The Holidays are approaching fast – beware of CARGO THEFT!

Posted October 31, 2018 by Erin in Featured, Risk Management, Transportation | 0 comments

While you’re making preparations for company gatherings and thinking about holiday shopping, be sure to take some time to review the processes and checks your company has in place to prevent cargo theft – because thieves are already making their plans to take their presents early.  In fact, according to a Dec., 2016 Commercial Carrier Journal article, approximately $5.8 million in cargo losses were incurred during the holiday season between 2012 and 2016.1

If you’re ever been the victim of cargo theft, you’re likely very familiar with what that terminology means.  However, the Criminal Justice Information Services Advisory Policy Board developed the following legal definition: “The criminal taking of any cargo including, but not limited to, goods, chattels, money, or baggage that constitutes, in whole or in part, a commercial shipment of freight moving in commerce, from any pipeline system, railroad car, motor truck, or other vehicle, or from any tank or storage facility, station house, platform, or depot, or from any vessel or wharf, or from any aircraft, air terminal, airport, aircraft terminal or air navigation facility, or from any intermodal container, intermodal chassis, trailer, container freight station, warehouse, freight distribution facility, or freight consolidation facility….”2

Much of this cargo theft occurs at truck stops, parking lots, and warehouses – or in other words where most commercial vehicles can be found.  There are a couple common theft scenarios.  First scenario involves a thief following a driver from the warehouse until he stops, then stealing the cargo at that location.  Second scenario involves what’s generally called “fictitious pickups”, or pickups where a thief impersonates a legitimate carrier and fraudulently secures a contract to transport cargo.  The cargo is taken in this scenario with typically no trace of the thief upon discovery of the crime.3

So what can your company do to help prevent this kind of theft?  In his Dec. 2017 webinar (which can be viewed on our Recorded Webinars page HERE), NICB Special Agent Steve Covey suggests: vetting potential business associates by way of internet checks (Safersys.org, FMCSA) and word of mouth/calling other companies; contacting local Cargo Security Councils and national associations to access the latest information and resources; and, make friends with the police before your problem happens (the police want to help you prevent theft and are happy to give their input).  Other measures that can help include high visibility lighting, secured yards, high security locks, and confirming receiving facilities holiday hours to help prevent unnecessary layovers with loaded trucks.1

For more information or assistance, please contact us at safetrucking@clinewood.com.  We appreciate your safety efforts!

1source: https://www.ccjdigital.com/cargonet-freightwatch-warn-against-holiday-season-cargo-theft/

2source: “Cargo Theft, 2016”, pg. 1, 2016 Crime in the United States, U.S. Department of Justice – Federal Bureau of Investigation – Criminal Justice Information Services Division

3source: “2014 NICB Identified Cargo Thefts: NC, SC, VA”, pg. 1-2, Data Analytics Forecast Report

 

 

This document is not intended to be taken as advice regarding any individual situation and should not be relied upon as such. Marsh & McLennan Agency LLC shall have no obligation to update this publication and shall have no liability to you or any other party arising out of this publication or any matter contained herein. Any statements concerning actuarial, tax, accounting or legal matters are based solely on our experience as consultants and are not to be relied upon as actuarial, accounting, tax or legal advice, for which you should consult your own professional advisors. Any modeling analytics or projections are subject to inherent uncertainty and the analysis could be materially affective if any underlying assumptions, conditions, information or factors are inaccurate or incomplete or should change.

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