Concealed Damage Reporting

Written by Neal Willis

Important Regulatory Changes To Concealed Damage Reporting!iStock_000032975484_Medium_Regulations

As we've discussed numerous times in this blog, the shipping industry is rapidly changing and there are constant adjustments happening in the regulatory environment. It's vital to keep up with these changes in regulations, and to make sure that both your freight carriers and suppliers are aware of them as well.

The most recent regulatory change pertains to damaged goods. The short version is that, as of April 18, 2015, the National Motor Freight Classification guidelines now require concealed damages to be reported within five days of their discovery.


What You Need To Know About New Concealed Damage Regulations

"Concealed damage" is exactly what it sounds like: damage done to the contents of a shipment which could not have been detected from looking at the outside of the shipment’s packaging. This is damage that is only discovered once the packaging is opened and/or removed. Previously, shippers had fifteen days to report concealed damage to a carrier. New NMFC guidelines have reduced that time period to only 5 days.

To be clear: This is not simply a change in ReTrans Freight policies. This is a nation-wide change in an NMFC regulation that affects everyone. A few other highlights of the new NMFC regulations governing concealed damages include, but aren’t limited to, the following:

1 – Any concealed damage found after delivery needs to be reported to the carrier within 5 days of the delivery date.

2 - Notice of the loss or damage must be reported either over the phone or in person AND include written or electronic confirmation. In other words, there must be a paper trail.

3 – Any report of concealed damage to a carrier must be accompanied by a request for an inspection by the carrier.iStock_000020438341_Medium_Warehouse_Delivery
4 – To the extent possible, the packing as well as the item(s) themselves need to be preserved in the same condition as when the damage was first discovered. In other words, don’t move or use the items, and save all the packaging that came with it until the claim is resolved.

Shippers should always consult and follow NMFC regulations for handling
any type of freight claim; however, it is important to note that simply following NMFC guidelines does not ensure that a claim settlement will be reached or offered.


Need More Help With Regulatory Changes?

If you or your transportation director are facing challenges in keeping up with the regulatory environment, ReTrans Freight can help!  Our experts know the rulebook inside and out, and can help ensure you and your partners are fully compliant with national regulations.

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