Released Value
Released value is a carrier liability limitation where the shipper agrees to a maximum reimbursement amount per pound in the event of loss or damage, typically lower than the actual value of the goods. Under released value, the carrier liability is capped at the declared rate per pound (commonly $0.10 to $2.00 per pound) regardless of the freight actual market value. This is the default liability level for most LTL carriers unless the shipper declares a higher value and pays an additional charge.
Why it matters
Released value determines how much a carrier will pay if your freight is lost or damaged. At the common released value of $0.10 per pound, a 500-pound shipment worth $5,000 would only be covered for $50. Most shippers do not realize their freight is moving at released value until they file a claim and discover the recovery is a fraction of the actual loss. Understanding released value vs declared value is critical for any shipper moving goods worth more than a few dollars per pound.
When to use it
Review the released value provision on every carrier contract and bill of lading before tendering high-value freight. If the released value rate produces coverage below your acceptable risk threshold, either declare a higher value on the BOL (which increases the freight charge) or obtain third-party cargo insurance. Released value is acceptable for low-value, easily replaceable commodities but creates significant financial risk for electronics, finished goods, pharmaceuticals, and any freight where replacement cost is high relative to weight.
How Warp thinks about it
Warp provides standard carrier liability on every shipment and can accommodate declared value requests for higher-value freight. Because Warp cross-dock routing averages 1-2 touches per shipment compared to 3-5 in terminal LTL, the probability of damage is structurally lower, which reduces the practical risk exposure regardless of the liability level. Shippers moving high-value freight through Warp benefit from both fewer handling events and transparent liability terms.
Frequently asked questions about released value
What is released value?
Released value is a carrier liability limitation where the shipper agrees to a maximum reimbursement amount per pound in the event of loss or damage, typically lower than the actual value of the goods. Under released value, the carrier liability is capped at the declared rate per pound (commonly $0.10 to $2.00 per pound) regardless of the freight actual market value. This is the default liability level for most LTL carriers unless the shipper declares a higher value and pays an additional charge.
Why does released value matter in freight?
Released value determines how much a carrier will pay if your freight is lost or damaged. At the common released value of $0.10 per pound, a 500-pound shipment worth $5,000 would only be covered for $50. Most shippers do not realize their freight is moving at released value until they file a claim and discover the recovery is a fraction of the actual loss. Understanding released value vs declared value is critical for any shipper moving goods worth more than a few dollars per pound.
When should you use released value?
Review the released value provision on every carrier contract and bill of lading before tendering high-value freight. If the released value rate produces coverage below your acceptable risk threshold, either declare a higher value on the BOL (which increases the freight charge) or obtain third-party cargo insurance. Released value is acceptable for low-value, easily replaceable commodities but creates significant financial risk for electronics, finished goods, pharmaceuticals, and any freight where replacement cost is high relative to weight.
How does Warp handle released value?
Warp provides standard carrier liability on every shipment and can accommodate declared value requests for higher-value freight. Because Warp cross-dock routing averages 1-2 touches per shipment compared to 3-5 in terminal LTL, the probability of damage is structurally lower, which reduces the practical risk exposure regardless of the liability level. Shippers moving high-value freight through Warp benefit from both fewer handling events and transparent liability terms.