5 Cargo Theft Tactics and How to Help Prevent Them

Posted by Christine Gaudreau on Sep 13, 2020 2:43:00 PM

Cargo theft tactics are growing. From food and beverages to high-end electronics, cargo thieves continue to target commodities that are sold easily on the black market. Opportunistic thieves can make most goods fair game. Knowing about emerging tactics can help businesses recognize their vulnerabilities and prevent potential cargo theft.

“There are some things about cargo theft that haven’t changed much over the years and there are many things that have changed significantly, including new methods, targeted commodities, and the use of technology to commit cargo theft,” says Scott Cornell, Travelers Transportation Segment Lead, Crime and Theft specialist.

cargo

Here are 5 cargo theft tactics to watch for and steps to help prevent cargo theft.

1. Straight Cargo Theft

Straight theft, where cargo thieves steal from a location where cargo sits, remains a threat. Cargo thieves look for whatever they can steal and sell quickly. Think truck stops, parking lots, roadside parking, drop lots and other areas where cargo is left unattended, especially in store parking lots or empty lots on weekends. Thieves may look for temperatures on refrigerated trucks that indicate pharmaceutical loads, candy, or other types of desirable cargo. Trailers with little to no security deterrents make theft easier and are likely targets.

To combat this common form of cargo theft, shippers and carriers should take a layered approach to security over the road by using good policies and procedures. Policies such as:

  • No unattended, loaded trailers, especially in high cargo theft areas.
  • Use high-security rear door locks and air cuff locks.
  • If it is unavoidable to stage/drop a load, consider installing landing gear locks.

2. Strategic Cargo Theft

Strategic cargo theft, or theft that uses deceptive means, continues to grow. This type of cargo theft can involve unconventional methods such as the use of fraud and deceptive information intended to trick shippers, brokers, and carriers to give the load to thieves instead. Trends include identity theft, fictitious pickups, double brokering scams, and fraudulent carriers. Hybrid combinations of these methods are used together to create even more confusion. Cargo thieves often look for loads being brokered late in the afternoon on Fridays, hoping time constraints and deadlines will lead to mistakes and less stringent vetting of the carrier. Thieves may even generate false loads and post them to solicit bids to obtain information they need to steal a company’s identity.

To avoid becoming a victim of strategic cargo theft, companies can use strategies to help ensure consistent and thorough vetting practices of any carrier or broker they do business with.

  • Research contact information and company information through the FMSCA, Internet search engines, third party vetting companies, and industry associations.
  • Work closely with shippers to confirm identification of drivers at the point of pickup, including driver information, identifying information on the truck and trailer, and using secure pickup numbers.

Contact your customers and business partners if there is even the slightest question at any point in these processes. Often the added scrutiny will deter thieves from pursuing the load in question.

3. Technology

Cargo thieves are using “sniffers,” devices that help detect covert GPS technology( even those embedded within a trailer). Once they detect a device, thieves use a GPS jammer to block the technology so it can’t be used to help law enforcement locate stolen goods. Others stage stolen loads in a parking lot immediately after the theft and wait to see if law enforcement will come in search of it.

4. Cyber

Thieves use basic types of cyber attacks used to commit cargo theft. They may send phishing emails to install Trojan Horse malware that can infect a company's system and grant access to sensitive data. This may allow cargo thieves access to pickup and delivery information, which they can use to print out copies of paperwork to commit fictitious pickups.

Strong cyber security can help recognize and prevent many of these attacks. Companies should scrutinize their websites and the information they make available to the public. Consider the following questions:

  • Is contact information for key people important to show or would a common contact be enough?
  • Are you identifying current customers and/or referencing specific products handled?

“Protecting your online profile can be as important as securing the perimeter of your operations,” says Cornell.

5. Pilferage

Better industry reporting in recent years has led to greater acknowledgment of pilferage issues. “It’s become more apparent in recent years, but pilferage has always been the larger part of the iceberg just below the surface,” explains Cornell. “There’s often a lag in detection that there has even been a theft because the drivers may not realize it until they reach the point of delivery, after making multiple stops along the route. As a result, police may be reluctant to file a report if the driver is unsure of where the theft occurred.”

Require drivers to complete walk-around inspections of their trucks after every stop to check trailer doors and seals to find signs of theft. Using high-security rear door locks or even high-quality padlocks can deter this type of theft.

Travelers monitors and tracks cargo thefts around the country through its Special Investigations Group (SIG). Collecting and synthesizing theft data is critical to help customers find and avoid theft-prone routes. It is also useful when assisting local law enforcement to identify high-risk areas and locate stolen goods.

Steps to Prevent Cargo Theft

Cornell suggests that fleet operators practise a layered approach to cargo security, starting with developing internal processes and procedures. Then including regular training and awareness events for employees throughout the year.

“Everyone from drivers to warehouse workers should be trained to recognize, prevent and report cargo theft techniques,” Cornell says.

The following are features of a layered cargo security program:

  • Company security processes and procedures
  • Usage of hard security devices, such as locks and seals
  • Leverage appropriate technology
  • Reinforce cyber security to prevent access to key information

Learn more about Cargo Insurance by speaking to one of our qualified business brokers Contact Us

Topics: Commercial Insurance

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