwritten by a major US insurer.  We had to develop a package of comprehensive protection at an affordable price.  We had to find an insurer with a reputation for innovative underwriting and a national, professional claims staff.  In early 1987 we introduced the resulting product.  It has been received enthusiastically by shippers and brokers alike.  Our list of clients grew rapidly and it is still growing.

We have been insuring brokers since 1987.  The most commonly asked question goes something like this.  If I do my job as a broker properly and obtain the trucker’s insurance certificate, there will never be a need for contingent cargo insurance.  Why should I buy contingent cargo insurance? 

Well, we have paid hundreds of thousands of dollars in loss and damage claims.  Obviously there is indeed a need.  Remember you are dealing with several “unknowns” that you can’t realistically find the answers to and still move freight.  Those “unknowns” could come back to haunt you if you don’t buy the proper insurance.

Here are some of the “unknowns”.

The cause of the loss or damage is not covered by the trucker’s insurance policy.  The certificate of insurance does NOT tell you:

• The exclusions in the policy.  What coverage is missing?

• What type of policy did the trucker buy?

  • A very narrow named perils policy?

  • A broad form “all risk” type of policy?

• What commodities are not covered?

• What did the trucker decide not to buy?

  • Is theft excluded?

  • Is “unattended” theft excluded?

  • Driver theft is almost always excluded.

A violation of a policy condition can void coverage.  Often neither the driver nor the dispatcher is aware of the condition.

• Must the tractor be hooked to the trailer at all times?

• Is there a radius restriction?

• Must the tractor and trailer be locked?

• Is the power unit listed on the policy?

• Are there restrictions on where the truck must be parked overnight?

Contingent Cargo Brochure

For insurance inquiries, please contact:

Mark Yunker - Vice President
RJ Ahmann Company
7555 Market Place Drive
Eden Prairie, MN 55344
Phone 952-947-9708
Fax 952-947-9793
Email myunker@rja.com