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21 Aug 2017

Keeping Track of the Rules

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Many shippers might think rules tariffs do not apply to freight rates. Sometimes they contain accessorial charges that end up on invoices. However, these rules that rail transportation carriers use are also there to help you as the shipper!

These documents are very often overlooked as a whole when programming rates or reviewing invoices for payment. If a transportation and logistics team is not well-versed in carriers’ rules tariffs, then they are missing out on some possible opportunities to prevent overpayments.

What makes rules tariffs problematic, is that shippers will not see these documents cited on their invoice for review; one would have to just know they exist. This may seem hard to believe, but here are some easy examples: general absorption of switch charges, standard axle rate application for weight restricted stations, alternation of rates based on weight, free time on demurrage, when a tank car is considered empty, exceptions for switch limit stations, railroad error movements, and many more. Rules may also be located in the front section of a tariff, often overlooked by transportation personnel. In addition, there are general rules tariffs, such as the Railway Accounting Rules published by the Association of American Railroads and various publications provided by RAILINC.

This is where AMTR makes the difference for your company, by having this knowledge base and being able to know when to apply the rules to save you money. Call us today to get started. It costs you nothing to call but will cost you a lot if you do not!

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