Current trends in transport insurance – an interview
An interview with Tomáš Fendrich, who specializes in transport insurance. We focused our discussion on current trends in this area.
In the field of transport insurance, several global trends and challenges are currently emerging. What are they?
Climate change is definitely number one. Increasingly frequent extreme weather, storms, floods, and wildfires significantly impact the safety of goods during transit. Insurance companies must develop new products and respond to trends associated with climate change. This leads to greater complexity in the damages that occur, and their resolution is often very complicated.
Next in line are geopolitical conflicts. Global political events, tensions, and wars impact trade routes and the transport of goods. This requires insurance companies to adapt to risks associated with geopolitical events. For example, the conflict in Ukraine, which reduces the availability of oil or grain, has a global impact. The unavailability of land transport insurance in Ukrainian territory generally increases risks in global goods transport, and this fact can significantly disrupt companies' supply chains.
Of course, the COVID-19 pandemic was also a huge problem. It caused widespread disruption to supply chains and logistics worldwide.
What, on the other hand, is positive about the current state of transport insurance?
Technological innovation is definitely it. Sensors and the Internet of Things (IoT) enable better tracking and management of goods during transit. This leads to transparency and allows insurers to better manage risks. Furthermore, blockchain technology offers new possibilities for claims resolution and documentation in transport insurance. This technology can increase process efficiency and security.
Artificial intelligence is also experiencing a big boom, capable of analyzing large amounts of data, identifying risks, and automating processes in transport insurance.
How flexible is transport insurance? Is it possible to prepare comprehensive insurance for specialized transport?
The general trend increasingly emphasizes personalized insurance that meets specific needs and supply chains. This leads to the development of new products and insurance models that allow clients to choose tailor-made coverage. At Eurovalley, we are able to prepare comprehensive solutions for any parameters and needs a client requires, thanks to our network of insurers and partners worldwide.
Do you have a specific example of specialized insurance you've handled?
Yes, absolutely. A few years ago, we arranged insurance for our client for the transport of a university research team to Antarctica, where research was being conducted. In addition to the transport, we also insured against damages that could occur at the station. Of course, some did occur. Research sensors and other technical equipment failed several times. Thanks to the comprehensive solution we prepared for the expedition, all damages were covered, and the expedition to the Antarctic Circle was a success.
So, what needs to be considered when insuring transport?
In today's turbulent times, it is essential to be flexible, able to react quickly to changing conditions, and innovate products and services to cover new and diverse risk factors. The field of transport insurance is no exception.
Author
Let's talk about protecting your business and organizations.
Effective insurance starts with understanding risks. We help clients identify, assess, and manage risks so that their insurance strategy aligns with their real-world operations and long-term vision. Our insurance consulting connects detailed analysis with executive-level decision-making processes.
