Choosing Your Next Transportation Service Provider

Those of you who work closely with Carriers and Brokers know what kind of relationship develops over time with your contacts at transportation companies. When you tender a shipment to your transportation provider, there is an immense amount of trust that is placed in that person and their company. You expect them to handle your shipment professionally and to safely transport your goods to the intended location, on time and in good condition.

It has always amazed me at the number of people who do not take the time to thoroughly investigate their transportation companies. Just a little time and effort can make all the difference when a shipment goes wrong, whether it becomes MIA, or damage occurs as a result of negligence on the part of the carrier/driver or a traffic accident.

Motor Carriers and Transportation Brokers are required by Federal Law to be licensed by the Federal Motor Carrier Safety Administration. Each is assigned an "M.C. Number" and an Operating Authority. Operating Authority dictates the type of operation a company may run, the cargo it may carry, and the geographical area in which it may legally operate. Some states also require Motor Carriers to have a USDOT registration. Requirements for registration are different for a Motor Carrier versus a Transportation Broker.

Whether you are working directly with a Carrier or with a Broker, it is essential to have a copy of that company's licensing and insurance on file. Any carrier should be more than happy to provide their customers with a copy of the following: Motor Carrier Operating Authority, Current Cargo Insurance Certificate, Liability and Automobile Liability Certificates, and their most recent Safety Rating. If your company moves Hazardous shipments, you should also have a copy of your carrier's Hazmat Certificate.

If you are working with a Transportation Broker, they are required by law to maintain files containing licensing and insurance for each carrier they contract to move your shipments. Your Broker should also be more than willing to provide you with a copy of their Authority and Transportation Broker's Bond. It is a good idea to ask your Broker if they carry a Contingency Cargo Insurance Policy as well. This policy would cover your shipment should you have a legitimate cargo loss claim and the Carrier's insurance has been cancelled for one reason or another prior to the movement of your shipment.

All America Transportation, Inc. goes the extra mile to protect our customers and their freight shipments. We carry a $100,000 Contingency Policy, as well as additional Automobile Liability and General Liability. These policies are NOT required by the Federal Motor Carrier Safety Administration for Transportation Broker Authority to be granted.

All of these factors are very important to consider when choosing your next Transportation Service Provider!