Central Insurance Blog

Evolving cargo theft trends present significant risks to fleet owners, drivers, and logistics partners. For trucking companies, the consequences extend beyond lost goods; these threats can result in lost contracts, increased  expenses, and reputational damage. Proactively understanding and confronting these risks is vital to protecting your operations and sustaining your bottom line.

Here, Mitch Gearhart, transportation underwriting specialist at Central Insurance, discusses the current landscape of cargo theft and strategies that trucking businesses can use to mitigate risk.

Cargo Theft Is Always a Threat

The rates of cargo theft in America are increasing, costing the U.S. economy $35 billion annually. Gearhart emphasizes that long-haul operations are especially vulnerable.

“Trailer units left unattended overnight are prime targets,” Gearhart outlines. “We’ve seen complete trailers stolen from lots before, not just break-ins.”

Certain types of cargo are especially attractive to thieves, including:

• Electronics and household goods: High-demand goods such as electronics and household items are portable and fetch high resale values, even on the black market. These commodities range from tools and toys to appliances and meat. 
• Alcohol and tobacco: Popular goods like alcohol and tobacco are especially susceptible because of their persistent demand. Even energy drinks frequently attract cargo thieves.
• Pharmaceuticals: Whether over-the-counter or prescription, pharmaceutical theft is on the rise. Beyond financial losses for manufacturers and transporters, pharmaceutical theft raises the risk of consumer harm through tampering or improper storage.
• Metals like copper or steel (including inside appliances/machinery): Copper’s high value makes it a frequent target. Thieves often employ strategic cargo theft, exploiting weak links in the supply chain through fraudulent methods.

While many assume these incidents occur only in high-traffic shipping areas, data show that cargo theft happens everywhere, ranging from rural rest stops to secure warehouse lots. The key takeaway, Gearhart emphasizes, is that no fleet is immune to this threat. “Whether you operate two trucks or two hundred, cargo theft is always a threat. What matters most is preparation because proactive measures can make the difference between a small setback and a major loss.”

Learn More: Insurance for Appliance Distributors: Six Policies You May Need to Protect Your Business

Common Theft Scenarios

Location is critical for preventing cargo theft. 

Instead, Gearheart emphasizes that fleets should prioritize well-lit, secured, or fenced-in parking areas. Locations with cameras and security patrols provide additional safety. Drivers should avoid long stops in high-risk urban zones whenever possible. 

Did You Know: The worst cities for cargo theft include Los Angeles, Chicago, Miami, New York City, and Philadelphia.

How Trucking Companies Can Protect Against Cargo Theft

Prevention of cargo theft demands coordinated planning, technology, and training. Here, Gearheart offers a set of security measures that trucking companies looking to minimize their risks should adopt:

1. Dash cams and trailer-mounted cameras

Cameras provide real-time monitoring and deter theft, especially when equipped with motion sensors and night vision. If theft occurs, footage becomes crucial evidence for investigators and claims.

2. Alarms and GPS tracking devices

Although thieves sometimes use signal jammers to disable GPS tracking, these devices remain valuable. Geofencing technology creates virtual boundaries to monitor assets.

Geofencing takes standard GPS tracking a step further by creating customizable “safe zones” around terminals, warehouses, and delivery routes. If a vehicle or trailer exits these virtual boundaries without authorization, an alert is immediately sent to the fleet manager or security team. This real-time visibility enables businesses to respond more quickly, often before the stolen load leaves the region.

When paired with telematics data, geofencing can also identify unusual driver behavior, such as extended idle times or unscheduled stops. “It’s about layering your protection,” Gearhart explains. “When GPS, cameras, and geofencing all work together, you gain a 360-degree view of your operation and can stop theft before it starts.”

“Some fleets are even embedding tracking devices directly into shipments,” Gearhart adds. “That way, if a load is stolen, they have tools to help law enforcement track it down.”

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3. Employee screening and training

Drivers must consistently follow safety protocols during stops, including always keeping cargo locked and secure, never leaving trucks unattended, and regularly inspecting vehicles. Rigorous driver training should emphasize load securement and theft prevention.

It’s also important to conduct detailed background checks for all employees who will come into contact with cargo, including drivers and warehouse workers.

4. Cybersecurity measures

Cyber attacks can compromise sensitive company data and organized crime often use them to forge cargo pickup documents. Safeguard digital supply chain platforms and foster robust cyber practices.

Insurance Coverage Matters

Even the best prevention plan can’t eliminate all risk. That’s where insurance protection steps in.

Fleet owners should ensure they’re carrying the right cargo coverage limits for what they haul.

“Carrying only $25,000 in cargo insurance when you’re hauling $100,000 worth of goods is a costly mistake,” Gearhart cautions. “Fleet owners need to know what they’re hauling and match their coverage to those values.”

Working with a knowledgeable agent and underwriting team can also uncover gaps. At Central, the loss control department provides fleets with tailored safety manuals and theft-prevention procedures—tools that go beyond coverage to help reduce claims altogether.

Beyond adequate limits, policy details matter. Coverage exclusions, valuation methods, and deductibles can all impact how a claim is handled. For instance, some policies may not include theft coverage while the vehicle is unattended or may limit protection to certain storage conditions. “Knowing exactly what triggers coverage is critical,” Gearhart notes. “You don’t want to find out after a loss that your policy didn’t cover that situation.”

That’s why working with a knowledgeable independent agent and an experienced underwriting team is so important. The right insurance partner doesn’t just issue a policy—they help tailor coverage and risk management strategies around your fleet’s unique operations.

At Central Insurance, that collaboration extends beyond the policy itself. The company’s loss control department provides fleets with:

• Training resources that educate drivers and dispatchers on recognizing suspicious activity and protecting high-value cargo.
• Consultative reviews of storage yards, lighting, and fencing to identify and correct vulnerabilities before they lead to loss.
• An individualized loss control program outlining best practices for parking, driver security, and cargo handling.

“Fleet insurance should be a partnership,” Gearhart emphasizes. “When carriers, agents, and policyholders work together, you’re not just responding to theft—you’re actively preventing it.”

Ultimately, insurance isn’t just a safety net; it’s a proactive tool for protecting assets, supporting drivers, and sustaining operational continuity even when the unexpected happens.

Learn more: Cargo Insurance: The Five Policies You Need to Protect Your Fleet

Building a Proactive Fleet Safety Culture

The most effective theft prevention strategy starts before a truck leaves the lot. That’s why Gearhart emphasizes the importance of planning routes, knowing where trucks will stop, and avoiding risky locations.

“Truckers can’t just roll in anywhere to avoid hours-of-service violations,” he explains. “They have to have a plan for well-lit, secure overnight parking. That preparation makes all the difference.”

To review your fleet’s theft-prevention strategy and cargo insurance coverage, contact your local independent Central Insurance agent.