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November 2003 Prime Targets for Cargo Thieves

Aritcle

Q: May a reasonable suspicion alcohol test be based upon any information or observations of alcohol use or possession, other than a supervisor’s actual knowledge?

A: No. Information conveyed by third parties of a driver’s alcohol use may not be the only determining factor used to conduct a reasonable suspicion test.

A reasonable suspicion test may only be conducted when a trained supervisor has observed specific, contemporaneous, articulable, appearance, speech, body odor, or behavior indicators of alcohol use.

PRIME TARGETS FOR CARGO THIEVES
Cargo theft has been a perennial problem for the trucking industry resulting in losses of at least $12 billion a year. An official of the Federal Bureau of Investigation recently warned that the agency was too busy trying to counter terrorists to offer much assistance to motor carriers that suffer cargo thefts. As the holidays come upon us it is not uncommon for consignees to request that their trailers are left in drop lots, making it possible to unload the cargo at a more convenience time. As a carrier, you need to make sure that the liability of the cargo is outlined very clearly in the contractual agreement, or you could face a cargo claim that you did not anticipate. When considering using a drop lot, a motor carrier should conduct a thorough security assessment of the facility. Each factor plays a role in whether or not your cargo will be there when it comes time to be unloaded. You have heard it so many times – the location of a dump lot, a yard, or warehouse is instrumental in determining the likelihood of theft. Consider the following variables: 1) Urban versus rural setting -The odds of experiencing criminal activity on a lot located in a city/urban location greatly increases as compared to a rural or suburban facility. 2) Proximity to police station – Criminals like to play it safe, looking for the location which will least likely get them caught. Obviously, if your lot is located close to the comings and goings of a police station, a thief will look elsewhere for his or her next opportunity. 3) Proximity to a highway on/of ramp – How quickly a perpetrator can plan an escape route will determine the ability of law enforcement to track him or her down. 4) Adjacent to a truck stop – The security even at a truck stop without a drop lot is questionable. Many cargo thieves case truck stops in general, creating a greater risk to cargo, which is left for an extended period of time without surveillance. Typically, trucks stops are near on/off ramps of major highways offering a clean get away to theft rings. 5) Industrial parks – If the product is left at an industrial park, your cargo’s security should increase. Warehouses and facilities in industrial parks typically will implement the same security measures they use for their overall operations for cargo waiting to be unloaded. A drop lot should be viewed the same as any other facility where a commodity is stored. It doesn’t matter that it is only a temporary stop – that’s what cargo theft rings are counting on! Consider the following attributes when considering a drop lot. A) Is it neat and organized? B) Does it have adequate security perimeter fencing? C) Is the security fencing topped with barbed wire? D) Is the fence in good condition, clear of tress and debris? E) Is there adequate exterior lighting? F) Are there minimum gates into the lot? G) Are the gates locked and secured when the lot is not active? If you are hauling a high valued or Hazmat cargo, determine if the drop lot allows for the segregation of these commodities from other staged trailers. In addition, trailers such as these should really be under constant surveillance. All load-related paperwork/documentation should never be left with staged trailers. Some additional points to consider when reviewing a drop lot include the use of other security measures: 1) Does your drop lot have a fully functional exterior alarm system, 2) Does your drop lot have a fully functional security camera system that covers all areas? 3) Is a guard service used? When a load is not in your direct control, the risks and liabilities are greater. Be sure to reduce as many variables as you can. Insurance Motor carrier insurance costs more than doubled after the 9/11 terrorist attack two years ago, contributing to the bankruptcies of less-than-truckload (LTL) carrier Consolidated Freightways and other trucking companies. However, even before the terrorist attacks, a unique combination of factors had prepped the industry for large insurance rate hikes. During the 1990’s, insurance underwriters (basically the people who evaluate the motor carriers) left the market because the escalating number of players had driven down insurance rates to levels where they could no longer generate a return on investment. The insurance companies still in the game raised their rates in an effort to compete, but continued to see reduced investment income. At the same time, re-insurers who protect insurance companies against heavy losses raised their premiums (you didn’t think they paid all the losses did you), preventing some insurance companies from writing policies for the trucking industry. It was a unique combination of losses going up, the downturn in pricing, reduction in investment income, and the international re-insurance crisis. It all came together in a several-year period and created the problems trucking companies and insurance companies had. On the brighter side, the insurance crisis has been easing in recent months. The bad news is that it hasn’t happened soon enough.

The NorthAmerican Transportation Association is a nationwide transportation benefits organization established to provide services, benefits and information to Private Fleets, Trucking Companies and Owner-Operators. We are the only association that provides our members with more FREE services and benefits than any other. For more information call (562) 630-7637 in California or 800 9085-0040 or you can e-mail me at wayne@ntassoc.com  Remember, tell those who doubt your profession, “ If you’ve got it… A TRUCKER BROUGHT IT! Until next month, Drive Safely – Drive Smart!”

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Wayne Schooling 
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