[Video] Filing A Claim with Your Carrier

In an educational video, Trade Risk Guaranty covers the process of filing a claim under your carrier’s limit of liability.

There is a widely misunderstood belief that a freight carrier is responsible for any goods that were lost or damaged in transit. This misunderstanding leads to large monetary loses for many importers and exporters without their own cargo insurance policy. This is due to the fact that there is an amount set by the carrier’s limit of liability and that amount is the maximum that the carrier is responsible for in the event of a claim.

Carrier Limit of Liability: Filing a Claim

Watch the video below to learn the steps necessary when filing a claim with your carrier.

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How to File a Claim with Your Carrier

Prior to filing a claim with your carrier, you (the importer/exporter/shipper) must first prove that the damage or loss of goods occurred due to carrier negligence. While this step may sound simple enough, in reality it can be quite difficult since there is a long list of what the Carrier’s Limit of Liability will cover.

However, if you are able to prove negligence, the following are the next steps to filing a claim with your carrier:

1. The shipper will be asked to provide:
   • The packing slip and invoice for their lost/damaged shipment
   • A breakdown of how they came to the amount they are claiming to have lost which should include a list of what is damaged or lost along with any other related costs
2. The carrier will then have 30 days to acknowledge a claim has been made and must respond to the shipper within 120 days
3. If the carrier is proven negligent, the shipper will receive a reimbursement for their goods and the original freight charges for the transportation of their lost or damaged goods.

As you can see the majority of the burden falls on the shipper to prove negligence and itemize the damages. However, once this process is complete, the full reimbursement for the loss will typically be a fraction of loss the shipper experienced. You can learn more about what is covered and how much is covered in our article that dives into the amounts covered by Carrier Limit of Liability.