Freight brokers have an important role in connecting shippers and carriers. Proper transportation insurance coverage is critical for a broker’s success: carrying the right transportation insurance ensures compliance and protects the freight broker’s business, clients, and carriers from expensive liabilities. Without the right coverage, there is a higher risk of major financial losses from denied claims. Why Insurance Matters for Freight Brokers Unlike carriers, brokers don’t physically handle freight, but they still face liability if something goes wrong. If a carrier’s insurance denies a claim due to negligence, inadequate coverage, or insolvency, the broker could be held financially responsible. That’s why understanding different types of insurance, coverage limits, and risk management strategies is non-negotiable. Key Types of Transportation Insurance How Freight Brokers Can Mitigate Risk Verify Carrier Coverage To protect their business from costly claims, freight brokers must take a proactive approach to risk management. The first line of defense […]
