Loading and unloading insurance
A business paid to haul others' goods is liable by statute for loss it causes to them, and ISO's business auto form does not pay for those goods. 49 U.S.C. 14706(a)(1) makes an interstate carrier liable for "the actual loss or injury to the property," and Utah Code 72-9-401 does the same between two Utah points; Utah Code 72-9-402(2) waives the notice of claim for damage "while being loaded or unloaded." Progressive's cargo endorsement Form Z434 (02/19), filed for use in Utah on December 6, 2019, says it pays during loading or unloading only while the goods are in the insured's exclusive physical custody. Before the first load, write down who loads, who unloads and where.
Who is responsible for damage during loading and unloading?
Under federal and Utah statutes, the carrier that takes goods for transport is liable for loss or damage it causes to them. 49 U.S.C. 14706(a)(1), in the 2023 edition of the U.S. Code, makes an interstate carrier liable for "the actual loss or injury to the property caused by" the receiving carrier, the delivering carrier or another carrier on the route; the same paragraph says "Failure to issue a receipt or bill of lading does not affect the liability of a carrier."
Utah Code 72-9-401(1) makes a motor carrier moving property from one Utah point to another liable "for any loss, damage, or injury to the property caused by the motor carrier," and says no "contract, receipt, rule, regulation, or other limitation of any character whatsoever" may exempt it. Utah Code 72-9-402(2) names loading when it sets claim procedure: no notice of claim is needed before recovery when the loss is "due to delay or damage while being loaded or unloaded."
49 U.S.C. 14103 speaks to who does the physical work. 14103(a) says a shipper or receiver that requires an interstate driver be assisted in loading or unloading "shall be responsible for providing such assistance or shall compensate the owner or operator" for its cost, and 14103(b) makes it unlawful to coerce a for-hire driver to load, unload, or pay someone else to.
Does commercial auto insurance cover loading and unloading?
ISO's business auto form never names loading or unloading; it covers use of a covered auto and excludes handling before pickup and after final delivery. CA 00 01 11 20 pays damages for bodily injury or property damage "resulting from the ownership, maintenance or use of a covered "auto"," and its Handling Of Property exclusion removes handling "Before it is moved from the place where it is accepted by the "insured" for movement into or onto the covered "auto"" and "After it is moved from the covered "auto" to the place where it is finally delivered by the "insured"." Handling between those two points is not removed by that exclusion, though the form does not call it use in words.
Two more CA 00 01 exclusions draw the edge at the dock. The form excludes injury or damage "resulting from the movement of property by a mechanical device (other than a hand truck) unless the device is attached to the covered "auto"," so a liftgate attached to the truck is outside that exclusion and a forklift that is not attached is inside it. Its Care, Custody Or Control exclusion removes property damage "involving property owned or transported by the "insured"," which leaves the load itself to a cargo form. On the general liability side, ISO's CG 00 01 12 25 says in its auto exclusion that "Use includes operation and "loading or unloading"," and its definition of loading or unloading leaves out movement by a mechanical device, other than a hand truck, "that is not attached" to the auto.
What should the bill of lading or rate confirmation say about loading and unloading?
Progressive's filed Form Z434 says its cargo cover pays liability under a written shipping document such as a bill of lading or rate confirmation. Form Z434 (02/19) says it pays loss "that you are legally liable to pay as a trucker under a written: bill of lading, tariff document, rate confirmation sheet, shipping receipt, or contract of carriage." For an interstate for-hire load, 49 CFR 373.101 requires the receipt or bill of lading to carry the "Names of consignor and consignee," the origin and destination, the number of packages, a description of the freight and, where it rates the load, its weight.
49 CFR sets two rules at the loading point. 49 CFR 392.9(a) bars a driver from operating, and a motor carrier from requiring or permitting a driver to operate, a commercial motor vehicle unless its cargo "is properly distributed and adequately secured"; 392.9(b)(4) lifts the driver's inspection duties for a sealed vehicle the driver has been ordered not to open and for a load that makes inspection impracticable. For household goods a mover transports for an individual shipper, 49 CFR 375.503 requires a written, itemized inventory identifying "every carton and every uncartoned item" before or at loading.
Before the first load, write down who had the goods at each step, the custody Z434's wording turns on:
- Who loads and unloads, and where: the driver or the other side's crew, at a dock or a building
- What moves the goods: hand, hand truck, the truck's liftgate or the site's forklift
- Whether trailers are sealed, and where count and condition are signed for
Does cargo insurance cover loading and unloading?
Progressive's filed cargo endorsement, Form Z434, says it pays during loading or unloading only while the goods are in the insured's exclusive physical custody and control. Form Z434 (02/19), submitted by United Financial Casualty Co. in Utah SERFF filing PRGS-132168602 and filed for use on December 6, 2019, modifies Progressive's own Commercial Auto Policy, not ISO's form; the filing shows the form as filed in 2019, not which policies carry it today. Z434 says the goods must be in that custody "while in due course of transit in, on, or attached to an insured auto; or 2. during loading or unloading," and defines loading or unloading as "the direct physical process of hoisting, lifting, or moving covered property: a. onto an insured auto from the ground or loading docks adjacent to such insured auto; or b. off of an insured auto to the place where it is finally delivered."
Z434 also sets limits of time and work at the delivery site. It says transit ends at the first of acceptance by the consignee, acceptance at an intermediate point, "72 hours after arrival at destination," or "any other stop that exceeds 72 hours," and its Installation Operations peril excludes loss from "Your operation as rigger, hoister, erector, installer, or dismantler." Z434 applies only "if you pay the premium for this Motor Truck Cargo Legal Liability Coverage"; it says nothing about another insurer's cargo form.
| What happens | Business auto (ISO CA 00 01) | Cargo (Progressive Z434) |
|---|---|---|
| A carton on a hand truck injures a passer-by before the delivery point | Not removed by the handling or mechanical device exclusions | Not a cargo loss |
| An unattached forklift damages the receiver's wall | Excluded: mechanical device not attached to the auto | Not a cargo loss |
| The driver drops the pallet and the goods break | Excluded: property transported | Progressive says it pays if the goods were in the insured's exclusive custody, under a written shipping document, and the cause is a covered peril |
| Loaded goods wait four days at the destination | Excluded: property transported | Progressive says transit ended 72 hours after arrival |
What do you send to talk through cover for loading and unloading?
A conversation about loading and unloading starts from who handles the goods, the paper that assigns it, the load and the vehicles. Send these by text; the first reply is a conversation about what each step needs and what to look for in a policy.
- Who loads and unloads, and where
- The contract or rate confirmation that assigns responsibility for loading, unloading and the goods
- Cargo types and the highest value on one load
- Each vehicle and trailer: year, make, model, body type and value, and any liftgate
- A plain description of what the business does and what the vehicles carry
- Every driver's name, date of birth and license number, the USDOT and MC numbers if the business has them, and the date cover has to start
Sources: 24
How long does a shipper have to claim for damage during unloading in Utah?
Utah Code 72-9-402(1) has a motor carrier allow at least 90 days to give notice, four months to file a claim and two years to sue; 72-9-402(2) says no notice or filing is required first when the loss came from damage while being loaded or unloaded.
Does the MCS-90 pay for cargo damaged during unloading?
No. The MCS-90 endorsement in 49 CFR 387.15 says its public liability cover does not apply to "property transported by the insured, designated as cargo."
Where these answers come from
Each entry carries the exact words of the source so you can check it yourself. Forms, rules and carrier pages change; read the current version before acting.
- 1. 49 U.S.C. 14706(a)(1), carrier liability for actual loss, 2023 edition, govinfo
“The liability imposed under this paragraph is for the actual loss or injury to the property caused by (A) the receiving carrier, (B) the delivering carrier, or (C) another carrier over whose line or route the property is transported”
govinfo.gov, accessed October 12, 2026. It applies to carriers under FMCSA's jurisdiction (subchapter I or III of chapter 135), not to private carriage. - 2. 49 U.S.C. 14706(a)(1), liability without a bill of lading, 2023 edition, govinfo
“Failure to issue a receipt or bill of lading does not affect the liability of a carrier.”
govinfo.gov, accessed October 12, 2026. Same paragraph. It opens: "A carrier providing transportation or service subject to jurisdiction under subchapter I or III of chapter 135 shall issue a receipt or bill of lading for property it receives for transportation under this part." - 3. Utah Code 72-9-401(1)(a), motor carrier liability for property carried within Utah
“A motor carrier receiving property for transportation from one point in this state to another point in this state shall issue a receipt or bill of lading for the property, and shall be liable to the lawful holder of the property for any loss, damage, or injury to the property caused by the motor carrier,”
le.utah.gov, accessed October 12, 2026. Subsection (3)(b) allows released-value rates only where authorized "by order of the commission"; this page does not say how released rates work in Utah today. - 4. Utah Code 72-9-401(1)(b), no contract exemption
“A contract, receipt, rule, regulation, or other limitation of any character whatsoever may not exempt the motor carrier from this liability.”
le.utah.gov, accessed October 12, 2026. Same pull. Whether the section reaches a business carrying its own goods is not stated. - 5. Utah Code 72-9-402, time for claims and suits, and damage during loading or unloading
“If the loss or injury complained of is due to delay or damage while being loaded or unloaded, or damage in transit caused by carelessness or negligence, a notice of claim or a filing of claim is not required as a condition precedent to recovery.”
le.utah.gov, accessed October 12, 2026. Subsection (1): "A motor carrier shall allow at least: (a) 90 days for giving notice of claims for any loss, damage, or injury to property; (b) four months for the filing of claims; and (c) two years for the institution of suits." - 6. 49 U.S.C. 14103(a), loading and unloading motor vehicles, 2024 edition, govinfo
“the shipper or receiver shall be responsible for providing such assistance or shall compensate the owner or operator for all costs associated with securing and compensating the person or persons providing such assistance.”
govinfo.gov, accessed October 12, 2026. the 2024 edition places the section in subchapter I). Subsection (a) applies "Whenever a shipper or receiver of property requires that any person who owns or operates a motor vehicle transporting property in interstate commerce ... be assisted in the loading or unloading of such vehicle". Subsection (b) makes it unlawful "to coerce or attempt to coerce" a for-hire driver to load or unload or to pay persons to do so. - 7. ISO CA 00 01 11 20, Business Auto Coverage Form, Section II A, Covered Autos Liability Coverage
“We will pay all sums an "insured" legally must pay as damages because of "bodily injury" or "property damage" to which this insurance applies, caused by an "accident" and resulting from the ownership, maintenance or use of a covered "auto".”
assets.touchpointmarkets.com, accessed October 12, 2026. A carrier's policy may use its own form or endorsements that change this wording. - 8. ISO CA 00 01 11 20, Section II B.7, Handling Of Property exclusion
“"Bodily injury" or "property damage" resulting from the handling of property: a. Before it is moved from the place where it is accepted by the "insured" for movement into or onto the covered "auto"; or b. After it is moved from the covered "auto" to the place where it is finally delivered by the "insured".”
assets.touchpointmarkets.com, accessed October 12, 2026. Contiguous in the form; checked against the layout text because plain extraction interleaves the columns. A carrier's policy may use its own form or endorsements that change this wording. - 9. ISO CA 00 01 11 20, Section II B.8, Movement Of Property By Mechanical Device exclusion
“"Bodily injury" or "property damage" resulting from the movement of property by a mechanical device (other than a hand truck) unless the device is attached to the covered "auto".”
assets.touchpointmarkets.com, accessed October 12, 2026. A carrier's policy may use its own form or endorsements that change this wording. - 10. ISO CA 00 01 11 20, Section II B.6, Care, Custody Or Control exclusion
“"Property damage" to or "covered pollution cost or expense" involving property owned or transported by the "insured" or in the "insured's" care, custody or control. But this exclusion does not apply to liability assumed under a sidetrack agreement.”
assets.touchpointmarkets.com, accessed October 12, 2026. The hub page cargo-vs-tools-vs-customer-property owns this exclusion; quoted here in one sentence. A carrier's policy may use its own form or endorsements that change this wording. - 11. ISO CG 00 01 12 25, Commercial General Liability Coverage Form, exclusion g, aircraft, auto or watercraft
“"Bodily injury" or "property damage" arising out of the ownership, maintenance, use or entrustment to others of any aircraft, "auto" or watercraft owned or operated by or rented or loaned to any insured. Use includes operation and "loading or unloading".”
assets.touchpointmarkets.com, accessed October 12, 2026. A carrier's policy may use its own form or endorsements that change this wording. - 12. ISO CG 00 01 12 25, definition 13, mechanical device carve-out
“but "loading or unloading" does not include the movement of property by means of a mechanical device, other than a hand truck, that is not attached to the aircraft, watercraft or "auto".”
assets.touchpointmarkets.com, accessed October 12, 2026. The closing clause of the same definition. A carrier's policy may use its own form or endorsements that change this wording. - 13. Progressive Form Z434 (02/19), opening, the policy it modifies, Utah SERFF PRGS-132168602
“We agree with you that the insurance provided under your Commercial Auto Policy is modified as follows:”
serff-sfa.naic.org, accessed October 12, 2026. Page 1; the line before it reads "Except as specifically modified by this endorsement, all provisions of the Commercial Auto Policy apply." The SERFF summary prints Disposition Date 12/06/2019, Disposition Status FILED FOR USE. Progressive (United Financial Casualty Co., NAIC 11770) Form Z434 (02/19), Motor Truck Cargo Legal Liability Coverage Endorsement, Utah SERFF filing PRGS-132168602, submitted 12/5/19, FILED FOR USE 12/06/2019. the link opens the filing summary, not the PDF. Primary only for what Progressive's own endorsement says; another insurer's cargo form is worded differently. - 14. Progressive Form Z434 (02/19), Motor Truck Cargo Legal Liability Coverage Endorsement, insuring agreement, Utah SERFF PRGS-132168602
“if you pay the premium for this Motor Truck Cargo Legal Liability Coverage, we will pay for the direct physical loss to covered property that you are legally liable to pay as a trucker under a written: bill of lading, tariff document, rate confirmation sheet, shipping receipt, or contract of carriage.”
serff-sfa.naic.org, accessed October 12, 2026. Insuring Agreement—Loss To Covered Property, page 1. Progressive (United Financial Casualty Co., NAIC 11770) Form Z434 (02/19), Motor Truck Cargo Legal Liability Coverage Endorsement, Utah SERFF filing PRGS-132168602, submitted 12/5/19, FILED FOR USE 12/06/2019. the link opens the filing summary, not the PDF. Primary only for what Progressive's own endorsement says; another insurer's cargo form is worded differently. - 15. Progressive Form Z434 (02/19), insuring agreement, custody in transit or during loading or unloading
“For this coverage to apply, the covered property must, at the time of loss, be in your exclusive physical custody and control: 1. while in due course of transit in, on, or attached to an insured auto; or 2. during loading or unloading.”
serff-sfa.naic.org, accessed October 12, 2026. Same paragraph, page 1. Progressive (United Financial Casualty Co., NAIC 11770) Form Z434 (02/19), Motor Truck Cargo Legal Liability Coverage Endorsement, Utah SERFF filing PRGS-132168602, submitted 12/5/19, FILED FOR USE 12/06/2019. the link opens the filing summary, not the PDF. Primary only for what Progressive's own endorsement says; another insurer's cargo form is worded differently. - 16. Progressive Form Z434 (02/19), Additional Definitions 7, loading or unloading
““Loading or unloading” means the direct physical process of hoisting, lifting, or moving covered property: a. onto an insured auto from the ground or loading docks adjacent to such insured auto; or b. off of an insured auto to the place where it is finally delivered.”
serff-sfa.naic.org, accessed October 12, 2026. Page 5. The definition continues with a separate rule for auto haulers (one road mile). Progressive (United Financial Casualty Co., NAIC 11770) Form Z434 (02/19), Motor Truck Cargo Legal Liability Coverage Endorsement, Utah SERFF filing PRGS-132168602, submitted 12/5/19, FILED FOR USE 12/06/2019. the link opens the filing summary, not the PDF. Primary only for what Progressive's own endorsement says; another insurer's cargo form is worded differently. - 17. Progressive Form Z434 (02/19), Additional Definitions 5, in due course of transit
“a. the covered property is accepted by, or on behalf of, the consignee at the intended destination; b. the covered property is accepted by, or on behalf of, the consignee at any intermediate point short of reaching the original intended destination; c. 72 hours after arrival at destination; or d. any other stop that exceeds 72 hours.”
serff-sfa.naic.org, accessed October 12, 2026. Page 5; the four points at which transit ends, introduced by "ending when one of the following first occurs:". Transit starts "from the time you assume exclusive physical custody and control of the covered property". Excluded Properties f. Storage (page 4) separately excludes property in or on an insured auto after it has remained at any location for more than 72 hours. Progressive (United Financial Casualty Co., NAIC 11770) Form Z434 (02/19), Motor Truck Cargo Legal Liability Coverage Endorsement, Utah SERFF filing PRGS-132168602, submitted 12/5/19, FILED FOR USE 12/06/2019. the link opens the filing summary, not the PDF. Primary only for what Progressive's own endorsement says; another insurer's cargo form is worded differently. - 18. Progressive Form Z434 (02/19), Excluded Perils k, Installation Operations
“Installation Operations Your operation as rigger, hoister, erector, installer, or dismantler.”
serff-sfa.naic.org, accessed October 12, 2026. Page 3; the heading and its one sentence. Progressive (United Financial Casualty Co., NAIC 11770) Form Z434 (02/19), Motor Truck Cargo Legal Liability Coverage Endorsement, Utah SERFF filing PRGS-132168602, submitted 12/5/19, FILED FOR USE 12/06/2019. the link opens the filing summary, not the PDF. Primary only for what Progressive's own endorsement says; another insurer's cargo form is worded differently. - 19. 49 CFR 373.101, for-hire motor carrier bills of lading, eCFR
“Every motor carrier subject to § 373.100 shall issue a receipt or bill of lading for property tendered for transportation in interstate or foreign commerce containing the following information: (a) Names of consignor and consignee.”
ecfr.gov, accessed October 12, 2026. no suspension note. The list continues: origin and destination points, number of packages, description of freight, and weight, volume or measurement if it rates the freight. - 20. 49 CFR 392.9(a), inspection of cargo and securement, eCFR
“A driver may not operate a commercial motor vehicle and a motor carrier may not require or permit a driver to operate a commercial motor vehicle unless— (1) The commercial motor vehicle's cargo is properly distributed and adequately secured”
ecfr.gov, accessed October 12, 2026. no suspension note. The quoted clause continues "as specified in §§ 393.100 through 393.136 of this subchapter." - 21. 49 CFR 392.9(b)(4), sealed vehicles, eCFR
“The rules in this paragraph (b) do not apply to the driver of a sealed commercial motor vehicle who has been ordered not to open it to inspect its cargo or to the driver of a commercial motor vehicle that has been loaded in a manner that makes inspection of its cargo impracticable.”
ecfr.gov, accessed October 12, 2026. Same pull. Paragraph (b) holds the driver's inspection duties (before the trip, within the first 50 miles, and at duty changes or every 3 hours or 150 miles); paragraph (a) still applies. - 22. 49 CFR 375.503(a), household goods inventory, eCFR
“You must prepare a written, itemized inventory for each shipment of household goods you transport for an individual shipper. The inventory must identify every carton and every uncartoned item that is included in the shipment.”
ecfr.gov, accessed October 12, 2026. Paragraph (b): "You must prepare the inventory before or at the time of loading". moving-company-insurance owns the household goods facts; quoted here in one sentence. - 23. Form MCS-90, 49 CFR 387.15 Illustration I, 2017 CFR print, govinfo
“Such insurance as is afforded, for public liability, does not apply to injury to or death of the insured's employees while engaged in the course of their employment, or property transported by the insured, designated as cargo.”
govinfo.gov, accessed October 12, 2026. The form text as printed in the 2017 CFR; FMCSA's current MCS-90 PDF (rev. 01/05/2017) prints the same sentence. what-is-mcs-90 owns the endorsement. - 24. Redoubt, commercial auto insurance guide, what to send
“Text Redoubt the broker packet, the lender's insurance letter, the platform's upload screen or the renewal itself, with the vehicles and the date you need it by. We will say what can be bound now, what needs the carrier, and what to send back.”
www.redoubt.insure, accessed October 12, 2026
The business carries goods, its own or a customer's, and the auto policy does not pay for them
Own-product delivery, furniture and household goods, high-value loads, loading and unloading, and vehicles carried as cargo: where the auto form stops and what cargo and property forms do.
Elsewhere on the site
Send who loads, who unloads and what you haul
Text Redoubt your vehicles and trailers with year, make, model, body type and value, every driver, your USDOT or MC number if any, what the business does, the start date, who loads and unloads, the rate confirmation and your cargo types and highest load value, and we will talk it through with you.
This is general insurance information, not legal advice or a coverage determination. The policy forms, the endorsements the carrier issues, and the requirement in writing from whoever is asking control.