Privately held insurance broker for trade and transportation offering freight broker bonds, contingent cargo and auto, E&O, shipper's interest cargo and customs bonds.
Services
Who it serves
Overview
Avalon Risk Management is an insurance broker (agency) that focuses on the trade and transportation industry. It describes itself as an "independent, privately-held insurance broker" owned and operated by its founding management team, and says it has been in the trade and transportation space since 1998. Its corporate headquarters is in Schaumburg, Illinois. Older coverage placed it in Elk Grove Village, Illinois, but its current site lists Schaumburg.
Avalon combines insurance, surety bonds and claims management. For freight brokers and forwarders, it is one of the firms that can handle the federal property broker bond together with contingent liability and E&O coverage.
Compare with other Insurance providers: Northland Insurance (Travelers), Canal Insurance Company and Sentry Insurance, or see all Insurance.
Services
Avalon's lineup is broad. On the bond side it offers U.S. and Canadian customs bonds, ATA Carnets, FTZ bonds, and transportation bonds including FMCSA property broker and domestic freight forwarder bonds, FMC ocean transportation intermediary bonds, and DOT bonds.
For property brokers and domestic forwarders, its Combined Transit Liability program can be tailored to include errors and omissions, contingent cargo, and contingent auto legal liability. Its broker page explains that contingent cargo is meant to respond when a motor carrier does not pay for a loss, and that contingent auto covers liability that can reach a broker when a carrier's negligence causes injury or damage.
Avalon also offers all-risk shipper's interest cargo insurance, which brokers and forwarders can provide to customers who do not want to rely on a carrier's limited liability. Other lines include a warehouse program, professional liability, truck insurance, business insurance (property, general liability, workers compensation, umbrella, business auto, cyber) and executive risk coverage. Its Merlin portal supports bond and cargo programs.
Who it is for
Avalon's site lists customs brokers, air freight forwarders and indirect air carriers, ocean forwarders and NVOCCs, domestic forwarders and property brokers, warehouse operators and motor carriers, in both the U.S. and Canada. For freight brokers, it is a fit when you want your BMC bond, contingent coverage and E&O handled by a specialist that also understands customs and international freight, which matters if your business touches imports, ocean or air.
How working with them works
As a broker, Avalon places coverage with insurers and surety companies rather than underwriting everything itself. A 2012 PropertyCasualty360 profile reported that Avalon acted as an MGA and claims administrator for several programs, including a customs surety program with Great American, and handled some claims in-house. Programs and partners may have changed since then, so ask which insurers are behind your policy today.
Customers can contact Avalon by phone or through its site, and existing clients use the Merlin portal. Avalon publishes a public notice for claims against property broker bonds and has a page on how to file a claim. Pricing is not published.
Questions to ask before you sign
For a broker bond, ask whether Avalon will issue a BMC-84 surety bond and file it with FMCSA, how long filing takes, and what underwriting is required (credit, financials, collateral). Ask what happens if a claim is made against the bond and whether you will be required to reimburse the surety.
For contingent cargo, ask whether it is follow form or broad form, what triggers it (for example, only when the carrier's insurer denies a claim), and which exclusions apply. Ask specifically about theft, fictitious pickup and double brokering scenarios.
For contingent auto liability, ask about the limit, defense costs, and whether it covers claims where you are named alongside the carrier. Ask what E&O covers, such as errors in carrier selection or paperwork, and what it excludes.
If you also run trucks, confirm that Avalon's truck insurance includes auto liability with a BMC-91X filing, motor truck cargo and physical damage.
Ask which insurer and surety company stand behind each product and check their current AM Best ratings yourself. Finally, ask whether claims are handled in-house or by the insurer, and who your contact will be.
Company background
According to a 2012 PropertyCasualty360 profile, Avalon was founded in 1998 as a wholly owned subsidiary of Kingsway Financial Services. In October 2009, senior management bought the agency with sponsorship from Fund Management Group. That article also reported that Avalon won Agency of the Year in the 2012 NU/AA&B Commercial Agency Awards for Excellence.
Avalon's current about page says the company is owned and operated by its founding management team and that more than 20 percent of its employees hold industry designations and serve on association boards and committees.
Sources
Information compiled from public sources. Last verified November 2026. Confirm details directly with the company.
