The process of filing these claims is similar to Ground shipments. I have found most Freight Trucking Companies will have a stronger Claims Department. Usually their Claims Examiners are trained Risk & Loss Insurance Adjusters or Inspectors. This means they are well trained and usually have done their share of field work.
Having a well trained Claims Department means they will cut down on the approved claims for the Freight Company.
When using Freight Companies it is very important to have informed your Buyer of your Terms & Conditions of accepting the delivery and how to report it to you. This is even more important when Shipping to Canada. If shipping overseas please see future post for Overseas Cargo.
National Motor Freight Classification Filing of Claims
a. Claims must be in writing
b. Provide the Bill of Lading Number
c. Amount of Claim
d. Copy of Consignee Delivery slip with signature
e. Identify the loss, damage, shortage
f. Invoices, repair estimates or sales order
g. Images
h. Statement of Salvage
Claims must be in writing
Most Freight Companies offer you the forms online, but they do require that you print and fax over with a signature. It is critical that you and your staff be trained on how to properly file these claims. Not filing on time or correctly can ultimately cost you hundreds if not thousands of dollars.
Provide the Bill of Lading Number
Of course they know your Bill of Lading number, however, they will request it from you. Some Examiners are not very friendly and can hold your claim while you provide the BOL. All documents you fax, email or mail in must have the BOL on the Top Center of each page.
Amount of Claim
Identify your total loss, cost of replacement and Freight fees. This is when to submit a breakdown along with the proper invoices to support the fees.
Consignee Delivery Slip
The Consignee is your Customer. Ask your customer to fax to you the POD. The POD is “proof of delivery”. The Freight Company will have the copy from the driver, however, it can take them up to 7 days to have it scanned an uploaded to the system.
Identify the loss, damage, shortage
You can file the claim for Loss, damage, shortage or for any delays to the shipment. Shortage occurs more often than loss. Usually they will break down the skid to make room in the truck. If you fail to write the Bill of Lading number on each package they can get lost.
Images
The Claims Examiners will require images of the damage. We will email the images taken prior to loading the shipment to their trucks and the images Consignees provides along with a Statement from the Consignee.
Salvage
They simply want to know if they can ship back to you the damage shipment for recovery. This would ultimately reduce the total Claim Amount. Make a Note: When having damage shipments sent back to you, ensure they are shipped back to you as “Dead Head”. Dead Head simply means they will NOT bill you for the shipment being sent back to you.
To successfully close a Freight Claim you must:
1. Provide all of the above information
2. Make sure you have paid the freight fees in Full
Regardless of the damage, the claims Examiner will not pay you until you have paid in full.
3. Ensure your Customer understands your Terms & Conditions
4. Follow up with the Claims Examiner
5. Have a copy of Cancelled Check of the Freight fees, not providing proof can delay your claim. Keep in mind most accounting departments will not process the payment for 30 days.
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