A carrier assembly has a unique architecture which allows the carrier assembly to be defined by a very small packaging envelope. The carrier includes a main carrier housing with an internal cavity for receiving a differential and a carrier cover that closes the internal cavity once the differential has been installed. Examples of architectural features include a differential lock actuator that is mounted to the carrier cover, dowel pins that accommodate differential leg thrust loads and align the carrier cover relative to the main carrier housing, and bolt-in differential leg structures to facilitate pinion installation. Further, the carrier assembly can be utilized with an independent suspension to provide a increased jounce travel range.