When booking a Less Than Truckload (LTL) shipment, many businesses focus on freight classification, weight, and destination. However, one of the most common hidden costs in LTL shipping comes from residential and limited access fees. If not accounted for, these charges can increase your shipping costs and delay deliveries.
To help you plan ahead and avoid unnecessary fees, let's break down what these charges mean and how you can determine if they apply to your shipment.
LTL carriers operate on a network designed for efficiency, primarily moving freight between business locations with loading docks or forklifts. When a shipment is delivered to a location that doesn't fit this model, additional handling may be required, resulting in extra fees.
A residential surcharge applies when a shipment is delivered to:
Even if a business is run out of a home, LTL carriers will still classify it as a residential delivery and apply additional fees. This is because residential areas typically require smaller trucks, liftgate services, and extra time for delivery.
Some locations are considered limited access because they require special entry, have restricted hours, or need extra handling. Common examples include:
Deliveries to these locations often involve extra coordination, security clearances, or restricted delivery windows, all of which add complexity and cost to the shipment.
If the destination does not have a loading dock or forklift, a liftgate service will be needed to lower the freight from the truck to the ground. Most LTL carriers charge an additional fee for this service.
To prevent unexpected fees on your LTL shipments, follow these best practices:
✅ Confirm the delivery location type – Verify whether the destination is classified as a commercial, residential, or limited access facility before booking your shipment.
✅ Check for liftgate requirements – If the receiver does not have a dock or forklift, expect an additional charge for liftgate service.
✅ Communicate with your shipping provider – If you’re unsure about classification, ask your logistics partner or carrier to clarify before confirming your shipment.
✅ Include detailed delivery instructions – Providing accurate location details can help carriers plan and reduce the risk of misclassification.
LTL shipping is a cost-effective way to move freight, but additional accessorial fees can quickly add up if you're not prepared. By understanding residential and limited access charges, you can make informed decisions, avoid unexpected costs, and keep your shipping operations running smoothly.
If you need assistance classifying your shipments or finding ways to optimize your LTL shipping costs, feel free to reach out—we’re here to help!
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