TIA Releases State of Fraud in the Industry April 2025 Report

 New report highlights significant losses, rising fraud schemes, and bold new member tools including a Post-Fraud Incident Checklist

Alexandria, VA – April 28, 2025 — Today the Transportation Intermediaries Association (TIA)—the voice of the $343 billion third-party logistics (3PL) industry—released the latest edition of its State of Fraud in the Industry report. Based on the latest member survey and incident data from TIA’s Watchdog platform, the April 2025 report reveals that brokers across the country continue to face staggering losses, increasingly complex scams, and a lack of support from federal law enforcement agencies and regulators.

The report confirms that unlawful brokerage, cargo theft, and identity spoofing remain rampant, with 22% of respondents reporting more than $200,000 lost due to fraud in just the past six months. Meanwhile, 10% of respondents said they’ve spent over $200,000 on fraud prevention—underscoring the dual cost of defending against and responding to these attacks. With more than 70% of TIA’s membership made up of small businesses generating between $1 million and $5 million in annual revenue, losses of this magnitude represent a devastating blow. The ripple effects extend far beyond the balance sheet—disrupting operations, straining employee resources, and threatening the stability of the broader supply chain.

“Strategic fraud and cargo theft in our industry has reached a boiling point. It’s no longer an inconvenience—it’s a crisis,” said Chris Burroughs, TIA President & CEO. “And our members are telling us loud and clear: they need more support, better tools, and stronger action from federal regulators. This report sheds light on what’s happening and what needs to change.”

Key findings from the April 2025 Fraud Report include:

• Truckload freight remains the top target: 97% of respondents cited it as the most fraud-prone mode.
  
  
• Unlawful brokerage remains the most common scam: 34% of respondents cited this scheme—where criminals pose as legitimate brokers to steal loads or payments—as the top fraud tactic they face. These scams often target small businesses and can disrupt the entire delivery process, leaving freight stranded or stolen, ultimately escalating costs and driving up prices for consumers.
  
  
• Fraud isn’t isolated: 83% of respondents experienced at least three types of fraud in the last six months.
  
  
• Fraud is a national problem, not just a regional one: The report highlights a growing wave of fraud across the country, with incidents reported in nearly every region. Texas, California, South Carolina and Washington were among the top states where fraudulent activity originated—underscoring the widespread nature of the crisis.
  
  
• Driving up costs for consumers: Nearly half of all reported thefts targeted everyday goods that American families rely on—including household items and electronics/appliances. These losses drive up prices and disrupt the availability of essential products across the country.

The surge is accelerating: TIA Watchdog recorded over 1,600 fraud reports between September 2024 and February 2025—a staggering 65% increase from the previous period, despite covering two fewer months. This sharp spike underscores how rapidly these schemes are evolving and spreading across the industry.

To read the full report, click here.

New Resource for Members: Post-Fraud Incident Checklist
In response to the rising threat, TIA has also released a new Post-Fraud Incident Checklist to accompany the fraud report. This step-by-step resource helps brokers respond quickly and effectively when fraud occurs, from securing internal systems to reporting to law enforcement and contacting insurance.

“Our members are on the front lines of this crisis, and when fraud hits, they need to act fast,” said Burroughs. “This checklist gives them a clear, tactical guide they can turn to in the heat of the moment—and we believe it’s going to make a real difference.”

Calling on FMCSA and Congress to Act
The report also delivers a strong message to policymakers: now is the time for coordinated action. TIA is urging the Federal Motor Carrier Safety Administration (FMCSA) to crack down on fraudulent carriers and remove illegitimate listings from its databases. The Association is also calling on Congress to pass the Household Goods Shipping Consumer Protection Act (H.R. 880 and S. 337) and the Combating Organized Retail Crime Act (CORCA) ( S.1404 and H.R. 2853), which would provide additional tools for law enforcement to investigate and prosecute this crime.

About TIA:

The Transportation Intermediaries Association (TIA) is the professional organization of the $343 billion third-party logistics industry. TIA is the only organization exclusively representing transportation intermediaries of all disciplines doing business in domestic and international commerce. TIA is the voice of transportation intermediaries to shippers, carriers, government officials, and international organizations. Learn more about TIA at www.tianet.org.

Media Contact
Meghan Henning
mhenning@onwrdupwrd.com
571.309.3961