A carrier owns the trucks and moves the freight. A freight broker arranges transportation between shippers and carriers and does not take possession of the goods. A 3PL (third-party logistics provider) manages logistics for a shipper more broadly, often combining brokerage with technology, warehousing or managed transportation.
What a broker adds
- Access to many carriers and modes through one contact
- Carrier vetting: authority, insurance and safety checks
- Negotiated pricing and the ability to compare options side by side
- Tracking, problem solving and claims help on every shipment
How brokers are regulated
In the United States, a property broker must hold broker authority from the Federal Motor Carrier Safety Administration and maintain a surety bond or trust. Carriers hold motor carrier authority and cargo and liability insurance. You can ask any provider which authority a shipment moves under.
When to go direct to a carrier
Shippers with steady, high volume on a few lanes sometimes contract directly with carriers. Most small and mid-sized shippers get better coverage and less administrative work through a broker or 3PL, especially when they ship more than one mode.
Common questions
Is it cheaper to use a freight broker?
Often, yes, particularly for LTL, where brokers pass through volume pricing that a single shipper could not negotiate alone. For truckload, the benefit is usually coverage and reliability as much as price.
Who is liable if freight is damaged?
The carrier that moved the freight is generally liable, subject to its limits. A good broker files and manages the claim for you.
Written by the MeritSpan Logistics team. Last reviewed November 9, 2026. Figures are typical values; equipment and carrier rules vary.