Less Than Truckload shipping can be confusing for a new company. There are a lot of terms that come with the industry. Having knowledge of these terms allow you to communicate with brokers. Moreover, having this information allows you to save time and money on booking your shipment. The following blog contains the definition of many important LTL Shipping Terms.
Here is a list of terms commonly used in the truckload, intermodal and LTL (Less Than Truckload) shipping world, along with definitions for each term:
- Truckload (TL or FTL): Refers to shipping large quantities of goods, usually more than 10,000 lbs, on a single truck, from one origin to one destination.
- Intermodal: A shipping method that uses multiple modes of transportation, such as truck, rail, and/or sea, to transport goods from one location to another.
- LTL (Less Than Truckload): Refers to shipping smaller quantities of goods, usually less than 10,000 lbs, on a single truck, from multiple origins to multiple destinations.
- Dry Van: A type of trailer used for general cargo, typically without temperature control.
- Reefer: A type of trailer used for temperature-controlled cargo, such as food, pharmaceuticals, and flowers.
- Flatbed: A type of trailer used for shipping large, heavy items that cannot be loaded into a dry van or reefer.
- Pallet: A platform used to stack and transport goods, typically made of wood and measuring 40” x 48”.
- Bill of Lading (BOL): A document that outlines the terms of a shipping agreement, including the origin, destination, shipment details, and responsibilities of the carrier and shipper.
- Freight Class: A classification system used by the National Motor Freight Traffic Association (NMFTA) to determine the density and transportability of goods, and to calculate shipping rates.
- Carrier: A company that provides transportation services for goods and cargo.
- Shipper: A company or individual who needs goods and cargo transported from one location to another.
- Loading Dock: A loading area at a warehouse or distribution center where goods are loaded onto trucks for shipment.
- Deadhead: The process of moving an empty truck from one location to another in order to pick up a load.
- Drop Trailer: A type of shipping method in which a trailer is drops off at a destination for loading, and then picks up for shipment at a later time.
Additional Freight Terms:
- Accessorial Fees: Additional charges for services such as loading, unloading, or special handling of goods.
- Density: The weight of a shipment divided by its cube, used to calculate the freight class.
- Freight Rate: The cost to transport goods, typically based on factors such as freight class, distance, and mode of transportation.
- Freight Quote: A written estimate of the cost to transport goods. This is based on factors such as origin, destination, shipment size, and mode of transportation.
- Cube: A measure of the volume of goods in a shipment. Which you calculate by multiplying the length, width, and height of a shipment.
- Freight Estimate: A written estimate of the cost to transport goods. Which includes the price and any additional charges, such as fuel surcharges, accessorial fees, and taxes.
- Fuel Surcharge: An additional charge to cover the cost of fuel for the carrier. This is typically a percentage of the freight rate.
- Origin Terminal: The starting point for a shipment, typically a warehouse or distribution center.
- Destination Terminal: The final stop for a shipment, typically a warehouse or distribution center.
- Dispatch: The process of coordinating the transportation of goods, including the selection of carriers and scheduling of shipments.
- Broker: An intermediary that connects
Freight Terms and Booking
Our team of expert brokers can assist you with all your LTL Shipments. With your new knowledge of LTL Freight terms, you can easily communicate with our team. We have an easy-to-use LTL portal, and with your knowledge you can easily navigate. Additionally, whether you are shipping LTL or FTL, we can assist you.
