Car shipping damage: insurance, the bill of lading and filing a claim
What the carrier is liable for under federal law, why the pickup inspection matters, cargo insurance, and the deadlines for claims.
Most vehicles arrive without a scratch, but transport damage does happen: stone chips, scrapes from loading ramps, dents from straps or equipment above the car. Whether you are paid for it depends mostly on two things: what was written down at pickup and delivery, and the carrier's insurance. This guide explains the rules and the steps that protect you.
Who is responsible
For interstate shipments, the federal Carmack Amendment makes the carrier that receives your property, and the carrier that delivers it, liable for actual loss or injury to the property it transports (49 U.S.C. 14706). The carrier must issue a receipt or bill of lading. If you booked through a broker, the broker is generally not the carrier; your claim usually goes to the carrier that hauled the vehicle and its cargo insurer.
Carriers may limit their liability to a value set by a written agreement with you (49 U.S.C. 14706(c)). Read the contract for any such limit, and for exclusions such as personal items left in the car, mechanical problems or damage from weather on open carriers.
Liability insurance vs. cargo insurance
Federal rules require interstate carriers to file public liability insurance: at least $750,000 for trucks of 10,001 pounds or more carrying ordinary property (49 CFR 387.9), and $300,000 for fleets of only lighter vehicles (49 CFR 387.303). That covers injuries and damage the truck causes to others. Damage to the cars on the trailer is covered by cargo insurance, which FMCSA requires only of household-goods movers. Most car carriers buy cargo coverage anyway because customers and brokers ask for it, but the limits vary.
Before you book, ask for a certificate of insurance showing cargo coverage, the limit per vehicle and per load, and the deductible. A carrier hauling several expensive cars on one trailer needs a per-load limit large enough to cover them. Also check your own auto policy: some personal policies cover a vehicle while it is being transported, others do not.
The pickup inspection
The bill of lading usually includes a vehicle condition report: a diagram where the driver marks existing scratches, dents and chips. This is your evidence.
- Wash the car a day or two before pickup so damage is visible.
- Take dated photos and a walk-around video of every panel, the roof, wheels, glass, interior and odometer.
- Walk around the car with the driver, agree on every mark, and check the driver's notes before you sign.
- Keep your copy of the signed bill of lading.
At delivery
Inspect the car before you sign, in good light if possible. If you find new damage, write it on the bill of lading and photograph it with the driver present. Signing a clean delivery receipt without noting damage makes a later claim much harder, though under federal law a claim is still possible. If the car arrives at night or in the rain, note on the receipt that the inspection was limited by conditions.
Filing a claim
- Notify the carrier in writing as soon as possible and keep a copy.
- Send a written claim with the bill of lading, the delivery receipt showing the damage, your photos, and repair estimates or invoices.
- Ask for the carrier's insurance company and claim number.
Under federal law a carrier may not give you less than 9 months to file a claim, and less than 2 years to sue after it denies the claim in writing (49 U.S.C. 14706(e)). Your contract may give longer periods, but never shorter ones. Do not wait: memories fade, and photos taken weeks later prove little.
If the carrier will not respond
- Check the carrier's insurance on FMCSA's Licensing & Insurance site and contact the insurer directly with the policy number.
- If you booked through a broker, ask it to help; brokers have an interest in keeping carriers in line, and a broker that failed its obligations to you may be covered by its $75,000 surety bond (49 CFR 387.307).
- File a complaint with FMCSA's National Consumer Complaint Database (1-888-368-7238). FMCSA does not resolve individual damage claims, but complaints are part of the carrier's record.
- For smaller amounts, small claims court in your state may be an option. Larger claims may need a lawyer familiar with Carmack cases.
Common exclusions
Cargo policies and transport contracts often exclude some kinds of loss. Read them for these before you book:
- Personal items left in the car, and aftermarket parts or accessories that were not secured or declared.
- Mechanical and electrical problems that are not caused by an accident in transit, such as a battery that runs flat or a fluid leak.
- Weather and road debris on open carriers, such as hail, sap or small stone chips, sometimes below a set size.
- Undercarriage damage on low cars loaded without the right equipment, if you did not tell the carrier the car is lowered.
- Damage not noted at delivery, under contract terms that require damage to be written on the delivery receipt.
If a carrier's terms exclude something that matters to you, ask whether it can be covered, or choose a different carrier or an enclosed trailer.
Prevention
For valuable, classic or low-clearance cars, enclosed transport and a carrier with a high cargo limit reduce the risk. Remove personal items, toll tags and loose accessories; carriers typically exclude them from coverage. Tell the carrier about any mechanical issues, leaks or alarm quirks before loading.
General information only, current as of the date above. The information on Car Shipper Check is not a safety rating or recommendation. Federal registration shows a company's authority and filings, not the quality of its service. Check the carrier's current status on the official FMCSA site and read your contract before you book. Rules and programs change; check the official sources linked in this guide.