Safeguarding Cargo: Why Carriers and Brokers Choose Excess Insurance
In the bustling world of cargo transportation, where the global market continues to grow exponentially, carriers and brokers are facing a myriad of risks. Natural catastrophic events, sanctions, and political influences, coupled with the ever-increasing cargo accumulation, demand better risk management and exposure control from cargo insurers.
In this blog, we will delve into the significance of excess insurance and why carriers and brokers opt for this crucial protection in today’s challenging cargo transportation landscape.
Why Excess Coverage Is Essential
It is estimated that 80-90% of loads are shipped underinsured or uninsured. Carriers responsible for moving less-than-truckload (LTL) cargo are particularly exposed to higher risks compared to those handling full truckload shipments. Navigating through complex networks increases the likelihood of cargo theft, damage, and other types of losses.
Standard insurance coverage may not be sufficient to fully protect carriers and brokers from potential financial losses in such scenarios. In the event of cargo loss or damage, carriers and brokers may not only bear the cost of the lost cargo but also face potential liabilities from third-party claims and penalties.
Excess Coverage: An Added Layer of Protection
Excess coverage comes to the rescue to bridge the gap between the standard insurance policy and the actual value of the cargo. This additional layer of protection ensures that carriers and brokers are adequately safeguarded in the face of uncertainties. With AI-powered carrier’s interest coverage, carriers can increase their liability up to the full value of their shipment, thereby replacing the uncertainty of loss with the certainty of affordable protection. Embracing excess or gap insurance offers peace of mind and reassurance in an industry prone to unforeseen challenges.
How Excess Coverage Works
Technological solutions simplify the selection and purchase of the gap coverage you need. Particularly when dealing with shipments exceeding the standard $100,000 contingent or motor truck cargo limit. You can easily select your preferred coverage options tailored to your specific needs and timeline. Transactional gap insurance for cargo values surpassing $100,000 is available in various brackets, each with its associated price, providing flexibility and customization for your coverage requirements.
No more cumbersome paperwork or lengthy processes – it’s fast and easy to be covered. Your time is valuable, but having the peace of mind of knowing you are fully protected against the unexpected can protect your business and your reputation.
Empowering your business with modern solutions that bridge insurance gaps is crucial to focus on your core business. In a world characterized by constant change and uncertainty, ensuring the security of your cargo is paramount. By embracing innovation, carriers and brokers can stay prepared, bolstered by real-time protection powered by AI.
With a significant portion of cargo being transported underinsured or uninsured, the potential for accidents and losses remains a critical concern. Excess coverage acts as a vital safety net, addressing the gap between standard insurance policies and the actual value of cargo. Prioritizing cargo safety through excess insurance contributes to a resilient and secure future.
Redkik offers a web-solution to cover previously unchecked gaps in your coverage when booking loads with values in excess of your standard $100,000 contingent or motor truck cargo. In less than 2 minutes, you can choose what you want covered, when you want it covered.
Visit Redkik to gain a comprehensive understanding of how Gap Coverage can safeguard your cargo and elevate risk management strategies.