Why OS&D doesn't have to be OMG vol. 2

Overage and Shortage? Check. Last week, we took a look at when overages and shortages occur and which of the two is more likely to happen in LTL shipping.

Missed Part 1? Contact us!

Now, we are down to the last component of OS&D. Damages. Although the term itself is horrible, it is something PLG can take care of for you.

Damages

Unlike overages and shortages, damages occur even when 100% of the freight is accounted for. However, damages have the highest likelihood to occur in freight shipping.

Damage occurs when products are received damaged, with the damage falling under the category of either visible or concealed.

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Visible vs Concealed

Visible damages occur when the freight on the first look, displays damage. The shrink wrap being no longer intact or a hole on the packaging are just some of the examples of visible damages. As long as the damage is visibly evident upon arrival, it is a visible damage and?MUST BE NOTED ON THE PROOF OF DELIVERY?to declare the condition that the goods were received in and can support any claim/s to be made in the future.

Concealed damages occur when shipments arrive and received damaged, but the damage is not immediately apparent nor discovered until after the delivery receipt is signed.

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Differences between Visible and Concealed Damages

• Customers have less time to file a concealed damage claim, with most carriers only allowing the filing of concealed damage claims within five days of receiving cargo while visible damage claim can take up to nine months with some carriers.
• Concealed damage claims are harder to prove and therefore have a lower reimbursement rate than visible damage claims.