In the vast network of global trade, a staggering 90% of goods are transported by sea, before also traveling by road, air, or rail. Within this immense flow of products, losses and unexpected occurrences are not just possibilities—they are statistical certainties. Whether it's a box vanishing in transit or a container arriving with its contents in a compromised state, the impact on your business can be significant.
As leaders in the freight industry, we understand the challenges businesses face when dealing with freight claims. This guide is designed to arm you with the knowledge and tactics to effectively address these challenges, ensuring that you're prepared to manage and resolve the situation confidently when loss or damage occurs.
Understanding the carrier's liability and the specific terms of the shipping contract is essential, as these often limit the potential compensation for loss or damage. It's imperative to establish the carrier's accountability when filing a freight claim. Additionally, the timing for such claims is regulated: claims for loss or damage must be filed within nine months from the date of delivery or the scheduled delivery date for non-delivered items. For concealed damage, where the harm isn't immediately evident, you must report it to the carrier within five days of delivery. These critical timelines underscore the importance of prompt inspection and documentation upon receipt of your shipment.
From nearly two decades of experience, we've learned that understanding the intricacies of freight claims can significantly impact a company's bottom line.
When a shipment arrives with visible damage, the instinctive reaction might be to reject it. However, this is often not the best course of action. Accepting a damaged shipment is critical in filing a successful freight claim.
Rejecting a shipment can complicate the claims process. When you refuse a delivery, you lose control over the cargo, making it difficult to prove the extent of the damage and who was responsible. In contrast, by accepting the shipment, you retain the ability to inspect and document the condition of the goods thoroughly. This documentation is invaluable when filing a claim, as it provides concrete evidence of the damage.
Documenting damage effectively is a pivotal step in the freight claims process. Here are some effective strategies to ensure you have a strong case:
By following these steps, you can ensure that you have thoroughly documented any damage, significantly increasing the likelihood of a successful freight claim.
Once the damaged cargo is in your possession, it's important to handle it strategically:
Properly handling damaged cargo can minimize losses and inform better practices for future shipments.
If the shipment is entirely unsalvageable and cannot be repurposed, initiating a claim is appropriate to recover your losses. The process of filing a claim is meticulous and necessitates strict attention to detail and adherence to the carrier's specified procedures.
By following these steps, you can file a freight claim effectively, maximizing the chances of recouping your losses.
As we wrap up this guide, remember that you're not alone. A partnership with Armstrong assures that the complexities of claims, from scrutinizing carrier reliability to untangling insurance policies, are managed on your behalf. Encounter a claim? Simply reach out to us. We'll handle everything from damage documentation to the final details of the process, allowing you to concentrate on your business's core activities.
Allow us to streamline your shipping experience. For further peace of mind and to learn more about our services, visit our website. Let's move forward, together.