Avoid Insurance Gaps that may Leave You Financially Exposed and Obtain Coverage Levels that Allow you to Achieve Liability Caps
Becoming a Certified Cargo Screening Facility (CCSF) to keep cargo moving for you or your customers is a business decision with merit as long as you address the higher liability stakes as part of your overall planning. You may already have exposure if you have been inspecting freight all along, albeit less than you may experience going forward. The reason some companies take on additional risk is because insurance limits of liability to cover actual exposures simply may not have been cost effective. Small to medium-sized businesses are usually the most negatively affected in this regard, but even larger cargo handlers have gone without adequate coverage due to what was available.

The 9/11 Act mandates 50% cargo screening at the piece level, for goods originating in the U.S., and transported on passenger aircraft by February 2009. 100% screening will be required by August 2010. If you are a cargo screener, or plan to become one, you need to address your liability coverage with an experienced insurer up to date on these issues. Some of the exposures and coverages applicable are outlined in our CCSP Insurance whitepaper.

As times change, insurance must evolve. To fill the insurance voids that your industry may experience if appropriate actions are not taken, Roanoke Trade, under its parent relationship with Munich Re and Watkins Underwriters at Lloyd's of London, has recently assembled a professional liability (E&O) coverage solution for CCSFs at a sensible price. We are also working with government and industry leaders to try to rectify general liability insurance gaps and ensure sensible SAFETY Act limits of liability requirements.

If you have an E&O policy with us we'll be contacting you soon with details or you may contact your Roanoke Trade service representative. If you do not have an E&O policy with Roanoke Trade, contact info@roanoketrade.com or 1-800-ROANOKE, ext. 1252. New flexible and cost effective options not only apply to CCSFs, but to our professional liability program overall.

Although you may be fully familiar with the Certified Cargo Screening Program (CCSP) and how to become a CCSF, we've developed a brief recap for those who are interested. Within the recap, you will find relevant website links that may further assist you.