Prevention: Stop Claims Before They Start
The best freight claim is the one you never have to file. Roughly two-thirds of cargo damage incidents are preventable through proper packaging, documentation, and carrier selection.
Package Beyond the Minimum
Carrier packaging requirements are minimums, not recommendations. In practice, your freight will be handled multiple times, stacked, vibrated, and potentially exposed to temperature swings. Package accordingly — see our packaging standards guide for specific requirements.
Choose Carriers With Strong Safety Records
Not all carriers handle freight equally. Work with a broker who vets carriers on safety scores, claims history, and equipment condition — not just price.
Inspect at Pickup and Delivery
At pickup: Ensure the driver inspects and counts all pieces. Note any existing damage on the BOL before the driver signs.
At delivery: Inspect freight before signing the delivery receipt. If there's visible damage, note it specifically: "2 cartons crushed, contents may be damaged" — not just "damaged."
Photograph Everything
Before pickup, photograph your freight from all angles with packaging visible. At delivery, photograph any damage immediately, including packaging condition, before unpacking.
When Damage Occurs: Immediate Steps
1. Note Damage on the Delivery Receipt
This is the single most important step. Write a specific description of the damage on the delivery receipt before signing. If the driver refuses to wait, write "subject to inspection" and note the refusal.
Never sign a clean delivery receipt if you suspect damage. Once you sign clean, your claim becomes exponentially harder to win.
2. Don't Discard Packaging
Keep all packaging materials and the damaged product exactly as received until the claim is resolved. Carriers have the right to inspect, and discarding packaging can void your claim.
3. Mitigate Further Damage
You have a legal obligation to prevent additional damage. Move perishable items to appropriate storage, cover exposed goods, etc. Document your mitigation efforts.
4. Notify Your Broker/Carrier Immediately
Most carriers require damage notification within 24-48 hours. Don't wait. Call your broker and send a written notification via email on the same day.
Filing the Claim
Required Documentation
A complete freight claim package includes:
- Claim letter stating the amount, describing the damage, and requesting payment
- Original Bill of Lading (signed copy)
- Delivery receipt with damage notations
- Photographs of damage, packaging, and freight
- Invoice or proof of value for the damaged goods
- Repair estimate or replacement cost documentation
Filing Deadlines
Under the Carmack Amendment (which governs domestic freight liability):
- Filing deadline: 9 months from date of delivery (or reasonable delivery date for lost freight)
- Lawsuit deadline: 2 years from the date the claim is denied
Don't push these deadlines. File as quickly as possible — the sooner you file, the fresher the evidence and the faster the resolution.
Carrier Liability Limits
FTL (Full Truckload): Carriers are generally liable for the full value of the cargo, unless limited by the bill of lading or contract.
LTL (Less Than Truckload): Many LTL carriers limit liability to $10-25 per pound unless you declare a higher value (and pay for excess valuation coverage).
Ocean freight: Carrier liability is severely limited under the Carriage of Goods by Sea Act (COGSA) — typically $500 per package. Consider cargo insurance for ocean shipments.
When to Consider Cargo Insurance
If your freight value exceeds carrier liability limits, purchase all-risk cargo insurance. It's typically 0.3-1.5% of cargo value and provides much broader coverage than carrier liability alone.
Our insurance calculator can help you estimate coverage costs.
The Claims Resolution Process
Carriers have 30 days to acknowledge your claim and 120 days to pay, decline, or make a settlement offer. In practice:
- Simple damage claims with good documentation: 30-60 days to resolution
- Complex or high-value claims: 60-120 days
- Disputed claims: May require mediation, arbitration, or litigation
Tips for Faster Resolution
- File complete documentation on the first submission — incomplete claims get bounced back
- Respond to carrier requests for additional information within 48 hours
- Keep a detailed log of all communications
- Work through your broker — experienced brokers know how to navigate carrier claims departments
The Bottom Line
Prevention and documentation are your two most powerful tools. Photograph everything, note damage immediately, and never sign a clean delivery receipt when damage is visible.
When claims are unavoidable, speed and completeness win. File quickly, file completely, and work with a broker who will advocate for you.
Need help with a current claim or want to reduce your damage rate? Get in touch — our team handles claims support as part of our service.