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The Global Economy Brings New Insurance Challenges – Are You Covered?

Tips from The Hartford - February 2008

Two forces, economic globalization and the shifting of manufacturing facilities overseas have changed the way many wholesaler-distributors operate. Instead of shipping goods only within the boundaries of the lower 48 states, many today ship globally. Wholesaler-distributors need the ability to protect commodities as they are shipped across international borders.

The Hartford Can Respond

Many wholesaler-distributors need The Hartford’s Worldwide Transportation policy to cover goods that are shipping by air or by sea, as well as by the connecting conveyances, such as truck or train. This policy provides:

Concealed Damage – because damage can easily go undetected beyond the tail of ordinary coverage, The Hartford can provide additional time to discover transit losses if packages are not opened for up to 120 days after receipt.

Containerization, Consolidation & Deconsolidation – After goods are shipped, bad things can happen. You need continuous coverage as cargo is loaded onto trucks, repacked by exporters or unpacked for distribution to the final destination. The Hartford can respond.

Customs Damage & Detainment – The Hartford provides coverage for direct physical damage caused by U.S. or Canadian Customs Services while performing their inspection duties. Also, they will pay up to $10,000 to cover the cost of bonds to release cargo held during law enforcement activities.

Expediting Expense – Sometimes simply replacing damaged goods is not feasible. With the prevalence of “just in time” inventory and delivery logistics, it’s important to be able to make immediate repairs or quickly replace damaged goods to complete sales. This important coverage provides for the extra costs associated with rapid delivery service. Expediting Expense coverage provides up to $10,000 to quickly make necessary repairs and secure parts, including the cost to fly repair personnel to the repair site, if needed.

Fraudulent Documentation – The risk of loss due to acceptance of fraudulent shipping documents is often unrecognized and can lead to significant costs that many carriers will not cover. The Hartford protects clients and their shipments when, unknowingly, they are misled by false documentation from individuals unscrupulously representing themselves as proper carriers and a covered loss results. The Hartford provides this distinctive coverage automatically.

Take advantage of The Hartford’s solution and protect your goods while they are being transported. Superior coverage is just one of the many reasons we chose The Hartford as our endorsed commercial insurance provider.

Compare your current coverage to The Hartford value proposition. We know you’ll be glad you did. Click here to ask a Hartford Agent to contact you or if your current agent is licensed with The Hartford, ask them to provide a quote for you.


The information provided in these materials is of a general nature, based on certain assumptions. The content of these materials may omit certain details and cannot be regarded as advice that would be applicable to all businesses. As such, this information is provided for informational purposes only. Readers seeking resolution of specific safety, legal or business issues or concerns regarding this topic should consult their safety consultant, attorney or business advisors. The background presented is not a substitute for a thorough loss control survey of your business or operations or an analysis of the legality or appropriateness of your business practices. The information provided should not be considered legal advice.

The Hartford does not warrant that the information of any view or recommendation contained herein will: (i) result in the elimination of any unsafe conditions at your business locations or with respect to your business operations; or (ii) will be an appropriate legal or business practice. Further, The Hartford does not warrant that the implementation of any view or recommendation will result in compliance with any health, fire or safety standards or codes, or any local, state, or federal ordinance, regulation, statute or law including, but not limited to, any nationally recognized life, building or fire safety code or any state or federal privacy or employment law.) The Hartford assumes no responsibility for the control or correction of hazards or legal compliance with respect to your business practices, and the views and recommendations contained herein shall not constitute our undertaking, on your behalf, or for the benefit of others, to determine or warrant that your business premises, locations, operations or practices are safe or healthful, or are in compliance with any law, rule or regulation. Possession of these materials by a licensed insurance producer does not mean that such producer is an authorized agent of The Hartford. To ascertain whether a producer is a Hartford agent please contact your state’s Department of Insurance or The Hartford at 1-888-203-3823.

The NAW Service Corporation receives compensation from The Hartford for NAW's endorsement and promotion of the commercial insurance products and services of The Hartford. NAW and NAW Service Corporation are not licensed insurance producers or agents of The Hartford. All Hartford insurance products and services are sold through licensed producers or independent agents of The Hartford.

©2007 The Hartford Financial Services Group, Inc. All rights reserved. No portion of this article may be reprinted, transmitted or otherwise reproduced or disseminated by any means, including electronically.