First insurance covering non-payment of bills by firms that go broke
Forwarders covered no longer vulnerable to losses because bills cant be paid
The first professionally underwritten insolvency insurance protection plan for the freight and logistics industry has been launched by Global Logistics Shield (GLS).
The policy is underwritten by Chartis and provides up to US$1 million-worth of insurance to companies owed money by customers or partners that cannot pay after going bust.
OceanBlue Logistics has become the first UK-based company to apply for the cover, following in the steps of forwarders in Hong Kong, Nigeria and India. There are over 600 other applications in the pipeline.
GLS’s Timely Freight Payment Monitoring & Alerting Scheme allows those with cover to monitor and validate payments and issue alerts when payments are overdue.
Phil Morrison, Director of GLS, said: “For many years it has been a concern of many independent forwarders that they are vulnerable to losses incurred when another forwarder is unable to pay freight charges.”
The policy is underwritten by Chartis and provides up to US$1 million-worth of insurance to companies owed money by customers or partners that cannot pay after going bust.
OceanBlue Logistics has become the first UK-based company to apply for the cover, following in the steps of forwarders in Hong Kong, Nigeria and India. There are over 600 other applications in the pipeline.
GLS’s Timely Freight Payment Monitoring & Alerting Scheme allows those with cover to monitor and validate payments and issue alerts when payments are overdue.
Phil Morrison, Director of GLS, said: “For many years it has been a concern of many independent forwarders that they are vulnerable to losses incurred when another forwarder is unable to pay freight charges.”
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