Background – A New Dimension in Cargo Theft

Cargo theft has changed significantly in recent years. While physical break-ins or robberies were previously the main focus, the risk is increasingly shifting to the digital space. Particularly notable is the rise of so-called phantom carriers or fake carrier.

These are not conventional thieves, but professionally organized criminal groups posing as legitimate transport companies. They fraudulently obtain transport orders, officially take over the goods, and then disappear without a trace.

Some Facts and Figures[1]:

  • 88 cases of phantom carriers were recorded in just the first seven months of 2025 – as many as in the entire year of 2024.
  • The average loss per case rose from approximately €130,000 to nearly €200,000.
  • Statistically, a complete truck load disappears in Germany through fraud every three days.
  • An estimated nearly 26,000 truck loads are stolen annually, amounting to a total damage of approximately €1.3 billion.

This trend demonstrates that these are no longer isolated cases of fraud, but a structural risk in the modern transport environment.

How the Fraud Scheme Works

Phantom carriers exploit digital vulnerabilities in modern transport processes:

  1. Freight Exchanges as a Gateway:
    Perpetrators identify lucrative orders on digital platforms and contact clients directly, often outside the platform.
  2. Identity Concealment:
    They pose as legitimate carriers, often using real company names with slightly modified email domains or forged insurance certificates.
  3. Convincingly Authentic Documents:
    Manipulated or forged insurance certificates, commercial register extracts, and contact information mislead dispatchers into quickly awarding contracts.
  4. Goods Handover and Escape:
    Once the goods are handed over, the “carrier” drives off and is subsequently unreachable. The goods are never delivered to the recipient.

The modus operandi points to clearly structured, organized criminal groups that deliberately exploit digital processes.

Example: High-Value Electronics “Disappear”

A mid-sized shipper has commissioned an international delivery of high-value electronic components. The dispatch department awards the contract at short notice based on a seemingly favorable offer received through an external freight portal. Documents and insurance certificates appear authentic. As soon as the transporting truck arrives with license plates and driver, the goods are handed over. But the “carrier” never delivers.

Loss:

  • Cargo value: approx. €230,000
  • No trace of carrier or cargo
  • Police investigating, investigations ongoing
  • Disputes with insurers regarding duty of care obligations

Impact on Insurance Coverage and Claims Handling

From the perspective of insurers, several problem areas arise in these cases:

  1. Breaches of duty by the policyholder
    • Was carrier identity adequately verified?
    • Were identity documents and company records verified?
    • Were due diligence obligations in the selection of the carrier adhered to?
      These questions are frequently at the center of discussions between insurer and policyholder.
  2. Insurance Terms and Coverage Exclusions
    • Certain transport or liability insurance contracts contain exclusions when gross negligence has occurred (e.g., inadequate vetting of contracting partners).
    • According to current industry press, insurers are planning changes to standard policy terms to address risks more specifically.
  3. Consequential Damages and Business Interruption
    • Beyond the pure value of the cargo, additional indirect losses can arise: production shutdowns, contractual penalties, loss of customers, and consequential damages from supply chain failures.

Prevention: Practical Tips and Recommendations

The GDV and industry experts recommend taking action as early as the initiation of the transport order:

An effective prevention system includes in particular:

  • Identity Verification:
    • Verify commercial register extracts
    • Phoning of officially researched numbers
    • Domain check of email addresses
    • Background and credit checks
  • Contractual Safeguards:
    • Verify insurance certificates directly with the insurer
    • Obtain references from existing customers
  • Internal Processes:
    • Standardized approval processes for new carriers
    • Training for dispatchers on deception patterns
    • No exclusive communication via mobile phones or external email platforms

Only through this combination of process security and insurance coverage does robust risk control emerge.

The Decisive Role of the Insurance Industry

Insurers and insurance intermediaries have several levers to make a decisive difference. These include the following areas:

  1. Risk Analysis & Process Diagnosis: Conducting a structured analysis of internal procedures.
  2. Implementation of a carrier verification process, e.g., through the use of a verification checklist prior to contract award and a carrier approval process.
  3. Insurance Optimization: The objective is to establish clear conditions for a potential claim that make the assessment of the loss event unambiguous. This helps avoid disputes over breaches of duty or the point of transfer of risk. The following measures can help:
    1. Inclusion of all-risk coverage including fraud scenarios
    2. Specifically formulated duty of care for client verification
    3. Documentation requirements as a contractual component
  4. Training and Awareness: Training in the form of workshops that significantly raise awareness in the operational area for possible signs of deception.

Conclusion:

Phantom carriers are no longer a marginal phenomenon today, but a significant and growing risk in supply chains with high average losses. The combination of digital freight exchanges, manipulated identities, and professional deception poses challenges for companies and insurers alike.

It is precisely at this intersection of operational risk, insurance law assessment, and preventive process design that Breffka & Hehnke GmbH & Co. KG operates.

Who is Breffka & Hehnke GmbH & Co. KG?

Breffka & Hehnke GmbH & Co. KG (B&H or Breffka & Hehnke), an independent and family-owned Managing General Agent (MGA) with over 100 years of experience, has positioned itself since early 2025 as a specialized partner for insurance brokers in the field of transport insurance. The company combines expert know-how with comprehensive underwriting authorities and offers brokers immediately accessible, tailored solutions for demanding national and international transport risks.

For more information, please visit the official website: https://www.breffka-hehnke.de/makler

[1] Source: GDV.