FIATA Presidency have chosen to partner with Avalon Risk Management Inc., instead Roanoke Trade, to provide the FIATA Group Bond Programme for the USA in the new annual term beginning 1st December 2005.
All OTIs, not only NVOCCs, but also freight forwarders in the USA, must post a bond to cover liability for their transport related activities.
- USD 50'000 Licensed freight forwarder in the USA operating in US export trades
- USD 75'000 Licensed US NVOCC or foreign NVOCC with an FMC license
- USD 150'000 Unlicensed foreign NVOCC
- USD 3'000'000 Maximum amount for a Group Umbrella Bond (ceiling, as for instance for the FIATA Group Bond)
- USD 10'000 Additional amount for each additional unincorporated branch office in the USA
For the FIATA Group Bond administered by AVALON Risk Management Inc., Elk Grove Village, IL 60007 the annual premiums for Co-Principals having joined or wishing to join the programme (which is open to freight forwarders being either members of a national association affiliated to FIATA or Associate FIATA Members) will be 1(one) percent of the bond amount, i.e.:
- US NVOCCs or foreign NVOCC with an FMC license USD 750.00 per year
- Foreign NVOCC without an FMC license USD 1'500.00 per year
The requirements for joining the FIATA Group Bond Programme are herewith once again recalled:
- Each freight forwarder (NVOCC) must be a member of a national freight forwarders association
affiliated to FIATA or an Associated Member of FIATA. The freight forwarder must be able to provide
a certificate of membership either from its national freight forwarders association or FIATA.
- Each freight forwarder (NVOCC) must have both Freight Forwarder's Legal Liability and Errors and
Omissions insurance. Certificates of the insurance cover must be submitted together with the original
application. The Legal Liability and Error and Omission insurance is identical with the FIATA FBL
carrier liability insurance cover.
- Each freight forwarder must complete a FIATA Group Bond application in its entirety and send it
directly to AVALON. They must also submit a copy of the cover page of their published tariff and bill
- Payment of the annual fee must accompany the application.
The FIATA Group Bond offers the advantage of lower premiums compared to individual bonds. Moreover,
no collateral is required and Resident Agent fee for service of process is included.
The address where applications or riders to existing bonds must be directed to:
AVALON RISK MANAGEMENT, INC.
150 Northwest Point Blvd., 4th Floor
Elk Grove Village, IL 60007
Phone : +1-847-700-8100
Fax : +1-847-264-2770
E-mail : email@example.com