Insurance gap on stolen load with the truck?

I would turn it over to the insurance and let them handle it. I would also be out looking for the truck and trailer. Most likely it will turn up somewhere empty, load will be long gone.

I would think if the insurance doesn't cover the value of the load, shipper or broker will sue you for the remainder of the load value.

Good luck.

 

Roadlaw.net

ooida says are good but not sure if they deal with claims like this. You can call and ask for free

 

In the end, you are liable for the loss of the value of the cargo. The insurance company will "throw in the policy", meaning they will pay up to the limit and walk away. You (your company) is on the hook for the 30K not covered by insurance.

You can get a lawyer, go to court and you'll still lose. The Judge will enter a judgement against you, which means the shipper can file liens on any assets (trucks, real estate), even seize money in bank accounts, whatever they can get their hands on.

 

Any chance that your driver is in on this theft???

 

The answer to your question is complex and changes depending on a few factors. First, were you the motor carrier or are you a fleet owner leased to a motor carrier? If you are leased to someone then your contract with them will dictate your level of liability.

If you are the motor carrier then we have to ask a few more questions. Was it an interstate commerce shipment or intrastate? Do you have a tariff in place? What does the bill of lading stipulate for declared value and limitations of liability?

All claims for loss to cargo in interstate commerce are governed by the Carmack Amendment which provides for some carrier protection, IF you have the right paperwork in place prior to accepting shipment. Using a tariff, which is rare today since the abolishment of the ICC made them optional, you can limit your liability as a carrier to a declared amount. This also must be reflected on your bill of lading and the shipper must be given the option to purchase a different level of service that allows for increased protection.

Now to answer your other question, what happens now. If you don't have any of the above protections in place I suggest you do so quickly. Also, check your policies to see if you have any type of umbrella or general liability coverage that will pay the excess claim above your cargo limits. You may have protection for negligence, and this is a negligent action on your part for accepting the shipment knowing you were not properly insured.

Understand the risk you take by accepting freight that has an actual value higher than the limits of your policy and charge accordingly. Consider purchasing short term excess limits policies to cover these shipments if the rate justifies doing so.

Lastly, in addition to paying the portion of the claim that is not covered by insurance or written off by the shipper expect a large increase in the cost of your cargo insurance next year. Having a claim at or in excess of policy limits will hurt, no doubt.

 

WHY in Gods green Earth Did you not have enough coverage for this move?

Sounds like the truck was probably parked in some ghetto somewhere- Or the Driver was "in" on it.

Irregardless, a 30k mistake- Not the end of the world- But A Good Lesson- Pay it sooner than later- And If You think Closing your doors and hiding-(Taking the easy road) Will Work- You'll be messing around with you and your families lives If the Shipper or Consignee(Whoever is still on the ball for 30k) Finds out your trying to skip out on this.

I See far too many of you guys think you can just start a trucking company,Yet don't want to assume responsibilities when things happen- Not Saying the OP will, But just by the Story- you don't park a loaded wagon for the public to access while the driver is on his reset.

 

I know this don't help now, but when I was at Landstar. I hauled some high value loads. Their was a couple time they had to get extra insurance on the load. It was not very much because they took the money out of the rate. Basically they posted the load with the regular insurance. Then had to up it to like $250,000 and ask if I still wanted to haul the load because it was paying maybe $250 less or something

 

If you accepted the load with the value written on the rate con and BOL, you own it. The shipper will be required to prove the load value to your insurance company, so there is hope for you yet.

Expect massive increases in all of your insurance premiums, or they will drop you altogether.

 

Well, a friend of a friend of a friend of the driver may be able to tell you where your truck is.

No reported accidents involving your truck. Means that someone who knows how to drive stole it.

Happened twice at a company I worked for. Same driver each time. He’s bunking with Bubba now