Freight claim

What is a freight claim?

A freight claim is a formal legal demand filed by a shipper or consignee against a transportation provider, seeking financial reimbursement for a shipment that was damaged, lost, delayed or incorrectly billed. Freight claims are also known as shipping claims, logistics claims or cargo claims.

Claims are governed by statutory requirements, including the Carmack Amendment for domestic rail and motor carrier freight. The timeframe for filing varies by claim type — for most claim categories, shippers or consignees have nine months from the delivery date to file against the carrier.

When to file a freight claim

A freight claim is appropriate when a shipment is delivered in a damaged or different condition than expected, when goods are lost or stolen, when there is a shortage in the delivery, or when the shipper believes they were overbilled.

Claims are filed against the transportation service provider under the terms of the bill of lading (BOL). If more than one carrier handled the shipment, the claim is typically filed against either the originating carrier or the delivering carrier—not an intermediate connecting carrier—unless there is specific evidence that the connecting carrier caused the damage.

Types of freight claims

• Freight damage claim: Part or all of the shipment was damaged to the extent that its value is affected

• Concealed damage claim: Damage was not apparent at delivery and was discovered only upon unboxing and inspection

• Shortage claim: Multiple pieces are missing from the order

• Concealed shortage claim: A miscount that could not be detected until the shipment was opened

• Refused claim: The recipient denied acceptance of the entire order

• Loss claim: The entire order was lost and never delivered

Who should a freight claim be filed against?

File the claim against the carrier—not against a freight broker or third-party logistics provider (3PL), unless the intermediary specifically accepted liability for the shipment. Only the carrier takes physical possession of goods, so they bear the default legal liability.

Send the claim to the carrier's claims manager, not their insurance company. Send a copy to your broker for their records.

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• Improved planning: using technology to automate supply chain decisions and transportation execution based on real-time data

How to file a freight claim

Every carrier has its own claim form, but no specific form is legally required. A typed letter meets the requirement as long as it includes:

• Identification of the shipment

• Description of the type of loss or damage

• The dollar amount being claimed

• A statement of the expected payment