Marine Claims Advocacy for Freight Carriers and Forwarders

Marine Claims Advocacy for Freight Carriers and Forwarders

Stay Abreast of Regulations and Recover from Financial Loss Due to Freight Loss and Damage Claims

Global Trade in Goods Reached $28.5 trillion in 2021, with over 23 million TEUs being shipped around the world

After taking a hit from the pandemic, the logistics and transportation industry has seen encouraging signs of recovery. 

But there’s a flip side to the coin: a significant increase in the frequency and severity of cargo claims.

• The e-commerce boom
• Supply disruptions
• Port congestion

These factors have led to shipping delays. And the longer cargo is in transit, the more likely it is that something goes wrong: freight loss, cargo damage, bulk cargo shortage, abandonment…

Cargo claims in shipping are no longer isolated occurrences. In fact, on average, 1% of shipments result in freight claims.
Now comes the tricky part. When an exporter or importer encounters lost or damaged freight, they turn to you, their carrier or forwarder. And they are likely to hold you liable for the incident.

But the question is: Are you actually liable?

When it comes to Freight Forwarder and NOVCC Liability, Nothing’s Black and White

Blurred lines. That may be your perception of the responsibilities involved in the transport of goods.

Check out this example.

A consignee abandons the cargo because the delivery costs are higher than the actual value of the goods.

As a freight forwarder, you’d be liable if the delivery costs increased due to your negligence. You’d be at fault if the cargo incurs demurrage, detention and storage because:

  • You didn’t issue a cargo arrival notice
  • You didn’t clear customs timely

However, if you couldn’t clear the cargo because the shipper or consignee didn’t provide you with the documentation needed, there shouldn’t be any liability for you.

Unless you have a thorough knowledge of the legal nuances that may shift liability from one stakeholder to another, you may end up paying for someone else’s mistake.

Moving Cargo on Behalf of Your Customer Entails a Number of Unique Risks and Responsibilities

Including but not limited to:

Cargo damage

Due to insufficient packaging of the cargo, bad stowage, inadequate ventilation, among others.

Freight loss

Due to containers going overboard or theft while in your custody

Cargo abandonment

Due to the receiver’s insolvency, delays or issues related to the sales contract.

Delays

Due to incorrect documentation being submitted to the customer or filed with customs.

Subcontracting liability

You may receive a claim for cargo damage and need to recourse against the subcontracting effective carrier.

Financial loss

If your customer doesn’t settle the bill after you provide your service.

All these exposures lead to your (already overloaded) team spending more and more time on cargo claims handling. With the resulting piles of paperwork and to the detriment of your customers.

The fact is customers rely on freight forwarders because of your experience in moving cargo from point A to point B using the most suitable resources and routing.

That’s what you excel at and where your focus should be.

Rather than on figuring out whether you’re liable for costly freight damage claims, while ensuring compliance with shipping laws and regulations.

Or on trying to decipher freight forwarders liability insurance policy wording to find out whether you are covered when cargo claims happen.

Stop Struggling with Legalese Seek Advice from a Legal Team Specialised in the Transportation Industry

Our insurance claims advocates provide you:

We Achieve the Best Outcome for Your Freight Loss and Damage Claims

Legal Consultancy

In your logistics operations, you may be faced with all types of cargo claims. Which means you have to stay on top of regulatory changes regarding:

  • Liability – as you’ll need to prove there was no negligence of your part, and master the game of shifting liability.
  • Deadlines – freight damage claims must be filed within a given timeline, based on the type of freight and contract provisions.
  • Paperwork –incomplete or incorrect paperwork may result in marine cargo claims being denied.
  • Evidence – if you want your forwarder liability insurance to protect you, you’ll need to provide proof that you aren’t to blame for the freight damage.

Let’s be clear. With the vast range of marine issues you may encounter and with all stakeholders involved in logistics, there are bound to be gaps in your in-house legal expertise.

Our legal team fills them by providing you with on-demand regulatory and transactional support.

Recoveries

Managing your cash flow is quite a challenge. Customs charges paid on behalf of your customers and outstanding freight invoices may dig you into a financial hole. Our subrogation and recovery team helps you climb out of it by recovering your loss:
  • When freight charges aren’t settled due to cargo damage being used as a reason to delay payment
  • When your customer’s insurance company attempts to recoup the cost for a claim they paid
  • As a contractual carrier, you may receive a claim for cargo damage and need to recourse against the subcontracting effective carrier.
By means of subrogation, we ensure that you aren’t subject to financial loss.

This is your puzzle
And we make sure all its pieces fit seamlessly with our services for insurance carriers 

Customised Training

Good practices when you’re faced with freight loss and damage claims can reduce the likelihood of forwarder and NVOCC liability.

We help your in-house staff understand the implications cargo loss and damage may have, and give them tools to look out for your best interest.

The result of our training will be a black and white procedure to reduce risk in the event of freight damage.
• Getting written instructions from customers
• Managing subcontractors
• Monitoring the issue and release of documents
• Handling dangerous goods
• Dealing with insurance claims
In a nutshell, everything needed to keep your freight forwarder liability insurance coverage and prevent loss of profit.

Q & A
Find Out How We Help
You Deal with Cargo Claims

We only charge you a service fee, which is a small percentage of the amount we get you back.

Of course. Maritime law spans borders, and so does our knowledge and experience. We provide you legal counsel wherever you move cargo, so you’re always compliant with the latest marine regulations.

You can count on it, as we safeguard your financial interests by:

  • Protecting you against sanctions
  • Ensuring you aren’t held liable for any freight damage claims where another party is at fault
  • Collecting outstanding freight invoices on your behalf
  • Pursuing your recoveries on a “No cure, No pay” basis.

We have a hands-on approach to providing legal advice. Being experts in logistics and transportation and having our own claims handling division, we understand the intricacies of international trade.

We’ll assess all possible scenarios and ensure we achieve the best outcome when you’re confronted with freight claims.

Cargo insurance claims, cargo shortage claims, concealed damage freight claims, air cargo claims, marine cargo claims, motor carrier cargo claims… You name it. Just tell us about your case and we’ll appoint the right team member to advise you.
We offer an all-around service for claims handling. From first notice of loss, to survey coordination, loss adjustment, mitigation and salvage, and even Third-Party Administration from A to Z. It’s up to you to decide how much of that cumbersome paperwork you’d like to get off your desk.
We have best practice IT security protocols in place to prevent data breaches and ransomware. Plus, we implement strict measures for GDPR compliance.

Let Us Take the Legal Burden Off Your Cargo Claims