RISK MANAGEMENT & INSURANCE
TRANSIT RISK INSURANCE
When University property is shipped via any commercial transit carrier within the United States, its possessions and territories, and/or Canada, it is automatically insured, at no cost, under the University’s Property Self-Insurance Program.
Property shipped by any governmental postal service, including the U.S. Postal Service, is not covered.
No notice is required for shipments of property with a value less than $7,500,000.
Shipments of property with a value in excess of $7,500,000 must be reported to the Risk Management office a minimum of one week in advance of shipment so that UC’s insurance broker can arrange for adequate coverage.
Departments are not charged for transit insurance.
When University property is shipped via any commercial transit carrier to or from anywhere outside the United States, its territories and possessions, and/or Canada, it is automatically insured under the University’s Commercial Marine Cargo Insurance policy.
If a department purchases equipment from a vendor who is located outside the United States, its territories and possessions, and/or Canada, the equipment vendor may pay for and provide transit insurance for the shipment of the equipment. Transit insurance is critical to the University’s financial interest when its property is being shipped so it is important that Departments work closely with Procurement Services to make certain all shipments are insured.
In the event that the vendor does not pay for or provide transit insurance, then the University’s Commercial Marine Cargo Insurance will provide the transit insurance coverage. If a department wants to insure a shipment under the Marine Cargo Insurance policy, the UCSB Risk Management office requires the department to report the shipment on an Application for Foreign Transit Insurance. The completed Application must be submitted to the Risk Management office with an itemized list of the items being shipped and their value attached to the Application.
Coverage under the University’s Commercial Marine Cargo Insurance policy may not be available for shipments to and from countries that are subject to trade or economic embargos. Call the Risk Management office if you have coverage questions.
Shipments of property with a value in excess of $5,000,000 must be reported to the Risk Management office three weeks in advance of shipment so that UC’s insurance broker can arrange for adequate coverage.
The Risk Management office submits information about our campus’ foreign transit shipments to the Marine Cargo Insurance underwriter on a quarterly basis. The underwriter uses the information to determine, on an annual basis, (1) the cost of coverage for each campus and (2) that the amount of coverage the University carries is sufficient.
REPORTING A LOSS AND FILING A CLAIM
If you or your department have suffered a transit-related property loss or damage and want to report the loss and file a claim, go to UC Property Loss Claim.