How Can Cargo Insurance Reduce The Risk Of Theft?

Cargo theft has been around us for ages. It has always been disheartening when you or your customer know that the cargo being transported has been stolen from unidentified looters. It is seen that many transportation companies have started taking cargo insurance a must either from the customer whose goods are getting transferred or some big companies like FedEx have their insurance providers, which help in mitigating cargo theft. Due to advancements in technology, the ways and methods used by the thieves have also been updated and upgraded as per the market, and they have found new methods to sneak off with the transportation goods of the trucker.

Nowadays, there are many Information Technology companies that have come up with smart artificial intelligence products which are fitted in trucks and trailers, and sometimes inside high-value goods to prevent or to get back the goods once thieves have stolen them. As per the report by CargoNet, it has been seen that there is a 73% rise in cargo theft cases in USA and Canada, which is close to $19 million, and it is an alarming figure as the results have been compared with the year 2021.

Let us discuss the five usual ways which lead to thefts of cargo:

1. Direct Theft: It is the way in which the theft is done directly straight from the trucks/ trailers, and it is difficult to point out who stole the goods. It is like your cargo is at the pumping station by the time the driver comes to check. There may have been scenarios when the whole trailer was stolen and also hurt the drivers and other staff who were present at the time. The thieves usually go for high-value goods or for which they have the ability to steal less and earn huge profits.
2. Strategically Cargo Theft: Cargo theft is done after a lot of planning, and usually, there is a mole in the company who shares all the routes and emergency plans if there is some issue in the usual routes and ways. It is noticed that the thieves usually do that on the weekends or at the start of the weekends when the company has fewer resources to look into it. Like Fridays or Saturdays are the most usual days since everyone is working for n reserve staff, and no anyone can do it until the start of next week.
3. Technology Advanced Thefts: As discussed above, the thieves have started hiring computer staff and hackers who hack into the company database and steal a lot of client information which might include credit card, social security numbers, and other bank details, which is not only harmful for the company reputation but also led to many thefts which they have led the authorities to some other place while they were at a differentplace. They also have the skills to change/ hack/ jam the GPS to the point of taking control of all the websites and the company’s total digital footprint.
4. Cyber Attacks: They have been attacking the whole grid of attacks on trucks since these days they have been fitted with computers inside, which can be easily hacked. These thieves use high-end systems, and they direct the truck directly to them by re-routing their signals and GPS on board. These days they have been using public wifi since it is directly linked to the transportation office, and they have less security than private contractors.
5. Cargo Lifting: There have been times when you will find that half of the cargo has been gone, per your documentation. It has been seen that when the truckers go and wait for frequent breaks, that is the best time for the thieves to steal the goods and products. You must have noticed that these types of pilferage are done while the trucks are in the areas where by the time there is a response from the authorities, it would have been so late for them.

 

How Can You Save Your Cargo?

Here are the few steps the drivers and the company staff should follow:

• Keep the knowledge of the transportation inside the office and do not let it leak to the outside people. There should be proper communication and documents, and everyone should sign non-disclosure documents. These will help to curb the thefts.
• The drivers should not keep the cargo unattended, especially in high theft areas.
• The use of high-security checks and locks, and machinery to keep the cargo intact might reduce the amount paid for the cargo insurance.
• Always do an internal audit as and when between the business year so that you can get to know the intricacies before and might prevent things from happening.
• Always have an overview and keep updating in real-time the location of the trucks and the drivers because it not only helps in getting the correct location of the truck, but the security team can reach on time and the correct location if required.
• Dispose of the staff you are dishonest with or the management because, in the end, you have to be there to take care of the fallings that could have been mitigated at the beginning.
• Make partnerships with the security and other cargo insurance providers so that you don’t need to worry about the things that could have been unseen by you.
• Drivers should be cautious of the way they drive. It is said the driver should take care of the cargo and truck and drive at least 200 miles before a stop, as it reduces the risk of cargo loss.

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Mayflower Insurance services help you get truck, home, house, and auto insurance. They are in over 30 states and help in getting you the best rates for any of the insurance you need. It was the year 2003 when it was established, and after nearly two decades of consistent work and efforts, we have been working on getting you the best policies at the best prices. Contact us Today!