Certified Logistics Technician (CLT) Practice Exam

Question: 1 / 400

What happens if the shipper does not provide a certificate of insurance when required?

The shipment may be delayed

When a shipper fails to provide a certificate of insurance when it is required, the most likely outcome is that the shipment may be delayed. The certificate of insurance serves as proof that the shipper has adequate coverage to protect against potential losses or damages during transit. Without this documentation, carriers may hesitate to take on the liability associated with the shipment, potentially leading to postponements in pickup or delivery. Carriers and logistics providers often have strict protocols regarding the handling of shipments that contain higher risks, and lacking proper insurance certification can disrupt the flow of operations. As a result, the delay arises as the shipper needs to fulfill this requirement before the shipment can be processed further.

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The shipment may be automatically insured

The shipment can proceed without restrictions

No impact occurs on the shipment

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