Property Brokers

Property brokers require comprehensive protection to secure their operations.


Property Broker

With constant industry changes and shippers’ demands, working with an insurance provider who understands your business is more important than ever.

FMCSA Property Broker Bond

Sharpen your competitive edge through the TIA Surety Bond Avalon underwrites.

Shipper’s Interest Cargo Insurance

Protect your customer contracts and offer peace of mind with Shipper’s Interest Cargo Insurance. We also provide Shield Coverage for high value shipments.

Actual Claims Examples

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

  Stolen Cargo

Claim Example: Stolen Cargo


A property broker arranged to have an independent trucking company transport a shipment of tires. The trucking company agreed to indemnify the property broker for any loss, damage or delay. In order to cover the obligation, the trucking company purchased a Motor Truck Cargo policy, which insured property while in “due course of transit.” During the trip, the tractor portion of the tractor trailer experienced mechanical difficulties and needed to be repaired. The driver parked the trailer behind a shopping center and proceeded to get his tractor fixed. The trailer was left overnight and when the driver returned the next day, the trailer and the tire shipment were gone; the load was stolen overnight.

The trucking company submitted a claim for theft under its Motor Truck Cargo policy, but the claim was denied on the basis that the trailer was parked at the time of loss, and thus was not “in the course of transit.” The shipper sued the property broker for the full amount of the cargo. The property broker’s Contingent Cargo Legal Liability coverage paid the shipper the full amount.

  • Claim Amount: $35,700
  • Settlement: $35,700
  • Legal Fees: $6,500
  • Insured’s Deductible: $5,000

  Negligent Selection of Carrier

Claim Example: Negligent Selection of Carrier


Before delivery, a driver accidentally broke the seal off a container. As a result, the consignee refused the load and did not pay the shipper. Because there was no loss or damage, the trucker’s Motor Truck Cargo and the broker’s Contingent Cargo policies would not respond.

The shipper sued the property broker for negligent hiring of a trucker. Brokers are increasingly held liable for the actions of the carriers they hire. The broker’s Errors & Omissions policy appointed an attorney to settle the claim out of court.

  • Claim Amount: $45,124
  • Settlement: $30,000
  • Legal Fees $13,620
  • Insured’s Deductible: $5,000

  Failure to Follow Instructions

Claim Example: Failure to Follow Instructions


A property broker was hired to ship a full container load of frozen meats from Colorado to Seattle, which required a temperature of -20°C for the container.

The property broker inadvertently made a typo on the instructions to the carrier and the container was set at +2°C for chilled meat instead of -20°C for frozen meat. When the meat arrived at its destination, it was completely spoiled. Because the carrier did not act negligently, the claim would not be covered under Contingent Cargo Liability Insurance and the shipper sued the property broker for the lost profits.

Errors & Omissions coverage paid for the property broker’s legal fees and settlement amount, minus the insured’s deductible.

  • Claim Amount: $92,859
  • Settlement: $80,000
  • Legal Fees $9,760
  • Insured’s Deductible: $5,000

  Misdirected Load

Claim Example: Misdirected Load


Because of a mix-up in paperwork, a broker accidentally confused a load bound for New York with a different load sent to Boston. The shipper sued the broker for the cost of retrieving and redirecting merchandise, loss of use, loss of sales and other consequential damages.

Because there was no loss or damage, the trucker’s Motor Truck Cargo and the broker’s Contingent Cargo policies would not respond. The broker’s Errors & Omissions policy paid for the legal fees and settlement amount, minus the insured’s deductible.

  • Claim Amount: $12,875
  • Settlement: $7,000
  • Legal Fees $3,470
  • Insured’s Deductible: $5,000


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Professional Liability Insurance – Errors & Omissions and Contingent Cargo Coverage

Does your insurance provider see the big picture? Do you know, for example, if your Contingent Cargo coverage is a “following form” policy? If it is, most claims won’t be covered. Our superior “non-following form” coverage will best protect your business. We also offer the only E&O program endorsed by TIA. Comprehensive and tailored to you, Avalon offers the coverage you need.

Contingent Auto Legal Liability Insurance

Several court cases have demonstrated that a logistics provider or even a shipper can have significant liability for the acts of motor carriers. What would you do if you were held liable for death, bodily injury and property damage claims resulting from a motor carrier’s negligence?

Business Insurance

We provide the coverage you need and the service you expect. In addition to Property & Casualty coverage, 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
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
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