Freight forwarding versus brokering – why should I care?#

Within the freight industry, you will hear the terms freight forwarding and brokering. Many times they are casually substituted for one another, suggesting similar meanings.

Beware of this – there are significant differences.

A forwarder is a Common Carrier under the law and, as such, a forwarder must file evidence of cargo insurance coverage with the Federal Motor Carrier Safety Administration (FMCSA).

Forwarders must also adhere to Carmack amendment liability requiring proper claims handling. A forwarder has the same cargo claims and cargo insurance responsibility as that of a motor carrier.

Many times carriers will use third-party carriers to augment their own capacity, but move those vehicles on a freight forwarded basis – meaning that the carrier’s Bill of Lading Terms & Conditions are in effect.

Brokers do not have a statutory freight claims (Carmack) liability and can get by with contingent coverage (less than half the cost of primary coverage) because they’re not liable in the event of a loss, absent negligence on the broker’s part.

Both are viable options when it comes time to ship your vehicle, as long as you understand their respective obligations to you.
Wednesday, July 08, 2009 10:28:33 AM (Central Daylight Time, UTC-05:00) #
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To Terminal or not to Terminal?#

A popular topic within the car shipping industry, should you trust using a terminal based carrier?

Many myths are floating around cyberspace on this topic. Most center on the following most popular myths:

Myth #1 – Terminals cause vehicles to be handled more often, thus exposing them to a greater threat of damage.

This is false. As a matter of fact, it has been proven that a vehicle traveling within a terminal network will be handled LESS than one going on the same truck from origin to destination. Why? With a terminal move, the vehicle is consolidated with others headed to a similar destination and delivered to the destination terminal as a full truckload, nonstop. Once at the destination terminal, it is loaded to a flat bed or much smaller transport for final delivery. A single truck that is traveling cross country will load and unload a number of vehicles, constantly having to juggle the vehicle positions on his truck based upon the current demands for pickup and delivery.

Myth #2 – Terminals cause transit delays.

This is false. As a matter of fact, having terminals creates a GREATER customer value by providing the option of selecting pick up dates based upon THEIR convenience, not when the transport truck is available. As a result, vehicles that sit at terminals based upon the customer’s need for quick pick-up, actually are assigned and moved well within industry guidelines. The customer has the ultimate choice, let your vehicle sit in your driveway awaiting assignment or let it sit in ours – you decide.

Myth #3 – Terminal can cause shipping rates to be well below market rates

This is TRUE. Having a terminal network for convenient customer drop-off and/or pick-up can save in many cases, a significant amount of money. A growing number of budget-minded customers are embracing this delivery option.

Know the full story on terminal based carriers, there is usually a lot more myth then reality.

Regardless of your shipping needs, DAS has an answer.

SERVICE DRIVEN. VALUE PRICED. DAS DELIVERS
Friday, June 19, 2009 2:58:23 PM (Central Daylight Time, UTC-05:00) #
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Why can't I pack my car full of stuff?#

This has to be one of the most popular questions asked when shipping a car. Many people are under the impression that since their vehicle is going cross-country, what harm could there be in packing a personal items in the car as well?

The answer is that quite a bit of harm could occur.

First of all, there is the safety issue for the transport driver, who has to be able to safely & easily enter and exit the vehicle and have a clear line of sight out the front & back for the loading and unloading of the vehicle.

Second, the vehicle itself can sustain harm if the items are loose and damage the interior due to their movement.

Third, other vehicles on the shipment are at risk if the objects exit the vehicle during transport and could possible damage them.

Fourth, all vehicles are transported unlocked for mandated Federal vehicle inspections. These inspections have intensified since 9/11 and in accordance with Homeland Security guidelines. This could provide the opportunity for items to be confiscated.

Remember, vehicle transport companies are not licensed to move Household Goods, only vehicles.

Given the potential harm that could occur, we ask that you always seek a safer, less expensive alternative.

Regardless of your shipping needs, DAS has an answer.

SERVICE DRIVEN. VALUE PRICED. DAS DELIVERS

Friday, May 22, 2009 3:20:00 PM (Central Daylight Time, UTC-05:00) #
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