Management Liability for Not-for-Profit Organisations
Australia has about 60,000 registered not-for-profit organisations, according to the Australian Charities and Not-for-Profits Commission (ACNC).
Shutdowns and supply chain disruptions, such as we saw during the pandemic, highlight the crucial role the transport and logistics sector plays in keeping Australia moving.
But operating a business that uses transport and logistics creates unique risks and issues to manage. This article explains how transit insurance can help protect your business operations.
Whether you’re undertaking marine, land or air transit, there are several risk factors that can affect your operations:
You can minimise those issues using these tips:
Marine cargo risk covers businesses that send and receive items by sea and transit through ports and terminals. Nine out of ten items traded across the globe travel by ocean. Despite that, routes may not necessarily be direct between ports. So, the ship carrying your goods may make stops along the way before it reaches you or the recipient.
A marine cargo policy protects your export or import items in transit should the vessel experience a fire, explosion, sink or become stranded during its journey. This could result in your goods being lost, stolen or damaged. Under this cover, you’ll be repaid the full value of your shipment.
Road or rail transport is often the most popular and convenient way to move or receive your business items. It’s also quite flexible and safe whether your freight is going short or long distances.
However, there are downsides. Using land transport increases risks to your items including theft, traffic delays, overturning/derailment, water or condensation damage, spoilage when refrigeration fails and damage during loading, transit or unloading. So, ensure your contract with the transit provider specifies clear responsibilities for the cargo for each part of the journey.
Meanwhile, air transport can also be a fast, safe and effective way to send or receive your goods. Risks include:
There are pros and cons to transporting your items whether you use land, sea, or air.
Increasingly, Australian SMEs are extending their supply chains and servicing customers across the globe. Proper risk management involves risk identification, analysis/evaluation, choosing appropriate techniques, implementing your strategy, and controlling the risks (where possible).
Reduce your risks using the tips above and by choosing the best-fit freight insurance policy for your job, such as:
Ask us to help bolster your risk management through tailored insurance options.
Article supplied by OneAffiniti
Photo by by Samafoto on Unsplash