Successfully Recovering Freight Loss and Damage Claims

For any shipper or carrier, loss and damage to a cargo unit is unfortunately unavoidable. But the process of successfully resolving freight loss and damage claims doesn’t seem worth the headache. Most shippers don’t take the time to file a claim because carriers deny 95% of claims. To change those odds, shippers need to take on an aggressive approach.

Strategic Persistence

It can be tedious to resolve claims, requiring time, resources, and labor. It’s time better spent to solve other supply chain challenges. To successfully file a claim, shippers must present documentation related to their contract with a carrier and proof of the cargo in good condition at its original location. Shippers must also provide proof of damage or loss at an intended destination.

A team that’s allocated specifically to gather all of the data requested for a claim to be resolved can ensure that the damage or loss of cargo is recouped. The team can also track down claims after they’re filed and follow up when disputed.

It’s simply not cost-effective to hire an in-house team solely dedicated to claims. Instead, outsourcing the work to a dedicated firm is a more practical solution. CTSI-Global assigns a team of experts to each client’s claim, and those teams continue to follow up with carriers, disputing any subsequent denials, until lost money is recovered for the client.

Legal Expertise

It’s essential to understand logistics law and carrier liability to resolve claims successfully based on contractual agreements. If there is a breach in a contract, shippers are typically entitled to compensation. With most carrier agreements, whether implied or explicit, it’s understood that cargo should arrive undamaged.

Beyond the terms of a contract itself, legal principles and statutes depend on factors such as the mode of transport. For example, some laws limit a shipper’s time to file a claim. Conditions such as weather and seasonal traffic also have legal constraints that are also considerations. There are also varying stipulations based on whether the cargo is moved domestically or internationally for different modes of transport.

Shippers can hire lawyers, which can be expensive in an ongoing process. Another, more affordable option is the loss and damage teams at CTSI-Global, which have the legal expertise to prepare claims for approval. The work done by the loss and damage teams is entirely transparent. All data is housed within the HoneyBee TMS™ portal and can be accessed at any time.

Advanced Technology

With persistence and legal expertise, access to advanced logistics technology makes all the difference in successfully resolving freight loss and damage claims. For example, analytics platforms can easily keep track of all the data needed to make a claim. Also, the efficiency of a transportation management system helps shippers manage claims and reduces risks that cause loss and damages within the supply chain. For example, the HoneyBee TMS™ manages the process with a web-based claims tool, tracking carrier relationships to file future claims more efficiently.

Expertise On-demand

CTSI-Global offers a dedicated team, legal expertise, and an advanced TMS to manage and automate the freight loss and damage claims process, resulting in a success rate of 85% of all valid claims resolved. CTSI also offers solutions a la carte so that clients can manage claims as needed.

Contact CTSI-Global to learn how to successfully resolve your freight loss and damage claims.