Supplements

February 2004          


 CONTENTS

Loss control
protecting and insuring valuable assets

 

No one will dispute that in South Africa, a combination of crime and road accidents makes trucking a risky business. This, therefore, makes risk management and loss control a key company function for a logistical service provider and truck hire company such as Spartan Truck Hire.

The man who holds the reins in the loss control arena at Spartan is Trevor Raper who founded the company's loss control department in 1998 bringing with him 14 years experience as a detective in the South African Police Services. He has now added five years of investigating and protecting company assets, so he is ideally suited to the job.
  

Trevor Raper

"We are not just there to protect our truck fleet but customer cargo as well - our loss control expertise is part of the value-added package." 

The loss control files at Spartan Truck Hire are a real store of historical data with incidents ranking the following order of severity:

  • A fatal incident where no stone is left unturned in the investigation to get to the absolute truth.

  • Hijackings.

  • Theft of any kind.

  • Minor accidents.

  • Yard damages.

The record speaks for itself at Spartan: During 2003 there were three hijackings and two vehicle thefts in the fleet. Testimony to the efficiency of the loss control department lies in the fact that all vehicles were recovered.

As Raper reports, the task has a wide range. "We investigate anything from a broken indicator lamp to a hijacking because wherever we are justified in loss recovery, we must prove our claim." As he says, you don't want your hard earned profit eroded by bashed fenders that cost around R1 000 to repair.

Attention to detail is what makes this side of the operation a success. Take the case of when a truck was hijacked in 2002 and the number plate changed. On the same day, Raper spotted a Spartan truck but with number plates that came from an area where no Spartan trucks are registered. Not knowing that this was the hijacked vehicle, he reported it and tracked it until it was recovered by the police. Same day recovery was the result of being wide awake and observant of small details.

Modern technology enhances daily loss control activities. Incident records and decision-making now rely heavily on digital photography, producing instant pictures and rapid transmission where vehicle damage is involved. Digital images are key evidence and must be captured as soon as possible after any incident.

The fleet is predominantly equipped with Netstar tracking devices against theft and hijacking, including GPS satellite tracking for vehicles with high-value rated cargo.

Loss control management goes well beyond protecting Spartan's vehicles. In most cases, a vehicle will be loaded so Raper's success as loss control manager extends right into a customer's logistical supply chain where goods are recovered and cared for. 

A person who really appreciates the fine work done by this department is Evey Strydom who manages Spartan's insurance portfolio to ensure that recoveries are correctly handled. Says Evey: "A well-presented case from Loss Control department will help contain any 'fall-out' arising from an incident".
 

Evey Strydom

"Understanding and managing insurance legal procedures and fineprint is all part of loss control efficiency." 

Raper concludes: "We do not charge our clients for load recovery but it's not the just the value of cargo involved in road incidents, it's the inconvenience and knock-on effect of not delivering that can also impact on clients and their customers. Our minimal loss record and 100% recovery rate spells out our interest in looking after our clients on the road. It's a win-win for us and our customers."

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