What to Look for in a Freight Broker: 7 Questions Every Shipper Should Ask

A reliable freight broker should make your supply chain more efficient, not introduce new problems. Yet many companies experience hidden fees, missed delivery windows, unclear communication, and poorly vetted carriers that cause preventable disruptions.

Whether your company ships LTL, FTL, specialty, heavy haul, or cross-border freight, asking the right questions is essential before selecting a broker. Use this checklist to ensure your logistics partner strengthens operations rather than weakening them.

‍

1. Are You Licensed, Bonded, and Properly Insured?

A compliant freight broker should be able to provide:

• MC Authority Number
• USDOT Number
• Surety Bond (BMC-84)
• Certificate of Insurance (active and verified)

Why it matters: Without proper authority and insurance coverage, shippers may face liability, cargo loss risk, and legal complications. A carrier or broker who cannot provide documentation should not handle commercial freight.

‍

2. How Do You Vet Carriers in Your Network?

A strong broker does not rely on any available truck. They evaluate carriers carefully, considering:

• CSA safety scores
• Active insurance and coverage limits
• Equipment type and maintenance standards
• Driver qualification files
• Performance history and on-time delivery rates

Carrier selection directly affects transit performance, claims, and customer satisfaction.

‍

3. Do You Provide Transparent Pricing Without Hidden Costs?

Unexpected accessorial fees are a leading cause of profit loss in freight. Common additional charges include:

• Detention and layover fees
• Fuel surcharge variations
• Liftgate and driver assist
• Residential or limited-access delivery

A qualified brokerage should provide clear line-item pricing, explain all potential accessorials in advance, and help shippers reduce total landed cost.

‍

4. Can You Support LTL, FTL, and Specialty or Oversized Freight?

Even if your current needs are standard, your shipping requirements may expand as you scale. Your broker should handle multiple modes, including:

‍

5. What Technology Is Available for Tracking and Visibility?

Modern freight management relies on data and real-time tracking. Your broker should provide:

• Live GPS-based load visibility
• Customer shipment portal
• Digital document management (BOL, POD, invoices)
• Automated status updates
• API or EDI integration options

Without visibility, shippers lose operational control and customer service suffers.

‍

6. How Do You Manage Cross-Border Freight?

Cross-border shipping involves documentation, customs regulations, and carrier requirements that differ from domestic transportation. Ask whether your broker can guide you through:

• Commercial Invoice
• Certificate of Origin
• BOL and Customs BOL
• USMCA requirements
• Bonded carrier coordination
• Customs brokerage communication

A broker experienced in US, Canada, and Mexico lanes reduces delays and compliance issues.

‍

7. What Is Your Communication and Escalation Process?

Communication failures are one of the most common causes of shipment disruption. Ask your broker how they handle:

• Status updates and ETA communication
• After-hours or weekend operations
• Load tracking exceptions
• Claims and incident reporting
• Single point of contact vs. multiple handoffs

A reliable broker should communicate before issues escalate, not after.

‍

Red Flags That Suggest a Broker May Increase Risk

Be cautious if a freight broker:

• Cannot explain how pricing is calculated
• Offers rates significantly below market averages
• Has no documented carrier safety or compliance process
• Avoids questions about insurance or bonding
• Transfers responsibility to carriers without oversight

Low rates often lead to higher total cost through poor performance, fees, and damaged customer relationships.

‍

Why Shippers Work With Distribution Network Inc.

Distribution Network Inc. provides:

• Licensed, bonded, and insured brokerage operations
• A vetted carrier network covering LTL, FTL, flatbed, heavy haul, and cross-border freight
• Transparent pricing with no unexpected fees
• Real-time tracking and communication
• 24/7 logistics support
• Industry expertise across manufacturing, industrial, automotive, and retail supply chains

For companies where freight reliability affects customer delivery, DNLogistic offers a logistics partnership built on accountability and measurable performance.

‍

Example Win

A national HVAC distributor was experiencing missed delivery windows and rising chargebacks from a previous brokerage. DNLogistic:

• Re-engineered their distribution lanes across five states
• Increased on-time delivery from 82 percent to 98 percent
• Reduced accessorial and preventable cost leakage by 26 percent
• Consolidated multiple carrier relationships into a single optimized freight program

The result was improved delivery reliability, reduced administrative workload, and stronger distributor-retailer relationships.

‍

Final Word

Choosing the right freight broker is a strategic decision—not a rate-shopping exercise. The right partner protects your margins, improves customer satisfaction, and strengthens your supply chain.

If you want a brokerage built on transparency, carrier performance, and proactive communication, our team is ready to support your logistics operations.