Author: Robert Enfield

Large liability verdicts can pressure freight-broker insurance through higher expected claim severity, defense costs, reinsurance costs, and more selective underwriting. In 2026, brokers must also account for the Supreme Court's Montgomery decision on negligent carrier-selection claims. Actual premiums depend on the brokerage, policy, insurer, limits, and loss history; there is no single verified rate increase that applies to every broker.

A factoring notice of assignment tells a broker that a carrier's payment rights have been assigned to another party, commonly a factor. After effective notice under applicable law, paying the carrier may no longer discharge the broker's obligation to the assignee. That can create exposure to paying again. Verify the notice, its scope, supporting authority, and payment instructions before changing the payee.

A released-value clause can limit cargo recovery when it is validly established under the applicable law and transportation agreement. A limitation printed on a bill of lading is not automatically enforceable in every case. Review the agreed value, rate options, notice, assent, timing, and any incorporated terms before concluding that a cap controls.

Yes, a shipper may still pursue a concealed freight damage claim after a clean proof of delivery (POD). A clean receipt makes evidence especially important because the visible delivery record does not document damage. Notify the carrier promptly, request inspection, preserve the product and packaging, and file a proper monetary claim within the governing deadline.

Carmack Amendment claim deadlines involve two separate steps: filing a cargo claim and, if necessary, bringing a lawsuit. For transportation governed by 49 U.S.C. § 14706, a carrier cannot impose less than nine months to file a claim or less than two years to sue after written notice disallowing the claim. Many transportation terms use nine months and two years and one day. Read the governing documents and calendar the actual deadlines immediately.

LTL freight reclassification happens when a carrier determines that the billed freight class does not match the shipment under the applicable classification and pricing terms. The July 19, 2025 NMFC changes expanded density-based classification and changed many item references. A successful dispute uses the rule effective for the shipment date, accurate packaged dimensions and weight, and the carrier's inspection evidence.