What Happens When Freight Goes Wrong?
Picture this: You’ve spent weeks preparing a large shipment for a high-priority customer. Everything’s on schedule—until the cargo arrives damaged. The customer is upset, you’re stressed, and your profit margin just took a hit. Now what?
This is where understanding freight claims becomes crucial. Whether you’re shipping full truckloads or small pallets, knowing how to properly handle damage, loss, or delay claims can save your business time, money, and headaches. Unfortunately, many shippers don’t fully grasp the claims process until it’s too late.
In this guide, we’ll break down what a freight claim is, the different types, and—most importantly—how to file one effectively.
What Is a Freight Claim?
A freight claim (also known as a cargo claim or shipping claim) is a formal request made by a shipper or consignee to recover financial losses from a carrier due to lost, damaged, delayed, or incomplete shipments.
Under the Carmack Amendment (49 U.S. Code § 14706), carriers are generally liable for freight loss or damage, with a few exceptions (like natural disasters or inadequate packaging).
Types of Freight Claims
Understanding the four primary types of freight claims can help you determine the best course of action:
1. Damage Claim
Filed when goods arrive visibly damaged or are found to be non-functional upon inspection.
2. Loss Claim
Filed when an entire shipment—or a portion of it—goes missing in transit.
3. Shortage Claim
Filed when a shipment arrives with fewer items than listed on the bill of lading.
4. Concealed Damage Claim
Filed when damage is discovered after the packaging is opened—usually within five days of delivery.
When and Why You Should File a Freight Claim
Delays, damages, and missing freight can all eat into your bottom line. According to the Federal Motor Carrier Safety Administration (FMCSA), freight damages cost U.S. businesses billions of dollars each year. Filing a claim ensures you’re compensated for your loss and helps hold carriers accountable.
Timeliness is key. Most carriers require claims to be filed within 9 months of delivery (or the expected delivery date). However, concealed damage often has a shorter window—typically 5 days.
How to File a Freight Claim in 5 Steps
Filing a claim doesn’t have to be overwhelming. Here’s a step-by-step guide:
1. Inspect and Document the Damage Immediately
- Take clear, timestamped photos of the damage.
- Note it on the delivery receipt or Bill of Lading (BOL).
- Refuse damaged goods if necessary.
2. Gather All Required Documentation
- Original BOL
- Proof of value (invoice, purchase order)
- Delivery receipt
- Photos or videos
- Claim form (many carriers have their own)
3. Contact the Carrier ASAP
Reach out to the carrier’s claims department with your intent to file. This can be done via email or their online portal.
4. Submit the Freight Claim
Send all documents in one submission. Be clear, concise, and thorough to avoid delays.
5. Follow Up and Track the Claim
Claims usually take 30 to 120 days to process. Stay in communication and respond promptly to any additional requests.
Tips to Avoid Freight Damage (and Claims) in the First Place
An ounce of prevention is worth a pound of paperwork. Here’s how to reduce your chances of needing to file a claim:
- Use proper packaging for your freight (palletizing, cushioning, etc.)
- Label clearly and include handling instructions.
- Vet your carriers for reliability and insurance coverage.
- Consider cargo insurance for high-value items.
Legal Considerations and Carrier Liability
Carriers are not automatically liable for every loss. There are a few legal defenses they might use:
- Act of God (e.g., hurricane or earthquake)
- Public enemy (e.g., war, terrorism)
- Act or omission by the shipper (e.g., poor packaging)
- Inherent vice (e.g., spoilage due to nature of goods)
Understanding these exemptions can help set realistic expectations for your claim. For more detail, the Surface Transportation Board (STB) offers legal guidance on freight carrier regulations (stb.gov).
Conclusion: Protect Your Shipments and Your Business
No one likes dealing with damaged goods or lost shipments—but knowing how to file a freight claim can turn a frustrating experience into a recoverable one. By staying organized, proactive, and informed, you can minimize your losses and keep your operations running smoothly.
And remember: the best freight claim is the one you never have to file. Smart packaging, reliable carriers, and clear documentation go a long way.
Need help improving your freight processes or navigating a tricky claim? Let’s talk.
Frequently Asked Questions
1. How long do I have to file a freight claim?
Most carriers require claims within 9 months of the delivery date. Concealed damages often must be reported within 5 days.
2. Can I file a freight claim without a Bill of Lading?
It’s very difficult. The BOL serves as the contract of carriage and proof of what was shipped.
3. Who is responsible for filing the claim—the shipper or receiver?
Either party can file, but it’s typically the one who paid for shipping or holds title to the goods.
4. How long do freight claims take to resolve?
Anywhere from 30 to 120 days, depending on the carrier and complexity of the claim.
5. Is freight insurance the same as filing a claim?
No. Freight insurance is a separate policy you purchase to cover losses. Claims go through the carrier; insurance claims go through your insurer.