Summary of Reddaway Limited Liability for U.S. Shipments
- In the event that Reddaway is responsible for the loss or damage to a customer’s shipment, we are liable for up to $25.00/lb per package, with a maximum liability of $100,000.00 per shipment. If the actual loss is less than or equal to this amount, we’ll pay for the actual loss, but will not pay more than the actual value. There are several exceptions to the above rule. The most common are in this summary guide: prohibited articles, released value goods, limited liability commodities and excess coverage.
- Where are Reddaway general product liabilities listed? Rules and Conditions (Tariff 100) and the bill of lading contract for the shipment determine the extent of our liability.
Liability for Class, FAK and/or Exception Class Shipments
- When shipments move under Class rates, FAK rates or Exception class, Reddaway liability will not exceed the maximum liability per pound per package for classes provided in Rules and Conditions (Tariff 100). Exception rated shipments that do not have a class listed will default to the class 50 liability limit. When the shipment moves under actual class provisions, standard liability limitations will apply.
- Carrier’s liability for loss or damage to any article(s) or part thereof for which the charges are determined by FAK class or Exception class is limited to the lesser of:
- (1) actual invoice value of the article(s) lost, damaged or destroyed;
- (2) exclusions or limited liability provisions of the bill of lading;
- (3) applicable limited liability provisions of the NMFC;
- (4) lowest released value shown in the NMFC for the commodity shipped;
- (5) the maximums by FAK and/or exception class as provided in Carrier’s tariff; or
- (6) a maximum of $100,000 per shipment.
Prohibited Article Policies and Products
- What are Prohibited Articles? Examples of prohibited and restricted articles include antiques, works of art, precious stones, jewelry and currency. Reddaway does not transport prohibited and restricted articles. Prohibited articles often carry a high value, are fragile or can be easily stolen. Our Reddaway operation is not set up to handle or control this type of shipment. The risk of loss or damage is extremely high for both you and Reddaway
- What should I do if a customer requests that we transport a Prohibited Article? It’s in the customer’s and our best interests that we refuse to transport such shipments. Reddaway liability for prohibited articles is limited to $1.00/lb. If we pick up such an article and it gets lost or damaged, $1.00/lb most likely will not come close to compensating the customer for the actual value of the goods. Requests to transport prohibited or restricted articles usually come from the general public, not our commercial customer base.
Released-Value Policies and Products
- What is a released-value product? Released-value products are exceptions to Reddaway general cargo liability. Typically, these are products that present a higher cargo claim risk for Reddaway than other products. To compensate for this additional risk, Reddaway typically sets a low and high released-value range (Reddaway cargo liability in the case of loss or damage) for each product. Based on the value that a customer declares for the goods, we offer a shipment rate that is in accord with the level of liability requested. National and regional carriers use released-value liability limitations.
- How does a shipper determine rates for released-value products? The shipper must choose a rate from our tariff at pickup or declare a released value for their goods on the bill of lading. The higher the value they declare, the higher the shipment rate. If a shipper does not declare a released value on the bill of lading, Reddaway liability in the case of loss or damage may be the lowest released value stated in Tariffs 100 or 301. If the customer has an “FAK” program, the lowest release value will apply automatically.
- Released-value policies are applicable to which products? See the Table Summary of Released-Value Products.
Limited Liability Commodities
What is a limited liability commodity? Limited liability commodities are commodities with specific liability exceptions to Reddaway general cargo liability. When shipments contain any of the below commodities, either by specific NMFC or description, the Carrier’s Liability will not exceed the Limited Liability per Pound or Maximum Liability per Occurrence, as shown in the below table. Carrier’s Liability will always be restricted to the lowest applicable Liability Limit Amount found within Rules and Conditions (Tariff 100), item 780, 781.
|Limited Liability Per Pound||Description of Commodities||NMFC||Maximum Liability Per Occurrence|
|$0.10||Incandescent, Fluorescent or other type of lighting bulb||87800-87810||$10,000|
|$2.00||Furnaces, house heating, hot air||26260-26282||$50,000|
|$5.00||Cards or Tickets, paper or plastic||40750||$50,000|
|$5.00||Computer systems, components||116030||$50,000|
|$5.00||Plasma, Projection, LCD, LED, and any other Television product||63321-63325||$50,000|
Excess Liability Coverage
- What is excess liability coverage? Excess coverage is available for customers who require liability beyond the Reddaway ceiling of $25.00/lb per package or $100,000.00 per shipment. Excess coverage increases the customer’s possible compensation levels in the event that Reddaway is responsible for loss or damage of the goods. In no case will the transportation provider’s liability ever exceed the actual value of the shipment, regardless of the amount of excess coverage requested.
- What does excess liability coverage provide? Excess coverage is not “insurance.” Insurance implies that the goods are protected against loss and damage no matter what occurs or who is responsible. Excess coverage only increases possible compensation if Reddaway is responsible for the loss or damage.
- How does a customer request Excess Liability coverage? To request excess coverage, the shipper must write the request on the bill of lading. The words, “excess liability coverage requested” and the dollar amount of excess coverage requested, must be recorded on the bill of lading at pickup.Words similar to “Goods worth ($ amount)” on a bill of lading do not constitute an official request for excess coverage. Goods being “worth” an amount and the request for a certain amount of “coverage” are not the same.
- How much does Reddaway charge for excess liability coverage? The current rate for excess coverage is in Rules and Conditions (Tariff 100)reddawayregional.com, Item 780, Excess & Maximum Liability Coverage. Please review the rates at the bottom of the page. The assessment for excess coverage will appear on the invoice as an accessorial charge.
- Is excess liability coverage available for all shipments? No. Excess coverage is not available for most released-value shipments. Released-value products that have their own liability ceiling do not qualify for excess coverage. For example, computers can move at a maximum released value of $25.00/lb (the ceiling), so you cannot buy excess coverage. (See the Table Summary of Released-Value Products.)Please note that different services and products have different liability limitations. Also, when shipping outside the United States, the laws and liability limitations vary.
Frequently Asked Questions About Filing Claims
- Who may file a loss and damage claim? The shipper, the consignee or a third party who has title to the goods may file a claim.
- What documentation do I need to file a claim? You must present a claim in writing, describing the goods lost or damaged and how you determined the amount of the claim. This statement must identify the shipment and should be supported with a copy of the bill of lading or Reddaway bill, a copy of an inspection report if an inspection was performed and a copy of the vendor’s original invoice or other document to establish the value of the goods. If your claim is for damage you will need to include a photo of the damages to establish the nature and extent of the damage.
- What is the time limit for filing a cargo loss and damage claim? We must receive a cargo claim within nine months of the date of delivery, or in the case of non-delivery, within nine months after a reasonable time for delivery has elapsed. Time limits may vary when a shipment originates or delivers outside the United States.
- Must I retain the damaged goods? Yes, you should retain the damaged articles along with all the packaging material until the transportation provider picks them up or until the claim is settled.
- How long does it take for a claim to be settled? After we receive a claim with the proper documentation, Reddaway will acknowledge receipt of the claim and attempt to settle it within 30 days. Investigation of some claims may take longer. Reddaway processes more than 90 percent of claims in 30 days or less. If we cannot settle a claim in 120 days, we notify you and continue to keep you informed at 60-day intervals until we settle the claim.
- Can I email a claim to Reddaway? Yes, you can email this claims form to firstname.lastname@example.org .
- If I email a claim, should I also send Reddaway a copy by mail? No. If you email a claim to us, it is neither necessary nor desirable to send a copy by mail.
- Does Reddaway need to inspect the damaged goods? If your goods are damaged, you should call your local Reddaway terminal as soon as possible after delivery. Reddaway will determine whether it is appropriate to have the damaged goods inspected.
- The Reddaway claim form has a space for a claim number. What should I put there? Your claim number, unless you do not have a system for numbering your claims for your own purposes. In that case, please leave the space blank.
- How can I find out whether Reddaway has received my claim and obtain the Reddaway claim number? Dial 1-888-420-8960 and follow the menu directions to determine your Reddaway claim number and status. You can also check your claim status online.
Tariff Locations and Liability Issues
For detailed information on any of the topics listed in this summary guide, always refer to the Reddaway Rules and Conditions (Tariff 100). Below is a quick reference to Rules and Conditions (Tariff 100), which will help you find the detailed information you need.
|Topic: Service, Coverage, etc.||Tariff||Item|
|Products and Classes||NMFC 100 Series|
|Excess and Maximum Liability Coverage (except from Canada)||100||780|
|Excess and Maximum Liability Coverage (Mexico)||100||780|
|Prohibited or Restricted Articles (except from Canada)||100||780|
|Excess and Maximum Liability Coverage (only from Canada)||100||781|
|Prohibited or Restricted Articles (only from Canada)||100||781|
|Maximum Loss and Damage Liability||299||575|
|Excess and Maximum Liability Coverage (Mexico)||299||780|
|Excess and Maximum Liability Coverage (except Mexico)||299||781|
|Sealed Trailer—Maximum Loss and Damage Liability||299||555|
|Reddaway Time CriticalTM||277||580|
|Reddaway Time CriticalTM Air||277||552|
|Reroute (Release at Origin)||100||827|
|Released-Value Goods||301 (section 3)|
|Sealed Trailer (except for Mexico)||100||555|
|Sealed Trailer (only for Mexico)||100||556|
Table Summary of Released-Value Products
Important Notice: For the released-value products stated below, the shipper is required to declare a value for the goods on the bill of lading within the limits stated in the table below. Unless provided otherwise in individual tariff items, if the released value is not declared on the bill of lading, the lowest released value as stated below applies. If pricing is based on an FAK or single lines of rates, the lowest released value will automatically apply regardless of any notation on the bill of lading. Released-value ranges are subject to change. Refer to Reddaway Rules and Conditions (Tariff 100) for up-to-date information.
Shipments subject to a released value are not eligible for excess liability.
Value Not Exceeding
|Acids (certain ones)||$2.80 a lb||No Value Stated|
|Animal Feed Supplements||$.50 a lb||No Value Stated|
|Animal Hides||$1.50 a lb||$7.50 a lb|
|Cellular Phones||$3.00 a lb||$10.00 a lb (or No Value Stated)|
|Chemicals (certain ones)*||$2.80 a lb||No Value Stated|
|Chinaware/Stoneware||$90.00 per 100 lb||No Value Stated|
|Clothing: Used (fur or fur-lined)||$1.50 a lb||$7.50 a lb|
|Computer Systems or Components||$5.00 a lb||$25.00 a lb|
|Drugs (certain ones)*||$2.80 a lb||No Value Stated|
|Earthenware, Pottery and Porcelainware||$90.00 per 100 lb||No Value Stated|
|Electronic Tubes(Not specifically named in the NMFC)||$1.50 a lb||$3.00 a lb orNo Value Stated|
|Engines: New (internal combustion)||$5.00 a lb||$9.99 a lb|
|FAX Machines||$5.00 a lb||$25.00 a lb|
|Flatware (sterling silver)||$1.00 a lb||$5.00 a lb|
|Glassware||$.90 a lb||$19.00 a lb|
Ceramic Ware or Laminated Glassware
|$.90 a lb||$12.65 a lb|
|Household Goods/asonal Effects||$.10 a lb||$5.00 a lb|
|Jewelry (costume)||$1.00 a lb||$5.00 a lb|
|Leather Scrap||$.03 1/2 a lb||No Value Stated|
|Leatherboard Scrap||$.03 1/2 a lb||Exceeding $.03 1/2 a lb|
|Lighters (cigarette, etc.)||$.50 each||No Value Stated|
|Metals or Metal Alloys||$.40 a lb||$5.00 a lb|
|Office Records (old)||$.03 1/2 a lb||No Value Stated|
|Oils (Essential, natural or artificial)||$.50 a lb||$7.50 a lb|
|Ore||$.05 a lb||$1.00 a lb orNo Value Stated|
|Painting or Pictures||$.50 a lb||$5.00 a lb|
|Printed Matter (having exchange value, i.e., as sales coupons)||$.50 a lb||$1.00 a lb|
|Radio, Radio-Telephone, or TV Transmitting, or Transmitting and Receiving Sets or Other Radio Impulse or Wireless Audio Impulse Transmitting or Transmitting and Receiving Sets Separate or Combined||$3.00 a lb||$10.00 a lb|
|Radioactive Materials||$.40 a lb||$5.00 a lb|
|Rugs||$125.00 per 100 lb||Exceeding $300.00 per 100 lb|
|Semi-Conductors||$3.00 a lb||$20.00 a lb|
|Semi-Conductor Parts||$1.50 a lb||$1.50 a lb|
|Silk||$1.00 a lb||No Value Stated|
|Toilet Preparations*||$2.80 a lb||No Value Stated|
|Tubes, Cathode Ray (other than TV)||$3.00 a lb||No Value Stated|
|Watches or Watch Movements||$2.00 each||$10.00 each|
|* Refer to Rules and Conditions (Tariff 100), Item 849 for current released value.|