Increasing Cargo Theft: NICB Sounds Alarm for 2025 Security Measures

The National Insurance Crime Bureau (NICB) has issued a stark warning regarding a significant increase in cargo theft, predicting that it will worsen in 2025. According to recent reports, cargo theft rose a staggering 27% in 2024 alone and is expected to spike an additional 22% by the end of 2025. The combination of evolving criminal tactics, economic pressures such as tariffs, and the availability of sophisticated technology to evade law enforcement is contributing to this escalating crisis.

The NICB, known for its mission to combat insurance fraud and related crimes, has already aided in over 240 cargo crime investigations in the past year. This has resulted in the recovery of goods valued at nearly $40 million. The organization highlights that the value of stolen merchandise exceeded $1 billion in 2023, signaling that cargo crimes are at an all-time high.

David J. Glawe, the President and CEO of NICB, remarked on the vulnerabilities that criminals exploit in the supply chain. He pointed out that weaknesses in commonly used business technologies such as Voice over Internet Protocol (VoIP) and GPS, along with issues like business email compromises and identity theft, have enabled organized criminals to reroute valuable goods—ranging from electronics to pharmaceuticals—directly into the black market.

The Impact on Consumers and Businesses

As the costs of stolen goods mount, these losses do not occur in isolation. Manufacturers dealing with the aftermath of theft often pass increased costs on to consumers. Furthermore, the challenge in accurately capturing and reporting these crimes hampers the ability of law enforcement and industry partners to combat the issue effectively. Indeed, the NICB calls on stakeholders across the transportation and insurance sectors to enhance data sharing to identify patterns and combat this growing threat.

Essential Security Measures

To mitigate the risks associated with cargo theft, NICB recommends several crucial preventive measures for businesses within the supply chain:
1. Employee Screening: Conduct background checks for every employee, especially those with access to sensitive shipping information.
2. Training on Theft Recognition: Implement training programs to educate employees about the warning signs of cargo theft. This should include educating truck drivers about hijacking vulnerabilities and how to respond effectively.
3. Transport Partner Verification: Carefully vet transportation partners to ensure they align with your organization's security philosophy. They should also conduct regular background checks and prohibit practices like double brokering, which can complicate tracking and ownership of cargo.
4. In-Transit Security: Adopt security measures while goods are in transit. Avoid stopping in high-risk areas within the first 200 miles, stay in known secure locations, and be aware of local threats.
5. Vigilance and Surveillance: Promote constant vigilance among drivers and security personnel. Utilizing countersurveillance methods can enhance the security of cargo during transportation and storage.
6. Technology Utilization: Leverage advanced security technologies—such as tracking systems, alarms, and high-intensity lighting—to secure cargo areas, entrances, and physical barriers against theft.
7. Routine Audits: Conduct regular audits of shipping security practices to identify potential gaps and implement updates based on evolving threats.

Conclusion

The alarming trajectory of cargo theft requires urgent attention from every corner of the supply chain. With increased collaboration between law enforcement, the transportation industry, and insurance carriers, there is hope for more effective deterrence against these crimes. If individuals suspect potential cargo theft, the NICB advises them to report it immediately to local law enforcement, their insurance provider, and call the NICB hotline at 1-800-TEL-NICB.

In summary, the national picture painted by the NICB calls for a united front in security measures to protect the integrity of the supply chain and safeguard against theft, which inevitably impacts consumers and businesses alike. Understanding and addressing the vulnerabilities within current systems is essential to reversing this worrying trend.