Are your trucks covered by insurance in the event of a riot or strike? Here’s why transport operators should consider special-risk cover
The transport and logistics sector is perceived as being particularly vulnerable to civil unrest, with the Road Freight Association (RFA) recently revealing that about 1 400 trucks have been damaged or destroyed over the past year – a frightening statistic considering costs that can be incurred by a single truck leaking hazardous cargo into the surrounding environment.
Civil disorder and violence heighten the need for special-risk insurance cover, due to the massive costs that can arise as a result of any environmental impairment that could be caused by trucks. The South African Special Risks Insurance Association (Sasria) has provided special dispensation to insurance company Envirosure to offer a riot and strike solution. The Envirosure extension is designed to cover costs related to spillages of dangerous goods and potential pollution of the environment and road surfaces.
The cover – an industry first – applies to claims caused by riots and strikes, and is offered as an extension to Envirosure’s Transport Clean-up Policy, although it’s also available as standalone cover to large fleets via special request.
Sjanine Tanner, managing director of Envirosure, says the company identified the need for this type of insurance cover because trucks are often easy targets for rioters and looters. “A burning or overturned vehicle serves as a powerful visual symbol of their frustration and aggression without any consideration given to environmental consequences,” she says.
“Beyond the potentially devastating reputational damage and legal risks associated with environmental impairment, the cost of a clean-up can sometimes outweigh the value of a truck and its cargo. Therefore, speed of response is of the essence to ensure that environmental impact and damage are contained and mitigated.”
Tanner says that, with this in mind, Envirosure’s Riot and Strike Solution includes access to the Hazcall24 call centre for immediate response and claim management. The call centre is also responsible for incident management throughout the clean-up process.
“Envirosure’s Riot and Strike Solution cover is available to transporters of both dangerous goods and non-hazardous goods,” she says. “It includes clean-up and rehabilitation of the environment as a result of any spillages from the load and vehicle’s side tank, including oil spills from vehicles, engines or hydraulic equipment fixed to the primary mover.”
Tanner adds that due to Envirosure’s recent merger with Spill Tech Holdings, the company’s clients can enjoy additional peace of mind thanks to the benefits of best-in-class spill response – from guaranteed, rapid dispatch, arrival and clean-up by ISO-certified skilled responders, to the aforementioned access to the Hazcall24 call centre, which expedites the entire process.
She adds that since riot and strike cover is often not considered when taking out transport insurance, truck and transport operators should ask their brokers to contact Envirosure to get more information relating to the company’s full environmental impairment solutions.