New E&O Coverage for Certified Cargo Screening Facilities
February 10, 2009
The 9/11 Commission Act mandates 100% cargo
screening at the piece level, originating in the U.S.,
and transported on passenger aircraft by August
2010; a goal of 50% screening was set to begin by
February 2009. To address the concern of the
screening process being an impediment to the flow of
commerce, the TSA implemented the Certified Cargo
Screening Program (CCSP) to allow cargo handlers to
participate in becoming screeners. As such, many of
our customers are becoming, or thinking of becoming,
Certified Cargo Screening Facilities (CCSFs).
To meet the needs of our CCSF clients, Roanoke
Trade has developed supplemental Errors &
Omissions coverage to help address the additional
financial exposures. Some of these new
enhancements will also allow you to take advantage
of a government program that can cap your liability by
law.
Examples of Risks this New Coverage will
Address
- Your cargo screening process obtains a false
positive and your client's goods are detained by a U.S.
government agency. This prompts your customer to
look to you for recovery of losses suffered as a result
of its cargo being held and delayed.
- Your screening obtains a false positive that
requires authorities to further examine your
customer's cargo, and in the process the cargo
becomes damaged.
- The screening confirmation with a U.S.
government agency is not properly completed by one
of your staff, resulting in merchandise detainment
because of your company's error. Your client suffers
losses due to delay as a result.
- The screening confirmation is not properly
completed by your company, the cargo gets released
anyway, and your customer is faced with redelivery
notices and penalties as a result of your mistake.
- Your screening obtains a false positive and
authorities evacuate the entire area for several hours
only to find out later it was a false alarm. Neighboring
businesses blame you for damages they suffer as a
result of having been shut down during the
evacuation.
Contact Us
Contact us at 1-800-ROANOKE or
info@roanoketrade.com to learn more about
these new CCSF coverages under our E&O program,
or to learn more about our professional liability
program overall. We can also address your General
Liability insurance concerns surrounding this issue.
For a brief recap on the
Certified Cargo Screening Program, visit our website,
or download our newly amended CCSP Insurance whitepaper.
As an affiliate of Munich Re Group and
Watkins Underwriters at Lloyd's of London, Roanoke
Trade's capabilities and our ability to advocate for our
clients are stronger than ever. We appreciate your
business and will continue to set the standard in
providing value, stability and in-depth coverage
analysis on issues affecting your industry.
Roanoke Trade Services, Inc.
Affiliate of Watkins Underwriters at Lloyd's and a Member of Munich Re
phone:
1-800-ROANOKE