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Amwins overhauls logistics insurance amid broker fraud claims
The change targets liability and errors and omissions exposure tied to impersonation and double brokering, as FMCSA’s Broker and Freight Forwarder Financial Responsibility Rule took full effect Jan. 16, 2026.
Fraud linked to cargo theft in the US and Canada is increasingly leading to liability claims against freight brokers and forwarders, rather than only direct losses of stolen goods, Insurance Business reports. Impersonation schemes that use stolen credentials, phishing, and compromised email accounts can expose brokers to negligence and errors and omissions claims when a shipper or carrier later discovers the fraud.
Double brokering, where a contracted carrier secretly assigns a load to an unauthorized party without verified insurance or compliance history, can create similar liability exposure when shippers or carriers are left unpaid or uninsured. The article says traditional cargo policies generally cover direct damage or loss of goods, but often do not address the liability fallout from fraud involving a broker’s identity, credentials, or contracting decisions.
Amwins Program Underwriters responded by restructuring its Logistics Operations Program around this liability shift, anchored by its FreightLock coverage form. The combined placement is designed to bring together freight forwarders', motor carriers', warehouse, transportation broker, and errors and omissions liability into a single program for a range of logistics providers, including domestic and international freight forwarders, transportation brokers, 3PL and 4PL providers, warehouse operators, and customs house brokers.
The underwriting update is also timed with a regulatory tightening for the sector. FMCSA’s Broker and Freight Forwarder Financial Responsibility Rule took full effect on Jan. 16, 2026, tightening requirements tied to brokers’ financial responsibility, including the $75,000 BMC-84 bond and BMC-85 trust fund, and FMCSA estimated more than 90% of current BMC-85 providers would be affected by the changes.