Deciphering the Distinctions: Exploring Contract, Private, and Common Carriers

Even if they have been transporting cars with shipping companies for a long time, one thing many people don’t know is that there are different types of carriers. The common goal is, of course, the transportation of your vehicle; however, these different carriers offer different services, conditions, and regulations to achieve this. In this article, we will discuss the three types of carriers in the shipping industry, namely:

  • Common carriers
  • Contract carriers
  • Private carriers

Deciphering the Distinctions: Exploring Contract, Private, and Common Carriers

Common Carriers

A common carrier is a person or company that offers basic transportation services to an individual or organization. If you have ever had your car shipped before, then it was likely by a common carrier. This is because they are the ones responsible for providing basic transportation services to the general public. Common carriers are held accountable for any loss or damage incurred by the goods in their care.

All common carriers follow certain rules and guidelines that govern the way they operate. For auto shipping companies, this might mean having shipping quotes in a particular price range or not being able to turn down a particular customer’s request for no specific reason, as long as there is enough space for the vehicle in the carriers and the individual is able to provide the required amount of money. The regulatory bodies that enforce these rules also provide the common carriers with licenses that authorize them to offer their services to members of the general public.

Contract Carriers

Contract Carriers

A contract carrier is a person or company that operates under a contract to provide transportation services to specific customers rather than the general public. The rules and guidelines of their operation are usually decided by the organization they offer their services to under a signed contract. Even though contract carriers need licenses to offer their services, they do not need to conform to any forms of limitations, such as sticking to a particular price range or not being able to refuse to offer their services.

Contract carriers are less popular in the auto transport industry due to modern reforms and conditions, such as pricing and availability. They are mostly found working with larger organizations that need specialized services tailored to their requirements. These could be specialized carriers that are built to withstand the stress of heavy loads or experts trained to ship the company’s particular expertise or logistics.

Private Carriers

Private Carriers

Private carriers are a person or company that offers his or her own transportation services for transporting their own goods. Good examples of private carriers are automobile manufacturers who need a way to circulate and market the vehicles they produce or car dealerships that need to deliver vehicles to dealers or purchase vehicles from auctions and manufacturers. Their services are also not available to the general public, and they more or less

In most cases, private carriers are referred to as being the same as contract carriers due to the similarity in how they perform. However, the main difference is that contract carriers tend to stand as a separate entity from the company they have a contract with, while private carriers work under their service company. The services they offer are also not available to members of the general public.

Why is Ship A Car, Inc. the Best Option for Shipping a Luxury Car?

Conclusion

This article discussed the three types of carriers in the shipping industry: common carriers, contract carriers, and private carriers. Each of them differs in terms of their legal obligations, economic regulations, and customer base. Knowing the difference between these carriers is a necessity because it affects the rights and responsibilities of both the carriers and their customers.

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FAQs
What are the three types of carriers in the shipping industry?

The three types of carriers in the shipping industry are common carriers, contract carriers, and private carriers. Their main differences are that common carriers offer their services to the general public, contract carriers offer their services to organizations they are under contract with, and private carriers offer their services to themselves.

What is the best type of carrier to have your vehicle shipped with?

The type of carrier used to ship a vehicle depends on your requirements. However, common carriers are able to handle and meet most transport requirements. Their services are available to the general public, and you can be guaranteed quality services that are worth your investment.