Escalating Cargo Theft and Freight Fraud: Billions in Losses Prompt IUMI and TAPA Warnings for Marine Insurers in 2026
Global marine insurers are confronting heightened financial strain from a dramatic upsurge in cargo theft and freight fraud, as criminal operations blend physical attacks with advanced online schemes. Industry leaders stress that these evolving threats are pushing loss ratios higher and demanding a fundamental overhaul of underwriting practices, counterparty evaluations, and preventive measures.
The International Union of Marine Insurance (IUMI) and Transported Asset Protection Association (TAPA) EMEA have issued a joint alert detailing intensified cargo-related incidents spanning Europe, the Americas, and Africa. Regions like Latin America and select African countries face especially aggressive, organized violence, while digital tactics gain prominence worldwide.
TAPA’s intelligence database logged nearly 160,000 cargo crimes across 129 nations from 2022 to 2024, resulting in aggregate losses valued in the billions of euros. In North America, 2024 thefts alone tallied $455 million across more than 3,600 cases, averaging over $202,000 per event. For Europe, the Middle East, and Africa, TAPA documented over 108,000 supply-chain thefts in excess of 110 countries during the same timeframe. Among incidents reporting values (about 5%), combined damages surpassed €1 billion—translating to more than €1.3 million lost daily. High-value cases (exceeding €100,000) averaged €878,525.
Beyond conventional risks like vehicle hijackings, warehouse intrusions, and street-level pilferage, fraud now dominates as a primary loss source. Organized groups exploit weaknesses in digital logistics ecosystems, employing tactics such as shell entities, duplicated company identities, counterfeit insurance proofs, spoofed emails, and mimicry websites to intercept shipments.
Thorsten Neumann, TAPA EMEA’s president and CEO, emphasized the fusion of traditional and cyber methods: criminals leverage forged credentials to infiltrate legitimate transport flows. He cautioned that emerging AI technologies could amplify these operations, boosting both occurrence rates and claim magnitudes.
These developments extend challenges for underwriters beyond direct payouts. Bogus operators on online freight marketplaces erode verification protocols, elevate litigation probabilities, and hinder recovery pursuits—especially in multi-party, international claims.
IUMI and TAPA EMEA advocate proactive steps for all supply-chain actors, including insurers, brokers, and logistics providers. Their collaborative recommendations include:
- Rigorous screening of carriers, drivers, and intermediaries
- Thorough authentication of insurance paperwork and qualifications
- Vigilant monitoring for irregular booking patterns or deviations
- Prioritizing secure storage, optimized routing, and adherence to established security protocols
Lars Lange, IUMI secretary general, pinpointed digital freight platforms as a critical vulnerability. He urged platforms to implement robust safeguards like multi-factor authentication and enhanced fraud monitoring to curb unauthorized access and reduce preventable insurer exposures.
Amid persistent supply-chain vulnerabilities, cargo underwriters are already adjusting appetites in vulnerable routes, reassessing concentration risks at key nodes, and scrutinizing final-delivery segments. As cyber-enabled fraud merges with on-the-ground threats, policy language, site inspections, and premium structures may require updates to address identities and trustworthiness alongside physical safeguards like tracking devices and barriers.
Ultimately, effective cargo risk management now hinges not only on shipment pathways but critically on verifying the reliability of every party handling goods in an increasingly deceptive environment.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.