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What is OCP insurance?

Every entrepreneur is setting up a company dealing in the commercial transport of goods, he has certainly heard more than once about the carrier’s OCP. Under this mysterious abbreviation there is nothing else than carrier’s liability insurance. It is one of the most popular policies in the insurance market in this business sector. There are still myths around it that often mislead new entrepreneurs. Therefore, below we explain the basic issues related to the carrier’s OCP.

What does the carrier’s OCP protect ?

This type of insurance provides protection depending on the selected or fully selected third party liability for total or partial damage, failure to deliver on time or loss of goods entrusted by the customer during transport, as a result of random accidents, such as a blocked and impassable street, accident or collision. road, poor surface condition. This type of insurance is intended for all entrepreneurs who transport goods for profit. Despite the fact that in our country no regulations impose the obligation to have a OCP policy purchased by people conducting transport activities, more and more often the customers themselves force them to do so, because more and more companies resign from cooperation with companies that do not have a carrier’s OCP.

What are the advantages of having a carrier’s OCP?

The regulations clearly state that it is the carrier who is fully obliged to cover the losses and possible compensation in the event of any complications or damage to transport. Accidents happen on people, you can never be sure what can happen on the road during the transport of customer products. To put it simply, in a situation where the company does not [have carrier’s civil liability insurance , the owner covers all damages, contractual penalties and compensation for clients out of his own pocket. The carrier’s OCP primarily protects the transport companies financially, but also gives credibility to customers in terms of solvency in the event of possible problems with transport.

What is the cost of the carrier’s OCP ?

Many factors influence the insurance price. The greatest impact, however, is the sum insured chosen by the carrier, which is to be paid in the event of damage. An additional influence on the price is the scope of insurance, whether it covers all possible [cases. For example, damage caused by the carrier’s fault or his negligence. For such a record you have to pay extra for the insurer. Another aspect is the scope on which the carrier’s OCP is to apply. We will definitely pay cheaper for insurance valid in our country, for insurance valid in the European Union or the whole world, you have to take into account the increase in the price of the insurance premium. Most often, the premium for the carrier’s OCP is determined by insurance companies based on the annual net turnover for the previous year. OCP
carrier covering the entire damage or with own contribution? The best and safest option is to buy a policy that covers the entire value of the goods transported with the sum insured, because then in the event of damage we do not bear any costs. In the event of damage, the insurer covers the entire value of the goods indicated in the consignment note. Self-insurance is cheaper. However, when using them, you should take into account that in the event of damage, the entrepreneur covers part of the loss from his own pocket.

Is there a type of products that are not covered by the carrier’s OCP?

Yes, there is a group of products that insurance companies exclude from the carrier’s liability insurance. These most often include dangerous goods (ADR), as well as medicines, money, documents of high value, live animals, works of art, tobacco and alcohol. The behavior of insurers is explained by the fact that the value of these products is too high and the risk of damage is too high. Of course, after paying the appropriate fee, you can include these exclusions in the carrier’s OCP policy, but in the basic version you will definitely not find them.

When does this insurance work?

The carrier’s OCP policy covers in its basic version any damage that occurs as a result of a traffic accident with the carrier or a failure of the carrier’s car, due to which the goods have been damaged or not delivered on time. You can also count on the payment of compensation for failure to meet delivery deadlines when our driver is stopped during customs clearance
in order to complete the documentation or perform a routine random check. It also includes the sudden illness of the driver, which effectively prevents him from continuing to drive with the customer’s goods. In addition, some policies also include a policy for damage incurred during the roadside inspection on the route that the
driver traveled.

Taking into account the above aspects, it is one of the most profitable insurance in the transport industry that should be owned, if not for credibility with customers, it is your own safety and financial security of the company.

Polish