Assessorial Charges, What Do I Do With Them?

Posted by Ryan Gotcher on Aug 5, 2019 10:04:28 AM

 

Invoice

So you’ve been hit with an assessorial charge, or you need to bill one, and need to find out how to frame it correctly. Keep reading to discover exactly what you need to do.

An assessorial, or accessorial, charge is an additional charge for duties that go above and beyond just shipping a good from point to point. These charges can help cover the costs for excess fuel, storage, or even prolonged waiting times.

What Are Assessorial Charges?

Fixed Assessorial Video

Assessorial charges are charges that are billed for additional service or requirements on top of a basic service. When relating to logistics, or transportation, these are charges added on top of the basic delivery of a load from point to point. It can include everything from fuel or equipment to hazardous materials, or detentions.

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Are Assessorial Charges Necessary?

So now that we understand what assessorial charges are, why do we need them?

Well, assessorial charges are normally issued when someone is losing money or time, and time is just more money. This needs to be made up somehow and assessorial charges can help offset the cost of extra service. Some examples of what makes up an assessorial charge includes: 

  • A shipper keeps your truck hours late?
  • Need specialized equipment to load, or unload?
  • Needing to transport hazardous materials?

These are all situations that fall outside of the act of delivering a basic freight and take special preparations to handle. An assessorial charge allows whoever is losing out on that money recuperate it back.

Land Traffic Control's transportation management system showcases these assessorial charges, and what they are linked to. This visibility helps create data that can be used to make a more efficient work process, or highlight shippers prone to detentions.

Questions or comments about assessorial charges? Comment below and we will get back to you!

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Topics: Insider, Transportation Services