Markets/Coverages: Marsh Launches BrokerSafe for Freight Broker Auto Coverage

Broker Marsh, a business of Marsh McLennan, the launch of BrokerSafe, an exclusive insurance facility for U.S. freight broker clients seeking access to more stable and affordable freight broker auto liability coverage.

Freight brokers play a vital role in the supply chain by connecting cargo owners with trucking companies, but their intermediary position exposes them to significant contingent auto liability risks should a safety incident occur. Rising freight broker auto liability rates, a shrinking insurance market, and increased nuclear verdicts have made it more difficult and costly for freight brokers to secure adequate coverage.

Created in conjunction with Oliver Wyman, another Marsh McLennan business, BrokerSafe leverages a first-of-its-kind underwriting technology tool that uses advanced analytics and proprietary algorithms to comprehensively assess a freight broker’s full contingent auto liability risk exposure. BrokerSafe insurers can offer freight brokers bespoke contingent auto liability coverage aligned to their true risk profile rather than traditional underwriting methods like broker-carrier agreements or revenue figures.

Backed by a panel of A-rated U.S. insurers, BrokerSafe offers up to $5 million in primary limits and an additional $5 million in excess capacity available from the London market.

SOURCE: Marsh