NVOCCs

Focus on your business, while Avalon covers your exposures as an NVOCC.


NVOCC

Just one minor error can result in substantial cargo damage or a costly lawsuit that can virtually put you out of business. With our strong programs and seamless coverage, your NVOCC operations stay secure.

Surety Bonds

When you let Avalon provide your required OTI bond and C3 (AMS) bond, you know you’re in compliance.

Cargo Insurance

Damage, collisions and improper handling happen every day. Provide peace of mind and offer industry-leading coverage for goods in transit. Coordinating insurance for your customers is easy and efficient with our quick Merlin technology.

Actual Claims Examples

To illustrate how valuable Avalon’s Combined Transit Liability program is in managing an NVOCC’s business risks, read about these actual claims.

  Abandoned shipment of bicycles

Claim Example: Abandoned shipment of bicycles


Bikes

An importer back-ordered a shipment of bicycles from Europe for its sporting goods store. The shipment was finally ready a few months later, but because of slow sales and increased overhead costs, the company ended up filing for bankruptcy and the store closed. The shipment was abandoned and stuck in a port warehouse. The NVOCC named on the bill of lading was held liable for demurrage, storage and port charges for $7,569, which was covered by Avalon’s Combined Transit Liability (CTL) program with Abandoned Cargo coverage.

  • Claim Amount: $7,569.00
  • Insured’s Deductible: $0

  Oxidation and Mold Damage

Claim Example: Oxidation and Mold Damage


Oxidation

An NVOCC was hired to transport a specialized aluminum product overseas and issued a house bill of lading. Upon delivery to the consignee’s warehouse and unpacking the crates, it was discovered that the specialized aluminum product was wet, oxidized and had severe mold stains. The condition of the aluminum product rendered it a total loss. The consignee sued the NVOCC for the water damage causing the loss. The NVOCC was found negligent, but only legally liable for $500 for the one crate.

  • Claim Amount: $18,750
  • Settlement: $500
  • Legal Fees $7,450
  • Insured’s Deductible: $5,000

  Physical Loss

Claim Example: Physical Loss


An NVOCC was hired by an exporter to arrange for the shipment of machinery to the Far East. Upon delivery, it was discovered that several parts were missing. The documentation provided no information on the disappearance of the carton. The exporter held the NVOCC liable for the total loss.

  • Claim Amount: $8,900
  • Settlement: $8,900
  • Legal Fees $2,250
  • Insured’s Deductible: $5,000

  Trade show goods left unclaimed

Claim Example: Trade show goods left unclaimed


A consignee contracted with an NVOCC to bring in trade show materials from Brazil into the port of Miami for an international conference.

Because of heavy weather leaving Brazil, the materials were delayed in arriving in Miami. The goods arrived too late to be used for the conference and because of a payment dispute with the NVOCC, the consignee abandoned the goods at the port of Miami. Customs seized the goods and held the NVOCC listed on the bill of lading liable for demurrage, storage, inspection and port charges for $12,693.

  • Claim Amount: $12,693.00
  • Insured’s Deductible: $0

  Improper & Wrongful Delivery of Goods

Claim Example: Improper and Wrongful Delivery of Goods


After arrival, 769 containers of shoes were released by the NVOCC without surrender of the original bill of lading. The shipper was not paid because the receiver of the shoes stated there was a quality issue.

The shipper sued the NVOCC for the full amount of the shoes. The file was referred to an attorney for handling under the NVOCC’s E&O policy. The attorney was able to reduce the settlement amount.

  • Claim Amount: $150,839
  • Settlement: $100,000
  • Legal Fees $17,500
  • Insured’s Deductible: $10,000


  Download PDF

Professional Liability Insurance

Mistakes happen. Freight can be shipped to the wrong destination or a shipment can be released to the wrong party. How will your business respond if it’s held responsible? Avalon’s Combined Transit Liability (CTL) program includes important clauses for NVOCCs, such as Abandoned Cargo Coverage, which protects you in the event you’re held responsible for demurrage, storage, port or forwarding charges.

Business Insurance

We’re experts in minimizing your business risks. In addition to Property & Casualty Insurance, we offer Workers’ Compensation, Umbrella, Commercial Auto and Executive Protection.

Download Applications
Surety Bonds
Customs Bond Application & Indemnity  Word  PDF
Miscellaneous Bond Application & Indemnity  Word  PDF
Carnet
Avalon Carnet Bond Application  Word  PDF
Carnet Application  Word  PDF
General List  Word  PDF
Power of Attorney - For Exporter  Word  PDF
Power of Attorney - For Freight Forwarder  Word  PDF
Cargo Insurance
Cargo Insurance Application  Word  PDF
Special Quote Application  Word  PDF
Professional Liability
Professional Liability Application  Word  PDF
Regulatory Defense Contract Application  Word  PDF
Special Contract Application  Word  PDF
Business Insurance
Business Insurance Master Application  Word  PDF
request info on NVOCC programs