YRC Freight

Summary Guide to Cargo Claim Liability

Summary of YRC Freight Limited Liability for U.S. Shipments

• For how much is YRC Freight responsible if it damages or loses a customer's shipment?
  
  In the event that YRC Freight 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, excess coverage.
  
  
• Where are YRC Freight general product liabilities listed?
  
  YRC Freight tariffs and the bill of lading contract for the shipment determine the extent of our liability.

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. YRC Freight does not transport prohibited and restricted articles. Prohibited articles often carry a high value, are fragile or can be easily stolen. Our YRC Freight 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 YRC Freight.
  
  
• 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. YRC Freight 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 YRC Freight general cargo liability for up to $25.00/lb. Typically, these are products that present a higher cargo claim risk for YRC Freight than other products. To compensate for this additional risk, YRC Freight typically sets a low and high released-value range (YRC Freight 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, YRC Freight liability in the case of loss or damage may be the lowest released value stated in YRC Freight 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.

Excess Liability Coverage

• What is excess liability coverage?
  
  Excess coverage is available for customers who require liability beyond the YRC Freight 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 YRC Freight 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 YRC Freight 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 YRC Freight charge for excess liability coverage?
  
  The current rate for excess coverage is in Tariff 100, 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 must 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 YRC Freight freight 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.
  
  
• 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 nondelivery, 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?
  
  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, YRC Freight will acknowledge receipt of the claim and attempt to settle it within 30 days. Investigation of some claims may take longer. YRC Freight 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 fax a claim to YRC Freight?
  
  Yes, our fax number for filing cargo claims is (866) 840-5691.
  
  
• If I fax a claim, should I also send YRC Freight a copy by mail?
  
  No. If you fax a claim to us, it is neither necessary nor desirable to send a copy by mail.
  
  
• Does YRC Freight need to inspect the damaged goods?
  
  If your goods are damaged, you should call your local YRC Freight terminal as soon as possible after delivery. YRC Freight will determine whether it is appropriate to have the damaged goods inspected.
  
  
• The YRC Freight 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 YRC Freight has received my claim and obtain the YRC Freight claim number?
  
  Dial 1-800-762-3929 and follow the menu directions to determine your YRC Freight 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 YRC Freight Tariffs. Below is a quick reference to Tariffs, which will help you find the detailed information you need.

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 RDWY Tariff 100 for up-to-date information.

ISC-269 02/07