LTL Trucking: 4 Factors That Determine Rates

LTL trucking, short for Less Than Truckload trucking, serves a very important role in shipping. If you have a full load, then of course you will need a full truck. If you have a small package to be delivered, then you will most likely choose to use a parcel post carrier. Unfortunately, there are many times when there are small or partial loads to be shipped that simply don’t fit either of those two scenarios. This is the market that LTL trucking serves.

There are many considerations that go into a rate for this type of shipping. Most of them fall into one of four factors.

Distanceless-than-truckload-ltl-shipping-services

This factor almost goes without saying. It simply makes sense that the farther your shipment is going, the more it will cost.

Weight and Deck Space

Here, again, is another logical factor. LTL trucks are filled with loads from many different shippers. However, trucks are limited as to the weight that they can haul and the amount of deck space that is in the trailer. Freight that adds more to the total weight or takes up more feet of deck of the trailer will be charged proportionately more.

Classification of Freight

This factor gets a bit tricky. National Motor Freight Classification publishes a standard that lists 18 different freight classifications. Factors that go into the classification include density, liability, and ease of handling.

Density is one of the main issues. Take for instance the difference between a hundred pounds of cotton balls versus a hundred pounds of paving stones. Needless to say, the stones will take up much less room in the truck and can easily be combined with loads that are lighter, giving them a lesser rate.

Accessorial Charges

These are the add-ons to your over all rate. Sort and segregate, wait time for loading or unloading, and lumper charges can add to your LTL freight bill.

As you can see, figuring the cost of a particular load is more than just charging a certain rate per pound. If you have a small or partial load that you need to ship, please contact us for a quote.

May 26, 2016 | Tags: | Category: LTL