What do you need to know about high-risk, high-value loads? Let’s ask the Coyote Logistics expert
Once again, we are giving our digital platform to Coyote Logistics experts so that they can share their knowledge and professional experience in various areas of the logistics industry. We will focus on the topic of high-risk and high-value cargo. Today we’re talking to Laura Andrews, EU Senior Specialist, Claims at Coyote.
Hello Laura! Thank you for your time.
Hi! Thanks for having me.
Let’s start with the basics. What do we define as high-risk, high-value load?
In short, we can describe high-risk, high-value load as cargo which is attractive to thieves. Why is it attractive? Either because of its value or its ability to be sold quickly after theft. This can include metal products, electronic devices, alcohol and even some hazardous materials. I know cases where chocolate or even chewing gum was stolen from a semi-trailer.
Yes, due to its lightweight and type of cargo thieves would be able to sell this type of cargo quickly.
How does moving this type of load differ from standard freight?
Moving high-risk, high-value shipments requires carriers to provide additional security of the load. This means that trucks should stop at secured parking lots and loads should be transported in box trailers with TAPA-approved locks. Also important is sufficient route planning. Another thing is to ensure that the driver always remains close to the truck during rest stops.
Double-manned transports are often recommended for HRHV loads. A team of two drivers reduces the number of stops on the route, and this is when cargo is mostly stolen. And then there is always one person watching over the truck (in situations when the other driver has to move away from the truck for a while).
What problems are most likely to occur when transporting such loads?
Apart from such obvious situations as a flat tire, a truck breakdown or difficulties on the route, which may affect the timely delivery (but this applies to the transport of any type of cargo, not only HRHV loads), the most severe situation in the case of high-risk, high-value cargo is, as already I mentioned, theft. First of all, we have occasional thefts made by opportunists who take a gamble on the truck they break into. They simply open the trailer by force or cut the tarpaulin and check whether the cargo is valuable to them and if so, then they steal it. On the other hand, there is organized crime: thieves who put a lot of effort and resources into making their criminal activities effective, so to speak. They monitor loading and delivery points, so trucks should never park near a loading or delivery point of a high-risk high value shipment. Thieves can even follow trucks to their rest break locations.
Is insurance of such cargo mandatory?
Insurance is not mandatory for any cargo owner, however by not ensuring their cargo they are at risk of financial losses in the event of a theft. Freight Liability Insurance will only cover a carrier’s proven liability, however Coyote Logistics can offer at an additional cost Full Value Cargo Insurance through one of our partners.
Could you walk us through Coyote’s process for responding to an incident involving a high-value load?
Of course. First of all, Coyote’s carrier will notify us of any incidents in transit. At this time (if not already done) we will ensure that the police are notified by the driver, to obtain a crime reference or a report. In the next step, the shipper will be notified of the incident and will receive all the information currently available to us to discuss the next course of action –whether to continue to the delivery location or return to loading. We will then obtain any additional details the customer requires, and we will investigate the incident with the carrier to determine if all security requirements were followed and review for a preventative action in the future if one is applicable.
How does Coyote Logistics support shippers looking to ship high-value, high-risk cargo with us?
Coyote will discuss with the customer their own security requirements they have in place for the shipment to ensure our carrier selected for the shipment can comply. At the shipper’s request, we can also offer suggestions on additional security measures. For example, we will suggest not to make cargo collections on Friday for a Monday delivery to prevent the cargo from being idle at the rest stop over a weekend where it may be spotted by thieves.
What conditions must a carrier cooperating with us meet to be able to transport such loads?
Coyote Logistics will only cooperate with carrier companies that have had sufficient time in service with us before they can move a high-risk high value shipment for our customers. We select carriers based on their ability to follow all security requirements for high-risk, high-value loads. Selected carriers are not allowed to subcontract shipments further. We also advise them to prepare their route and ensure enough driving hours to find secure parking, and for any traffic issues en-route.