Claims, Damage & Loss

Glossary

Filing deadlines, concealed damage, Carmack Amendment - understand the freight claims and loss terms every shipper should know before something goes wrong.

Cargo Insurance
A separate insurance policy purchased by a shipper or consignee to cover the full value of goods in transit, beyond the limited liability provided by the carrier.
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Carrier Liability
The legal responsibility a carrier assumes for loss or damage to goods while they are in the carrier's possession during transit, governed domestically by the Carmack Amendment.
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Concealed Damage
Damage to freight that is not visible during delivery inspection and is only discovered after the shipment has been accepted, the driver has departed, and the packaging has been opened.
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Freight Claims
A formal demand filed by a shipper or consignee against a carrier to recover the value of goods lost, damaged, or delayed during transit.
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OSD (Overages, Shortages, Damages)
A receiving report category that flags when a delivered shipment has more product than ordered (overage), less product than ordered (shortage), or product that arrived in damaged condition.
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Refused Shipment
A delivery that is rejected by the consignee at the destination - typically due to visible damage, temperature non-compliance, late arrival, incorrect product, or missed appointment windows.
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Salvage (Freight)
The process of recovering residual value from freight that has been damaged, refused, or deemed unsalable in its original form - typically through discounted sale, donation, recycling, or disposal.
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Shortage Claim
A freight claim filed when the quantity of product delivered is less than the quantity listed on the bill of lading, indicating units were lost or misdelivered during transit.
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Temperature Excursion
A deviation from the required temperature range during transit of temperature-sensitive freight - such as frozen, refrigerated, or controlled-room-temperature goods - that may compromise product integrity.
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