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Motor Truck Cargo Insurance

In certain cases it is important that the responsibility or liability for goods or other items of value needs to be set out clearly in legislation to ensure all parties involved with those goods have a clear understanding of who may be a responsible party should the goods/property be accidentally damaged.

Truckman’s Motor Truck Cargo coverage is a legal liability form of risk transfer and insurance where the insurer will indemnify the truckman for the legal liability he would be determined to owe a third party for accidentally damaging the goods/property of the owner the truckman is transporting for.

Every province in Canada (and each state in the USA) has it’s own Motor Carriers Act. The Act is the local legislation as legislated by government and is designed to protect the owner of goods being shipped. The legislation also extends to provide limiting the legal liability of the truckman in certain circumstances.

In all cases and anywhere in Canada and USA it is imperative that a truckman have a “Bill of Lading” setting out the shipping agent/truckman, the owner of the goods, the goods/property being shipped and where the goods are being shipped. The Bill of Lading also has space for the shipper/owner of the goods to list a declared value of the goods being shipped. Failure for the shipper to declare the value, under the Motor Carrier Act, limits the trackman’s liability to $2.00 per pound of the goods being shipped.