Cargo theft is an issue that might not always make the headlines, but its impact is felt far and wide.
While porch pirates grab the attention of everyday consumers, professionals in the world of logistics and shipping are grappling with a growing challenge – the theft of entire truckloads of goods, ranging from everyday essentials like food and household items to high-tech electronics.
In this guide, we’ll take a closer look at cargo theft, break down its different forms, and discuss practical steps you can take to protect your valuable shipments. We’ll also provide guidance on what to do if you find yourself facing the unfortunate reality of cargo theft. So, whether you’re a seasoned logistics expert or just someone curious about this hidden world of crime, join us as we navigate the intricate landscape of cargo theft.
Strategies for Warding Off Conventional Cargo Theft
Traditional cargo theft methods are a significant concern in the world of cargo security. These well-known tactics involve various straightforward schemes, like porch pirates taking unattended packages or individuals pretending to be legitimate drivers and diverting freight from its intended path.
To keep your cargo safe from traditional theft, follow these basic safety guidelines:
Don’t Leave Cargo Unattended: The most important rule to prevent traditional cargo theft is never to leave your cargo unattended. Truck drivers have a crucial role to play here. They should choose safe, well-monitored places for parking. Also, positioning trailers against strong barriers deters unauthorized access.
Plan Stops Strategically: For valuable cargo, shippers might require drivers to cover specific distances before stopping. This tactic discourages potential thieves who might be watching the cargo’s movements. Alternatively, using a team of drivers ensures that the cargo is always on the move and never out of sight. Less time spent parked reduces the risk of theft.
Choose Reliable Partners: Collaborating with trustworthy carriers and drivers is essential for preventing cargo theft. A partnership built on trust and reliability greatly reduces the risk of getting involved in larger theft schemes. Being thorough in your partner selection is vital to protect your valuable cargo.
While high-tech methods of cargo theft often make headlines, it’s crucial to recognize that traditional cargo theft remains a significant and ongoing challenge in the industry. By sticking to these common-sense practices, you strengthen your cargo’s security, reducing the risks from both simple theft and more sophisticated schemes. Always remember, that staying vigilant and prepared is your best defense in maintaining the security of your cargo supply chain.
New Trends and Tactics in Cargo Theft
In the modern world of cargo theft, perpetrators have evolved their methods beyond traditional theft to include sophisticated techniques such as phishing, online scams, and identity theft. Just like other sectors, the trucking industry is not immune to these contemporary forms of deception. Safeguarding cargo from these cutting-edge heists demands a sense of awareness and unwavering surveillance.
These modern-day theft methods can manifest in various ways, including:
Broker and Carrier Impersonation
Some criminal individuals go to great lengths to impersonate legitimate freight brokers, orchestrating arrangements with both customers and carriers. Under the guise of a genuine broker, they arrange for a driver to transport and deliver the cargo.
These impostors often employ industry-specific jargon, such as referring to “blind shipments,” and instruct drivers not to disclose the delivery location to the shipper. In some cases, they may even promise cash upon delivery.
Once the legitimate carrier has loaded the cargo, these impostors attempt to divert the carrier to a clandestine warehouse, where they swiftly unload and redistribute the goods. When the cargo fails to reach its intended destination as anticipated, the customer begins to suspect foul play and realizes they may have unwittingly engaged with a fraudulent broker.
Tragically, it is often the innocent driver who bears the brunt of these schemes, having faithfully delivered the load as instructed, unaware of the fraudulent nature of the operation.
Creating a Fake Recipient
Certain individuals with malicious intent employ deceptive methods like phishing and exploiting technological vulnerabilities to intercept an ongoing shipment and modify the destination address. The truck driver then proceeds to deliver the cargo as instructed. It’s only once the driver has departed that the legitimate recipient contacts the transportation company to inquire about the status of their shipment.
Double Brokering Scams
In a double brokering scheme, a broker or shipper hires a legitimate carrier to transport a load of freight. Instead of carrying out the transportation, the initial carrier then subcontracts the job to another carrier without getting approval from the broker or shipper.
Sometimes, multiple carriers or brokers get involved deliberately to make things confusing. Ultimately, the first carrier keeps the money and doesn’t pay the carrier who transported the goods.
Double brokering scams have been a problem in the industry for a long time. However, due to an increase in thefts, it’s crucial to be extra cautious about these scams now. They often offer deals that appear too good to be true, and usually, they really are.
With modern tools widely accessible, these scams are becoming more common. In fact, the frequency of these modern cargo thefts has risen by an estimated 600% compared to a year ago. While protecting yourself from modern cargo thefts isn’t easy, it is possible to take precautions.
Preventing Cargo Theft
Chances are, IT departments have shared advice on how to stay secure against online phishing and email scams. Interestingly, these same guidelines can play a role in safeguarding your cargo. By shielding your data from malicious individuals, you not only protect your information but also create obstacles for those looking to steal your cargo.
Implement Information Security Practices
To safeguard against modern scams, it’s crucial to establish and adhere to robust anti-phishing protocols.
Maintain Password Privacy:
- Safeguard your passwords.
- Regularly change your passwords.
Exercise Caution with Emails:
- Avoid clicking on links sent by unfamiliar sources.
- Refrain from responding to unsolicited emails.
Remain Alerted
Deceptive brokers or carriers often mimic legitimate ones with great precision, making it easy to fall into their traps. For instance, if you typically collaborate with someone having an email address like “@vipacarriers.com,” scammers might create a similar “@vipa-carriers.com” address, differing by just one character. These subtle discrepancies, though minor, can lead to significant property losses and damages. Paying attention to details such as email addresses, phone numbers, mailing addresses, logos, and even names can thwart these scams.
Verification
Leveraging your own experiences and those of your colleagues and network is another effective strategy against cargo scams. For example, if an unfamiliar contact from one of your vendors reaches out to you, it’s wise to verify their legitimacy by checking with a known contact at the same vendor.
As a shipper or receiver, thorough tracking of every incoming and outgoing truck, including the following details, is essential:
MC number
License plate
Driver’s license information
Bill of lading
Carrier name
USDOT number
If possible, use video cameras or photos to document this information.
Although this may require significant effort, especially if you handle numerous loads daily, it significantly raises the barriers for malicious individuals attempting to steal your valuable cargo.
Choose Established Partners
Maintaining a strong working relationship with a dependable carrier or broker is a wise choice. When you have an established rapport with a partner you trust, it’s beneficial to continue collaborating with them. This ongoing partnership, forged through time and trust-building, offers you the assurance that you are dealing with someone genuinely concerned about your best interests.
This approach not only simplifies your logistics but also contributes to a more secure and efficient cargo transport process. By relying on known and trusted providers, you can enhance the overall reliability of your supply chain operations.
Steps for Recovering from Cargo Theft
In the unfortunate event of cargo theft, it’s essential to remain composed and take specific actions that can increase the chances of recovering your stolen shipment or obtaining an insurance payment. These steps not only serve your own interests but also contribute to preventing future incidents for others.
File a Police Report
Your initial response should be to file a police report. If your local law enforcement is not experienced in handling cargo theft cases, contact the police departments at the origin and destination points of the freight or where you suspect the theft occurred.
The police report is crucial, and it should include comprehensive information such as the nature of the cargo, the transportation route, and an estimated value. If you have any video footage, photos, or relevant documentation, make sure to provide these as well.
Notify Everyone
Promptly inform all parties involved in the shipment, including the shipper, consignee, carrier, and broker. This immediate notification can aid in identifying potential culprits.
Transparency is key in this process. Avoiding questions or concealing information about the incident won’t enhance your trustworthiness. In fact, openly communicating and demonstrating your commitment to resolving the issue can bolster your credibility and future business relationships.
Larger entities may also assist you in working with insurance or recovering the lost freight cost. Their reputation is important to them, and they may be willing to provide compensation to preserve it and maintain a positive working relationship.
Engage with Insurance
It’s important to note that all full truckload cargo is typically covered by insurance. Refer to the load contract to ascertain who was responsible for the cargo at the time of the theft, and get in touch with their insurance provider.
While insurance companies may initially scrutinize the circumstances and possibly cite negligence, don’t dismiss the possibility of a claim settlement right away. They will request the police report, so ensure you have it ready as soon as possible.
While the process of recovering from cargo theft can be challenging, it’s best to prevent such incidents proactively. Avoid becoming a victim by taking practical steps to thwart cargo theft before it occurs, thus safeguarding your shipments and preserving your peace of mind.