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Cargo Theft, Loss Prevention, and Supply Chain Security by Dan Burges

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10

The True Impact of Cargo Theft

INFORMATION IN THIS CHAPTER:

• Analysis of downstream costs of cargo theft

• Impacts of cargo theft beyond monetary loss

• Special implications for the pharmaceutical sector

• Role of insurance companies in curbing costs

The cost of cargo theft is ultimately paid for by the consumer. For decades, corporations have factored into their pricing the expense of cargo theft and other shortages. The consumer has no ability to know how much is added to the retail price to account for these losses, but there is no denying that these costs are passed on and paid for at the cash register.

With every cargo theft, a value is assigned to the loss by the manufacturer or product owner. Typically this value represents either ...

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