Packaging and Protecting your Freight

It is extremely important to package and protect your freight well to help ensure it stays safe during transit and arrives in good condition.

Your freight will pass through a number of terminal cross-docks, be loaded and unloaded half a dozen times, and be moved repeatedly around a terminal via forklift. This means that your freight will be handled many times, and if it's not packaged securely, it can easily be damaged. Shipping documents that aren't securely attached can fall off, leading to carriers being unable to correctly identify or locate your freight.

Also, properly packaging your freight is essential to ensure it qualifies for insurance coverage. Carriers and insurers follow specific standards to determine if a shipment is adequately protected.

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Below are key guidelines and important information to help you package your items to prevent issues with coverage.

1. Why Proper Packaging Matters for Insurance

   • Insurance Requirements: For insurance to cover your shipment, it must be properly packaged according to the carrier's and insurer’s guidelines. Insufficient or improper packaging can make the freight ineligible for insurance.
   • Carrier Inspection: Carriers inspect freight for packaging integrity. If they find packaging inadequate, they may refuse to move it or label it as "At Owner's Risk," which automatically voids insurance coverage.

2. Packaging Guidelines for Insurance-Eligible Freight

   • If the freight is fragile, it is best to crate it
     Crates offer robust protection, especially for fragile or delicate items. They shield freight from direct impact, keep it secure, and add an extra layer of security that is often essential for insurance.

   • Choose Appropriate Packaging

     Select sturdy materials that match the type of goods being shipped. Use durable boxes, crates, or pallets as needed. Placing freight on a pallet provides a stable base, reduces the risk of tipping, and makes handling safer and easier during transit. Pallets also help distribute weight evenly, which protects your freight and prevents damage.

   • Internal Protection

     Ensure internal packaging protects items from shifting, vibration, and impact. Use cushioning materials like bubble wrap, foam, or padding as needed.

   • Secure the Load

     If the freight is on a pallet, make sure items are securely fastened to prevent movement. Use straps, shrink wrap, or banding as needed. Straps keep freight firmly attached to the pallet, reducing the chance of shifting or sliding. This secure attachment is critical for preventing tipping and keeping items safe through bumps and vibrations in transit. Shrink wrap helps hold items together and adds stability, preventing loose pieces from shifting or falling during handling. It also provides a layer of protection from dirt, dust, and moisture.

   • Weight Distribution

     Keep weight evenly distributed on pallets, and avoid overloading boxes or crates, as this can compromise stability.

   • Reinforce the edges of boxes and crates
     Reinforced edges protect against impact during loading and unloading, where corners and edges are most vulnerable to damage. Using edge protectors or extra padding keeps the structure intact and reduces the risk of insurance claims being denied.

   • Securely attach your shipping documents to each piece of freight
     Attaching documents securely to the freight helps ensure your shipment is handled correctly and not delayed. Proper documentation is critical for tracking and compliance, which supports a smooth claims process if insurance coverage is needed.

3. What Happens if Packaging is Inadequate?

   • Carrier Refusal to Move: Carriers have the right to refuse a shipment if they determine it is not properly packaged.
   • "At Owner's Risk" Labeling: If a carrier agrees to transport inadequately packaged freight, it will often mark the shipment as "At Owner's Risk." This designation indicates that insurance will not cover any damage or loss that may occur during transit.
   • Denied Insurance Claims: Inadequate packaging can result in denied claims for damage or loss, even if insurance was initially purchased. To protect your shipment, make sure packaging meets the carrier’s and insurer’s standards.

4. Common Packaging Issues That Lead to "At Owner's Risk" Labels

   • Fragile Items Without Proper Cushioning: Items like glass or electronics must be cushioned well to absorb impacts.

   • Loose, Overpacked, or Underfilled Boxes: Boxes that are loosely packed or overfilled may collapse or burst during transit.

   • Improper Pallet Stacking: When items on a pallet are unevenly stacked or improperly secured, it increases the risk of tipping or damage.

   • Exposed or Unprotected Parts: Freight with exposed parts or without sufficient external protection is likely to be labeled “At Owner's Risk.”

     
     

5. Final Tips to Avoid Packaging-Related Coverage Issues

   • Invest in high-quality materials to ensure durability during transit.

   • When in doubt, consult a packaging professional to ensure your shipment meets industry standards.

     
     

By following these packaging guidelines, you can improve the likelihood that your freight will be covered by insurance, safeguarding it throughout its journey.

For valuable freight, we recommend having your own freight insurance, as most carriers offer minimal liability (usually max $2/lb).

Learn more about Insurance

For any questions on freight packaging,  please contact our support team by opening a live chat or emailing support@freightsimple.com  and we'll be happy to help!