Summary Guide to Cargo Claim Liability
Download the Summary Guide to Cargo Claim Liability booklet.
Summary of Roadway Limited Liability (for U.S. Shipments)
How much is Roadway responsible for if we damage or lose a customer's shipment?
- In the event that Roadway is responsible for the loss or damage to a customer's shipment, we are liable for up to $25.00/lb. per package, with a maximum liability of $100,000.00 per shipment. If the actual loss is less than or equal to this amount, we'll pay for the actual loss, but will not pay more than the actual value. There are several exceptions to the above rule. The most common are within this summary guide, (prohibited articles, released value commodities, excess coverage).
Where are Roadway general cargo liabilities listed?
- Roadway tariffs and the bill of lading contract for the shipment will determine the extent of our liability.
Prohibited Article Policies and Commodities
What are Prohibited Articles?
- Examples of prohibited and restricted articles include: antiques, works of art, precious stones, jewelry, and currency. Roadway does not transport prohibited and restricted articles. Prohibited articles often carry a high value, are fragile or can be easily lost to theft. Roadway operation is not set up to handle or control this type of shipment. The risk of loss or damage is extremely high for both the customer and Roadway.
What should I do when a customer requests that we transport a Prohibited Article?
- It's in the customer's and the best interest of Roadway that we refuse to transport this shipment. Roadway liability for prohibited articles is limited to $1.00/lb. If we pick up such an article and it gets lost or damaged, $1.00/lb. will unlikely come close to compensating the customer for the actual value of their goods. Requests to transport prohibited or restricted articles usually come from the general public, not our commercial customer base.
Released Value Policies and Commodities
What is a Released Value commodity?
- Released value commodities are exceptions to Roadway general cargo liability for up to $25.00/lb. Typically these are products that present a higher cargo claim risk for Roadway than other commodities. To compensate for this additional risk, Roadway typically sets a low and high released value range (Roadway cargo liability in the case of loss or damage) for each commodity. Based upon the value that the customer declares for their goods, we offer the customer a shipment rate that is in accord with the level of liability requested. Released value liability limitations are used by national and regional carriers.
How does a shipper determine rates for released value commodities?
- The shipper must choose a rate from our tariff at the time of pickup or declare a released value for their goods on the Bill of lading. The higher the value they declare, the higher the shipment rate. If a released value is not declared by the shipper on the bill of lading, Roadway liability in the case of loss or damage may be the lowest released value stated in Roadway Tariffs 100 or 301. If the customer has an "FAK" program, the lowest release value will apply automatically.
Which commodities are applicable to the Released Value policies?
Excess Liability Coverage
What is Excess Liability coverage?
- Excess Coverage is available for customers who require carrier liability beyond Roadway ceiling of $25.00/lb. per package, or $100,000.00 per shipment. Excess coverage increases the customer's possible compensation levels in the event that Roadway is responsible for loss or damage of their goods. In no case will the carrier's liability ever exceed the actual value of the shipment, regardless of the amount of excess coverage requested.
What does Excess Liability Coverage provide?
- Excess coverage is not "insurance." Insurance implies that the goods are protected against loss and damage no matter what occurs or who is responsible. Excess coverage only increases possible compensation if Roadway is responsible for the loss or damage.
How does a customer request Excess Liability coverage?
- To request excess coverage, the shipper must write their request on the bill of lading. The words, "excess liability coverage requested" and the dollar amount of excess coverage requested, must be recorded on the bill of lading at the time of pickup. A maximum of $1.9 million of excess coverage can be requested.
If words similar to "Goods worth ($ amount)" appear on a bill of lading, this is not an official request for excess coverage. Goods being "worth" an amount and the request for a certain amount of "coverage" are not the same.
How much does Roadway charge for Excess Liability coverage?
- The current rate for excess coverage is $.70 per $100.00 of excess value with a minimum charge of $39.00 per shipment. For example, if a customer requested $10,000.00 worth of additional coverage, they would be charged $70.00. These charges are subject to change, so it's necessary to consult Tariff 100, Item 780 for the current charges, before quoting a customer. The assessment for excess coverage will appear on the customer's invoice as an accessorial charge.
Is Excess Liability coverage available for all shipments?
- No. Excess coverage is not available for most released value shipments. Released value commodities that have their own ceiling of liability do not qualify for "Excess Coverage." For example, computers can move at a maximum released value of $25.00/lb. (the ceiling), so no excess coverage can be purchased. (See the attached Table Summary of Released Value Commodities.)
Please note that different services and products have different liability limitations. Also, when shipping outside the U.S., the laws and liability limitations will vary.
Frequently Asked Questions About Filing Claims
Who may file a loss and damage claim?
- The shipper, the consignee, or a third party who has title to the goods may file a claim.
What documentation is needed to file a claim?
- A claim must be presented in writing describing the goods lost or damaged and how the amount of the claim was determined. This statement must identify the shipment and should be supported with a copy of the bill of lading or Roadway freight bill, a copy of an inspection report if one was performed, and a copy of the vendor's original invoice or other document to establish the value of the goods.
What is the time limit for filing a cargo loss and damage claim?
- A cargo claim must be received by the carrier within nine months of the date of delivery, or in the case of nondelivery, within nine months after a reasonable time for delivery has elapsed. Time limits may vary when a shipment originates or delivers outside the U.S.
Do the damaged goods have to be retained?
- The damaged articles should be retained along with all of the packaging material until picked up by the carrier or until the claim is settled.
How long does it take for a claim to be settled?
- Once a claim has been received with the proper documentation, Roadway will acknowledge receipt of the claim and attempt to settle it within 30 days. Investigation of some claims may take longer. Roadway processes over 90% of claims within 30 days or less. If a claim cannot be settled within 120 days, Roadway notifies the customer and continues to keep them informed at 60-day intervals until the claim is settled.
Can a claim be faxed to Roadway?
- Yes, our fax number for filing cargo claims is (866) 840-5691.
If a claim is faxed, should the customer also send Roadway a copy by mail?
- No, if a claim is transmitted to us by fax, it is not necessary nor desirable to have another copy sent by mail.
Does Roadway need to inspect the damaged goods?
- If a customer's goods are damaged, the customer should call their local Roadway service center as soon as possible after delivery. Roadway will determine if it is appropriate to have the damaged goods inspected.
The Roadway claim form has a space for a claim number. What should be put there?
- The customer's claim number, unless they do not have a system of numbering their claims for their own purposes. In that case this space can be left blank.
How can customers find out if their claim has been received and determine their Roadway claim number?
- Customers can determine their Roadway claim number and the status of their claim by dialing 1-800-762-3929 and following the menu directions. They can also check the status of their claim at Roadway website, www.roadway.com.
Tariff Locations and Liability Issues
For detailed information on any of the topics listed in this summary guide, always refer to the Roadway Tariffs. Below is a quick reference to Tariffs, which will help you locate the detailed information you need.
| Topic: Service, Coverage, etc. |
Tariff |
Item |
| Commodities and Classes |
NMFC
|
|
| Excess Liability Coverage |
100
|
780
|
| Mexico Cargo Protection |
100
|
780
|
| Mexico Exclusive Use |
502
|
Tar. 100, Item 780
|
| Mexico Volume Shipments |
299
|
575 & 203
|
| Precision Delivery |
277
|
585 & 203
|
| Prohibited or Restricted Articles |
100
|
780
|
| Reconsignment |
100
|
820, 836, 827, 828, & 829
|
| Released Value Rules & List |
100
|
849
|
| Released Value Commodities |
301
|
|
| Time Critical™ |
277
|
203 & 580
|
| Time Critical™ - Air |
277
|
203 & 552
|
| Time Critical™ - Coast-to-Coast Air |
|
780
|
| Time Critical™ - Air |
|
203
|
| Time Critical™ - Air |
|
780
|
| Used Machinery |
301
|
3010
|
| Volume Shipments |
299
|
575 & 780
|
| Volume Shipments - Sealed Trailer |
299
|
555 & 780
|
| Volume Shipments - Truckload |
278
|
575 & 780
|
Table Summary of Released Value Commodities
Important Notice: For released value commodities a stated below, the consignor is required to declare a value for the goods on the bill of lading within the limits stated in the table below. Unless provided otherwise in individual tariff items, if the released value is not declared on the bill of lading the lowest released value as stated below will apply. If pricing is based on an FAK or single lines of rates the lowest released value will automatically apply regardless of any notation on the bill of lading. Released value ranges are subject to change. Refer to RDWY Tariff 100 for up-to-date information.
| Shipments
subject to a released value are not eligible for excess liability. |
| Product
Shipped |
Released
Value Ranges |
Lowest
Value
Not Exceeding |
Highest
Value |
| Acids (certain ones) |
$2.65 per lb. |
No Value Stated |
| Agricultural Implements Used |
$1.00 per lb. |
Exceeding $2.50 per lb. |
| Animal Feed Supplements |
$.50 per lb.
|
No Value Stated
|
| Animal Hides |
$1.50 per lb.
|
$7.50 per lb.
|
| Cellular Phones |
$3.00 per lb. |
$10.00 per lb. (or No Value Stated) |
| Chemicals (Certain ones)** |
$2.65 per lb.
|
No Value Stated
|
| Chinaware/Stoneware |
$90.00
per 100 lbs.
|
No Value Stated
|
| Clothing Used (Fur or fur lined) |
$1.50 per lb.
|
$7.50 per lb.
|
| Computer Systems or Components |
$5.00 per lb.
|
$25.00 per lb.
|
| Drugs (Certain ones)** |
$2.65 per lb.
|
No Value Stated
|
| Earthenware, Pottery and Porcelainware |
$90.00
per 100 lbs.
|
No Value Stated
|
Electronic Tubes
(Not specifically named in the NMFC) |
$1.50 per lb.
|
$3.00 per lb. or
No Value Stated
|
| Engines New (Internal combustion) |
$5.00 per lb.
|
$9.99 per lb.
|
| Engines, Used, Rebuilt or Reconditioned (Internal Combustion) |
$5.00 per lb. |
$25.00 per lb. |
| FAX Machines |
$5.00 per lb.
|
$25.00 per lb.
|
| Flatware (Sterling Silver) |
$1.00 per lb.
|
$5.00 per lb.
|
| Glassware |
$.90 per lb.
|
$19.00 per lb.
|
Glass -
Ceramic Ware or Laminated Glassware |
$.90 per lb.
|
$12.65 per lb.
|
| Household Goods/Personal Effects |
$.10 per lb.
|
$5.00 per lb.
|
| Jewelry (Costume) |
$1.00 per lb.
|
$5.00 per lb.
|
| Leather Scrap |
$.03 1/2 per lb.
|
No Value Stated
|
| Leatherboard Scrap |
$.03 1/2 per lb.
|
Exceeding
$.03 1/2 per lb.
|
| Leatherboard Scrap |
$.03 1/2 per lb. |
Exceeding $.03 1/2 per lb. |
| Lighters (Cigarette, etc.) |
$.50 each
|
No Value Stated
|
| Machinery Used* |
$1.00 per lb.
|
Exceeding
$2.50 per lb.
|
| Metals or Metal Alloys |
$.40 per lb.
|
$5.00 per lb.
|
| Office Records (Old) |
$.03 1/2 per lb.
|
No Value Stated
|
| Oils (Essential, natural or artificial) |
$.50 per lb.
|
$7.50 per lb.
|
| Ore |
$.05 per lb.
|
$1.00 per lb. or
No Value Stated
|
| Painting or Pictures |
$.50 per lb.
|
$5.00 per lb.
|
| Printed Matter (Having exchange value, i.e.,
as sales coupons, etc.) |
$.50 per lb.
|
$1.00 per lb.
|
| Radio, Radio-Telephone, or TV Transmitting, or Transmitting and Receiving Sets or Other Radio Impulse or Wireless Audio Impulse Transmitting or Transmitting and Receiving Sets Separate or Combined |
$3.00 per lb.
|
$10.00 per lb.
|
| Radioactive Materials |
$.40 per lb.
|
$5.00 per lb.
|
| Rugs |
$125.00
per 100 lbs.
|
Exceeding $300.00 per 100 lbs.
|
| Semi-Conductors |
$3.00 per lb.
|
$20.00 per lb.
|
| Semi-Conductor Parts |
$1.50 per lb.
|
$1.50 per lb.
|
| Silk |
$1.00 per lb.
|
No Value Stated
|
| Toilet Preparations** |
$2.25 per lb.
|
No Value Stated
|
| Tubes, Cathode Ray (Other than TV) |
$3.00 per lb.
|
No Value Stated
|
| Watches or Watch Movements |
$2.00 each
|
$10.00 each
|
* Used machinery and used agricultural implements and/or parts are not eligible for discounts or excess liability (Maximum liability #25.0 per lb./100,00 per shipment)
** Refer to Roadway Tariff 100, Item 849 for current released value. |
ISC-269 02/07
