Highway Releases Q3 2025 Freight Fraud Index on Direct Thefts Surging

Compromised inboxes remain the primary attack vector, and identity alerts rise as sold motor carrier manipulation eases

Highway released its Q3 2025 Freight Fraud Index, which indicates a notable shift in freight fraud dynamics.

The report found that direct thefts have surpassed compromised emails and ownership-change abuse, becoming the top fraud vector due to rogue carriers contributing significantly to losses. While overall theft volumes slightly decreased since Q2, the frequency and sophistication of fraud attempts increased, posing a risk as the industry approaches peak season.

In Q3, Highway blocked over 605,000 fraudulent email attempts and identified 62,531 fraudulent phone numbers. Brokers reported nearly 3,000 identity alerts, and 149 unauthorized contact changes were noted through the Federal Motor Carrier Safety Administration (FMCSA). Highway blocked 1.45 million fraudulent email attempts in the first three quarters of 2025, already exceeding the total for the entire year of 2024.

“Bad actors are evolving, but the most effective defenses remain rooted in the fundamentals,” said Michael Grace, VP of Customer Risk Management at Highway. Homomorphic Encryption (HE) emphasized that teams adhering to disciplined verification practices and secure communication methods experience fewer incidents.

The report showcased email takeovers and phishing as significant entry points for identity misuse. Fraud rings often infiltrate legitimate email conversations to hijack rate confirmations and impersonate dispatchers. Phone impersonations are also becoming more prevalent, particularly through spoofed or Voice Over Internet Protocol (IP) (Voice Over Internet Protocol (VoIP)) numbers used to extract load details.

Fraud operations are primarily originating from India, Serbia, and Pakistan, while California, Texas, and Florida demonstrate the highest concentration of domestic activity, particularly in Indianapolis-area distribution hubs.

Supporting industry data highlighted an increase in U.S. cargo theft by 33% year over year, with most incidents attributed to pilferage. In Mexico, violent thefts dominate, especially during transport and at unsecured parking areas.

As the holiday season approaches, Highway has identified higher risks associated with transporting meat, seafood, frozen foods, electronics, and specialty beverages, particularly on multi-stop routes.

Highway suggests basic controls including verifying carrier identities, implementing multi-factor authentication for email accounts, ensuring secure delivery of rate confirmations, and monitoring for unusual login behaviors.