Liability Insurance Completes Security Policies

Liability Insurance Completes Security Policies

Warehouseman's legal liability

You might ask why warehouseman’s legal liability insurance necessary when you already have risk reduction policies in place. After all, it’s good business to be concerned about the safety of goods in your care. Warehouses that extend every reasonable protection are the ones that succeed, because they keep clients happy and spend less time on conflict resolution. However, even with the most conscientious policies and practices, there are things out of your control, especially:

  • Fire
  • Theft
  • Unavoidable damage

Unfortunately, the bailment situation caused by taking possession of your clients’ goods for warehousing purposes leaves you liable for any damages that those goods suffer while they’re in your care. This exposes you to the same financial risks you would have if you owned the goods, while transferring none of the benefits of ownership such as the right to sell or leverage against the property.

Warehouseman’s legal liability protections fill in the gaps of your risk mitigation strategy by providing targeted coverage where you need it most. Don’t worry about choosing the perfect policy before you approach an agent. Instead, approach agents that understand the cargo and logistics businesses to help you determine your risk exposures and suggest appropriate insurance policies. Both you and your clients benefit from the comprehensive protection of risk and assurance of conflict mediation provided by liability insurance.