By the time you’re filing a freight claim, the damage is already done. Maybe a pallet arrived crushed. A few pieces are missing. Or a customer is wondering why their shipment never showed up. Now you’re dealing with replacement costs, customer questions, paperwork, and the time it takes to make things right.
But what if you could reduce the risk of damage or loss before your freight ever leaves the dock? You can’t eliminate every risk that comes with moving less-than-truckload (LTL) freight. But you can take steps to better protect your freight throughout its journey and reduce the chance of preventable problems along the way. This guide will walk you through the steps that matter most, from preparing your shipment for pickup to inspecting it at delivery and handling a claim when something goes wrong.
What is a freight claim?
A freight claim is a formal written request to a carrier for compensation when freight is lost, damaged, short, or otherwise affected by a covered cargo loss during transportation. To file one, you’ll need to document what happened and support the amount you’re claiming.
The impact of freight damage or loss can extend well beyond the value of the goods themselves. Replacing products, reshipping orders, communicating with customers, gathering documentation, and managing the freight claim process all take additional time and resources. Those disruptions can affect everything from day-to-day operations to the customer experience.
The impact of freight damage and loss goes beyond the product
Why LTL freight is more vulnerable to damage
LTL shipping works by combining freight from multiple shippers on the same trailer. That makes LTL an efficient option when a shipment doesn’t require an entire truck, but it also creates a different shipping environment than a typical full truckload move.
As LTL freight moves through the carrier’s network, it may pass through multiple terminals and undergo several rounds of handling. It can be loaded, unloaded, transferred, and repositioned along the way. Each additional touchpoint creates another opportunity for freight to shift, packaging to be compressed, a pallet to be bumped, or a label to become damaged or difficult to read.
You can’t control every touchpoint or every mile. But you can control how well your freight is prepared for them.
7 ways to reduce LTL freight claims
So, what can you do to better protect your LTL shipments? From packaging and palletization to documentation and delivery, the following practices can help reduce the risk of freight damage and better prepare your business to respond when damage or loss does occur.
1. Package for the entire LTL freight journey
Your LTL freight may be handled multiple times as it moves through an LTL network, which puts more responsibility on the packaging to protect what’s inside. Start by matching the packaging to the product’s size, weight, shape, and fragility. Choose cartons strong enough for the load, reinforce heavier items when needed, and add cushioning where the product needs extra protection.
That protection also needs to limit movement inside the carton. Too much empty space gives contents room to shift during transportation and handling, increasing the risk of damage. Packaging the product for the realities of LTL shipping can help reduce preventable damage and the freight claims that can follow.
2. Give your freight a solid foundation
A strong pallet does more than make freight easier to move. It helps keep the shipment stable while it’s being handled. Start with a pallet that’s appropriate for the load and in good condition. Broken or cracked boards, protruding nails, and other defects can compromise the pallet before the shipment moves an inch, increasing the risk of damage that could lead to a freight claim.
Then build the load with stability in mind:
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Place heavier items toward the bottom (if there are multiple products). -
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Distribute weight as evenly as possible. -
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Keep cartons within the edges of the pallet rather than allowing them to hang over the sides. -
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Secure the load with appropriate stretch wrap, strapping, or other containment materials. -
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Make sure the completed pallet remains stable as a single unit.
Overhang deserves particular attention. The National Motor Freight Traffic Association (NMFTA) says pallet overhang can make cartons more vulnerable to damage and decrease their strength by as much as one-third.
Once the freight is loaded and secured on the pallet, inspect it from every side. If anything leans, bulges, overhangs, or shifts, correct it before the shipment leaves your dock.
3. Get labels and shipment details right
Good packaging and pallets protect freight physically. Accurate labels and shipment information help keep it moving to the right place with the right handling. Shipping labels should be legible, securely attached, and easy for handlers to find. Remove or cover old labels that could create confusion.
Use handling labels such as “Do Not Stack” or “This Side Up” when appropriate, but don’t rely on labels alone to protect your freight. Make sure your packaging and palletization can withstand typical LTL handling, and arrange any special handling requirements with the carrier before pickup.
Shipment details deserve the same attention. Verify the commodity description, weight, dimensions, pallet or piece count, freight class, destination information, and other details before tendering the shipment. Accurate information can help prevent delays, reclassification issues, and other avoidable complications while providing a clearer record if you later need to file a freight claim.
4. Take photos before the freight leaves
Before pickup, take clear photos of the finished shipment. Capture the packaging, pallet, labels, and overall condition from multiple angles. For valuable or damage-sensitive freight, take additional photos of vulnerable areas or other details that help document the shipment’s condition before pickup.
Those photos create a record of what you actually tendered to the carrier. If damaged freight arrives at the destination, you have evidence of how the shipment was packaged and its condition before pickup.
5. Choose the carrier that fits the shipment
Not every carrier is the right fit for every LTL shipment. A carrier’s network, service area, and capabilities can all affect how well it handles a particular shipment and, ultimately, the risk of problems that can lead to freight claims.
When comparing carriers, look beyond price. Consider where the freight is going, what you’re shipping, transit expectations, and your own experience with similar shipments. The goal is to choose a carrier whose service and capabilities align with the needs of that particular shipment.
Your claims history can also help you make better carrier decisions. Dig deeper if the same carrier, lane, facility, product, or type of shipment repeatedly appears in your freight claims management records. A pattern of claims may point to a carrier or service that’s simply not the best fit for that freight.
6. Prepare the receiver to inspect the freight
Your role in reducing the risk of freight damage and loss doesn’t necessarily end when the shipment leaves your dock. Make sure the person or business receiving the freight knows how to inspect the shipment and document any damage or shortages at delivery.
Whenever possible, ask the receiver to inspect the freight before signing the delivery receipt. They should look for:
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Torn, punctured, wet, or compressed packaging. -
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Broken stretch wrap or strapping. -
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Leaning or shifted freight. -
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Missing cartons or pieces. -
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Visible pallet damage.
If there’s visible freight damage or a shortage, the receiver should note it accurately on the delivery documentation rather than signing without noting the problem. They should also take photos of the damaged area and the overall shipment to create a clear record of its condition at delivery.
Noting damage on a delivery receipt is important, but it does not by itself constitute a formal freight claim. Some damage may not be visible at delivery, either. If concealed damage is discovered after the packaging is opened, the receiver should document it promptly and check the applicable notification and claims requirements.
7. Build a freight claims management process before you need it
Even strong prevention practices can’t totally eliminate the risk of freight damage or loss. If a shipment arrives damaged, goes missing, or has another problem that could lead to a claim, a repeatable freight claims management process can help your team respond quickly and confidently.
Decide who owns the process internally and where supporting records will be kept. That person or team should also know how claims are submitted and tracked through resolution. The process doesn’t need to be complicated. It does need to be consistent.
What to Do When You Need to File a Freight Claim
- Document the problem. Take photos and record visible damage or shortages at delivery when possible.
- Preserve the shipment and packaging. Keep the freight and relevant packaging available in case they’re needed to support the claim.
- Gather your records. Collect all documentation needed to support the claim (see table below).
- Check the requirements and deadlines. Claim procedures and timelines can vary, so review the requirements that apply to your shipment and act promptly. Check the bill of lading, carrier tariff, service terms, and any applicable claims program for specific instructions.
- Determine the amount of the loss. Calculate the amount you’re seeking and gather the records needed to support it. Depending on the circumstances, that may include invoices, repair estimates, or other documentation establishing the value of the loss.
- File the freight claim. Submit the claim to the appropriate carrier using its required process, along with the information and supporting documentation you’ve gathered. Make sure the claim clearly identifies the shipment, describes the loss or damage, and states the amount you’re claiming. Keep a copy of the claim and everything you submit with it.
- Track the claim through resolution. Filing the claim isn’t the end of the process. Keep the claim number, submission date, carrier communications, and any requests for additional information together so you can follow its progress and respond promptly. Once the claim is resolved, record the outcome for your freight claims management records.
Keep your freight claim records organized
Having the right records available can make the freight claim process easier to manage. While requirements vary by carrier and situation, these are some of the records you may need:
Use freight claims to prevent … the next freight claim
A closed claim can tell you more than how much money you recovered. It can show you where your shipping process needs attention. Track useful details such as the carrier and service, origin and destination, product or commodity, type of damage or loss, packaging configuration, claim outcome, and known or suspected cause. Then look across claims rather than evaluating each one in isolation.
If one product repeatedly arrives with the same damage, packaging may deserve another look. Claims concentrated on a particular lane or destination may point to carrier selection. If damage appears more often with a specific pallet configuration, that’s another pattern worth investigating.
At that point, freight claims management becomes more than paperwork. Your claims history becomes feedback you can use to reduce the chance of the same problem happening again.
Make freight claims the exception, not the routine
There will always be some uncertainty when freight moves through an LTL network. But shippers can reduce how much gets left to chance. The more attention you give to preparation, documentation, delivery, and the lessons from past claims, the more opportunities you have to reduce preventable problems. The goal isn’t simply to get better at filing freight claims. It’s to build a shipping process that gives you fewer reasons to file them.
That’s where having the right shipping partner can make a difference. ShipStation combines technology with shipping expertise to help businesses simplify shipping, stay on top of the details, and keep shipments moving. Whether you’re managing LTL freight, parcel shipments, or both, ShipStation can help take some of the complexity out of shipping so your team can spend less time managing the process and more time moving your business forward.
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