"It was just a simple mistake. It could have happened to anyone."

Could it have happened to you?
Customs brokers and freight forwarders are more vulnerable than ever to actions brought against them by their clients due to errors made, or errors which the client perceives were made. Mistakes can be extremely costly to a shipper, and very frequently, it is the customs broker or freight forwarder who is asked to pay for the mistake. Even if there was no mistake, the cost to defend yourself can create a substantial expense.

Some examples of covered claims:

• Improper Release of Merchandise
  The letter of credit required that merchandise be released only to the bank. The customs broker failed to follow instructions and released merchandise directly to the importer who failed to pay the bank. The shipper sues the customs broker for the full invoice value of the shipment plus legal fees and freight charges.
   
• Misdirected Freight
  A freight forwarder mixes shipments and sends a shipment to France that should have gone to England. As the merchandise was "time-sensitive", the consignee loses a sale and sues the forwarder for the several hundred thousand dollars in lost profit they anticipated.
   
• Protests
  A customs broker was requested by his client to file a protest on increased duties. Although the importer provided all of the needed documentation, the customs broker forgot to file the protest. The importer held the customs broker responsible for payment of the additional duties assessed.
   
• Cargo Insurance
  A freight forwarder is asked to insure a shipment valued at $1 million. The forwarder does so, not realizing the insurance policy limits them to $500,000 per shipment. The shipment is washed overboard during transit. The insurance company pays $500,000 and the freight forwarder is responsible for the additional $500,000.
   
• Quota Merchandise
  A customs broker failed to check with Customs not realizing that a quota on a certain commodity had been closed. The importer could not get his merchandise into the country and sued the customs broker for costs incurred and revenues lost as a result.

Roanoke Trade's industry expertise enables us to design and offer errors & omissions programs that meet the unique needs associated with carrying out the responsibilities of a freight forwarder or customs broker.

The Nation's Largest Provider
We place more errors and omissions insurance for the broker/forwarder industry than anyone. Our coverage is designed expressly for you.

Comprehensive Coverage and Competitive Rates
You can choose from a wide range of limits and deductibles. Our rates are extremely competitive and among the lowest in the industry, so this important coverage is well within the reach of even the smallest international transportation specialist.

Optional First Dollar Defense
Our program is unique because it includes an option to waive the deductible for legal expenses. This means attorney's fees, court cost and claims investigation expenses are paid  without you having to spend your deductible. Even if the allegations made against you are groundless or fraudulent, we provide for defense from the very first dollar.

Financial Strength and Stability
Coverage is placed through insurers selected for their years of experience writing errors and omissions, as well as for financial strength. We utilize insurers with A.M. Best's rating of A or higher.

Claims Expertise
Legal defense is provided by nationally recognized law firms that specialize in customs and maritime law. Attorneys who understand your business represent you.

Optional Regulatory Defense
This unique product will defend you if U.S. Customs or the Federal Maritime Commission brings regulatory actions against you. It can be expanded to include defense of violations brought by DOT, EPA, FDA, AT&F, Fish & Wildlife Service, FAA, FRA (Federal Railway Administration), ICC, FCC, CPSC and violations resulting from the HazMat act. Regulatory defense may be purchased independently of errors & omissions coverage.

For more information on errors and omissions insurance, or to request an application, please contact us.