Freight Shipping Quotes

A freight rate is the price a carrier or broker charges to move one shipment between two points by one service. It reflects the distance and lane, the billed weight, the service level and the conditions at pickup and delivery. A door-to-door rate covers the whole trip, including pickup, the line haul or flight, and final delivery. A terminal or airport rate covers only the middle leg. Rates also change with the market, because fuel prices, capacity and seasonal demand all move. That is why a freight rate is quoted for a specific shipment on a specific date, rather than published as a fixed price. The more accurate the details behind it, the more reliable the rate.

Parcel shipping moves individual boxes through a carrier's sorting network, with a label on each box and automated hubs along the way. Parcel networks are built for packages one person can lift, and they charge more as boxes get heavier or bulkier. Freight covers anything larger: palletized goods, crates, machinery and shipments that need a forklift. It moves on trucks, in aircraft holds or on charters, usually under one bill of lading or air waybill for the whole shipment. A single box of 40 or 50 pounds usually ships cheapest by parcel. Several heavy boxes, anything on a pallet, or a shipment with a hard deadline is usually better quoted as freight.

LTL stands for less than truckload. It is freight that shares a trailer with shipments from other shippers, usually one to several pallets that do not fill a truck on their own. LTL carriers collect freight from many pickups, sort it at terminals and deliver it on scheduled routes. That network keeps the cost down for smaller shipments, but each terminal stop adds handling and time. LTL is priced on freight class, weight, distance and the conditions at pickup and delivery. It works well for planned freight with a flexible delivery date. For urgent freight, an expedited truck or a flight avoids the terminal stops altogether.

Freight class is a standard rating used to price LTL shipments in the United States. It runs from Class 50 for dense, durable freight up to Class 500 for very light, bulky freight. The class is set mainly by density, along with how easy the freight is to handle, how easily it is damaged and the carrier's liability for it. A higher class means a higher rate for the same weight, because the freight takes up more trailer space for what it weighs. Getting the class right matters. If the carrier inspects the freight and finds a different class, the price is corrected after pickup.

Density is the weight of a shipment divided by the space it takes up, measured in pounds per cubic foot. Measure the length, width and height of each piece in inches, including the pallet, and multiply them to get cubic inches. Divide by 1,728 to convert to cubic feet. Then divide the total weight in pounds by the cubic feet. For example, a pallet measuring 48 by 40 by 48 inches takes up 92,160 cubic inches, or about 53.3 cubic feet. If it weighs 500 pounds, its density is about 9.4 pounds per cubic foot. Lower density usually means a higher freight class.

Dimensional weight is the weight an airline assigns to a shipment based on the space it takes up. Airlines bill the greater of actual weight and dimensional weight, which is called the chargeable weight. To calculate it in US units, multiply length, width and height in inches, then divide by the airline's dim factor. A common divisor for domestic air cargo is 166. For example, a pallet measuring 48 by 40 by 36 inches has 69,120 cubic inches, which works out to about 416 pounds of dimensional weight. If that pallet weighs 300 pounds on the scale, it bills at about 416 pounds, because the larger figure applies.

A reweigh happens when a carrier weighs or measures a shipment after pickup and finds figures different from those on the bill of lading. A reclassification happens when an LTL carrier inspects the freight and assigns a different freight class. Either one can change the final bill from the original quote. The most common causes are missing pallet weight, rounded-down dimensions, packaging that was not counted and freight described too loosely. Carriers use dimensioning equipment and scales at their terminals, so estimates rarely survive the trip. Measuring and weighing every piece with its packaging before requesting a quote is the simplest way to avoid both.

A carrier quote comes from the company that owns the trucks or aircraft and covers only the equipment and lanes that carrier runs. A broker quote comes from a licensed freight broker, which arranges the shipment with carriers it books on your behalf. Because a broker is not tied to one fleet, it can compare several services for the same shipment, such as an expedited truck, a scheduled flight or a charter, and recommend the one that fits the deadline. The broker also manages the shipment as your contact through delivery. A carrier quote can make sense for regular freight on a lane that carrier runs often.

Expedited freight is a shipment that moves faster than standard service, usually because a deadline cannot slip. On the ground, it typically means a dedicated vehicle, such as a cargo van, straight truck or hot shot, driving straight from pickup to delivery with no terminal stops. In the air, it means next flight out on a scheduled flight, hand carry by an onboard courier, or a chartered aircraft. Expedited freight costs more than standard LTL or scheduled freight because the vehicle or aircraft is committed to one shipment or one deadline. Common uses include replacement parts for a stopped production line, medical supplies and missed shipments.

A bill of lading, often shortened to BOL, is the shipping document that records a freight shipment. It lists the shipper, the receiver, the pickup and delivery addresses, the number of pieces, the weight, the freight description and, for LTL, the freight class. The driver signs it at pickup to confirm receipt, and the receiver signs it at delivery, which becomes the proof of delivery. It also serves as the contract of carriage between the shipper and the carrier. For air freight, the equivalent document is the air waybill. Accurate details on the bill of lading help keep the final bill matched to the quote.