The shipping process inherently comes with risks. From accidents to unforeseen obstacles, having insurance for your shipments helps protect your investment and reduces the potential for financial strain. As the name suggests, shipper insurance covers the value of your goods while in transit. In the event of incidents beyond your control which can cause shipments to be lost, damaged, or stolen, shipper insurance protects you from having to cover the costs alone.
Shipper insurance provides reimbursement for the value of a lost or damaged shipment, allowing a business to replace or refund products without risking a financial setback. Instead of paying to replace or refund products out-of-pocket, shipping insurance covers the bulk costs, an especially important tool for smaller companies where every shipment is important.
At Echo Global Logistics, we identified the need for such protective measures, and incorporated EchoInsure+, our own shipper insurance, into our shipping technology. Here’s how it works:
EchoInsure+ enables shippers to access coverage at a lower cost than declaring excess value with a carrier, provides prompt attention to settlements against both unpaid and underpaid covered losses, and ultimately offers affordable coverage that protects against losses. Without EchoInsure+, shippers run the risk of various challenges brought about as additional effects of damage or loss. For instance, carriers are only financially responsible for an incident up to a set limit, and typically do not cover concealed damage, leaving shippers vulnerable to unforeseen losses. With EchoInsure+, you can ensure the full value of your freight is covered and experience faster claim processing times.
| Additional Benefits of Shipper Insurance Like EchoInsure+ | Risks Without Shipper Insurance |
| Best-in-Class Coverage: Lower cost than declaring excess value with carrier | Limited Liability: Carrier only responsible when goods are in their care. |
| Prompt Settlements: Claims handled quickly for unpaid or underpaid covered losses, reducing hassle. | Extensive Defenses and Exclusions: Carrier may exclude for loss and damage as the result of external factors, leaving shippers vulnerable to unexpected weather or theft. |
| Affordable Protection: Saves you from unexpected financial loss and expense. | Financial Limits: Financial responsibility only up to limits set by carrier, often not covering the full value of your goods. |
| Quick Resolution: Claims resolved in as fast as 10 days. | Lengthy Disputes: Navigating carrier claims can be confusing and time consuming, typically resolved within 120 days. |
Here’s how EchoInsure+ helped Convergint Technologies:
Despite explicit instructions from Echo, important cargo shipped by Convergint Technologies, a leading banking security company, was accidentally loaded onto faulty pallets by the carrier. As a result, the products could not be secured as required during transit. Upon arrival, the pallets had broken, leaving the high-tech freight damaged and in need of significant repair.
“We were thankful that we had included EchoInsure+ on this particular shipment. It quickly allowed us to turn a major roadblock into a readily available solution. We’re able to continue to ship our high-value products worry-free with Echo’s help and we’re grateful for the support of their innovative services and dedicated team.”
— Jennifer Smith, Supply Chain Manager, Convergint
Protecting your shipments also allows businesses to free up time to focus on growth. Knowing your shipments are insured can help you expand your shipping reach and build strong client relationships without worrying about potential losses. Shipper insurance essentially functions as a safety net, protecting particularly sensitive shipments and saving vulnerable businesses, such as smaller or newer companies, from losses. With coverage that provides financial security and ensures your business remains resilient even if things go wrong, you can focus on driving growth and streamlining efficiency.
Include EchoInsure+ on your next shipment and move freight worry-free. It’s as easy as discussing it with your representative, or adding it with a click through EchoShip, our online platform for shippers. We can’t always prevent claims incidents from happening, but we can certainly make the process easier.
To learn more about EchoInsure+, contact an Echo representative today at 800-354-7993 or info@echo.com.
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