In the cargo insurance sector, subrogations can result in successful recoveries if it is demonstrated that there were irregularities in the vehicle that caused or contributed to an incident involving cargo loss or damage.
When a loss occurs due to vehicle irregularities, such as inadequate maintenance, failure to comply with safety regulations, or mechanical defects, the insurance company can use these irregularities as the basis for a subrogation claim. After proper inspections and reporting, often following a cargo claim, the focus shifts to the carriers and freight forwards for accountability.
Violations or negligence in these areas can lead to serious legal and financial problems.
Among the most common regulations are those related to the maximum weights and dimensions of vehicles, restrictions on the types of cargo that can be transported on certain routes, and rules on vehicle maintenance and inspection.
Failure to comply with these regulations can result in fines, penalties, and, in extreme cases, the immobilization of the vehicle. Moreover, any incident resulting from negligence in complying with these regulations can lead to legal claims for damages and implications under the carrier’s liability as per CMR.
These vehicles are typically categorized by their weight (e.g., Maximum Authorized Mass (MMA)), type of merchandise containment (e.g., refrigerated trucks for perishable goods), structure (e.g., flatbed trucks for oversized cargo), or sustainable and environmentally-friendly forms of distribution (e.g., electric delivery vans).
Here is a list of common types of vehicles used in road freight transport, along with examples of claim denials and recoveries due to vehicle irregularities, negligence, and violations:
Box trucks
Box trucks are the most common vehicles for transporting general goods, frequently used for distributing dry products and valuable items.
Potential Impact on Cargo Claims
Common issues with box trucks can include damage to the box structure, failures in the locking and sealing systems, and improperly secured cargo. These issues can lead to potential claims for water damage, theft of goods, and deterioration of sensitive products. To defend against such claims, it is essential to maintain thorough documentation of regular inspections and maintenance, which can demonstrate that the vehicle was in proper condition.
Example Claim Recovery
The insurance company can recover the costs of the claim from the truck owner or the maintenance shop if it is proven that lack of maintenance caused the accident.
Refrigerated Trucks
Refrigerated trucks are used for transporting perishable goods, maintaining controlled temperatures throughout the journey.
Potential Impact on Cargo Claims
Common issues with refrigerated trucks include failures in the refrigeration system and incorrect temperature calibration. These problems can lead to claims for loss of freshness, contamination due to temperature fluctuations, and spoiled products. Defending against such claims requires detailed records of temperature during transport and certification of the refrigeration equipment’s proper functioning.
Example Claim Recovery
The insurance company can recover the costs of the claim from the truck owner or the refrigeration equipment provider if it is demonstrated that equipment failure caused the damage.
Tanker Trucks
Tanker trucks are used for transporting liquids and gases, and must comply with strict safety regulations.
Potential Impact on Cargo Claims
Common issues with tanker trucks include leaks, cross-contamination, and improper tank cleaning. These problems can result in claims for loss of cargo, environmental damage, and contamination of products. Defending against such claims relies on thorough documentation of cleaning and maintenance procedures and verification of the tank’s integrity before loading.
Example Claim Recovery
The insurance company can recover the costs of the claim from the truck owner or the cleaning service provider if it is shown that improper cleaning caused the contamination.
Container Trucks
Container trucks are designed for transporting standard containers, allowing easy transfer between different modes of transport.
Potential Impact on Cargo Claims
Common issues with container trucks include improper securing of containers and structural damage to the chassis. These problems can lead to claims for damage from sudden movements, container overturning, and loss of cargo. Defending against such claims requires records of proper container securing and the chassis’s condition before each trip.
Example Claim Recovery
The insurance company can recover the costs of the claim from the truck owner or the container handling company if it is proven that improper securing caused the cargo loss.
Vans
Vans are smaller vehicles used for short-distance deliveries and the transportation of smaller loads, commonly utilized in urban areas for last-mile delivery services.
Potential Impact on Cargo Claims
Common issues with vans include overloading, inadequate securing of cargo, and vehicle malfunctions. These problems can lead to claims for damage to goods due to poor handling, theft, and accidents caused by overloading. Defending against such claims relies on documentation of loading practices, regular vehicle maintenance, and proper securing of cargo.
Example Claim Recovery
The insurance company can recover the costs of the claim from the van owner or the loading personnel if it is demonstrated that improper loading caused the damage.
Trailers
Trailers are large vehicles designed to transport substantial amounts of cargo over long distances, including flatbed trailers, dry van trailers, and refrigerated trailers, among others.
Potential Impact on Cargo Claims
Common issues with trailers include problems with the trailer hitch, tire blowouts, and inadequate securing of cargo. These problems can lead to claims for loss of cargo, damage due to improper loading, and accidents resulting from trailer malfunctions. Defending against such claims requires thorough pre-trip inspections, proper loading and securing practices, and maintenance records.
Example Claim Recovery
The insurance company can recover the costs of the claim from the trailer owner or the loading crew if it is proven that improper maintenance or loading practices caused the incident.
Road transport regulations vary by region and type of cargo. Complying with these regulations is crucial to avoid penalties and ensure insurance coverage. All commercial vehicles must be regularly maintained and undergo safety inspections to ensure they are safe to operate.
For more information or details about specific cases or legal procedures, please get in touch.
