Broker Registration Requirements
Like motor carriers, freight brokers and freight forwarders are required to register for operating authority with the Federal Motor Carrier Safety Administration (FMCSA). Upon registration and assignment of the MC Number, the broker must complete the following steps of the application process:
- Proof of Insurance: BMC-84 Surety Bond or BMC-85 Trust Fund Agreement in the amount of $75,000
- Form BOC-3 Process Agent
- Pay $300 Application Fee
TransInsurers can help new freight brokers satisfy the FMCSA’s insurance requirement with the BMC-84 Surety Bond. Keep reading to learn more!
A surety bond in the amount of $75,000 is required by the FMCSA under 49 CFR Part 387.307 for all licensed brokers of property. A Form BMC-84 is used to make the filing with the FMCSA and remains in effect until cancelled by the bonding company.
The surety bond is used to ensure the financial responsibility of the broker by providing for payments to shippers or motor carriers if the broker fails to carry out its contracts, agreements, or arrangements for the supplying of transportation by authorized motor carriers.
To get a jump on applying please follow the link below:
Broker Bond Application.
Broker Trust Fund
A trust fund in the amount of $75,000 is option under 49 CFR Part 387.307 that a licensed broker of property can use in lieu of a surety bond. A Form BMC-85 is used to make the filing with the FMCSA and remains in effect until cancelled by the bonding company.
The trust fund is used to ensure the financial responsibility of the broker by providing for payments to shippers or motor carriers if the broker fails to carry out its contracts, agreements, or arrangements for the supplying of transportation by authorized motor carriers. Where a surety bond is administered by the bonding company, the owner of a trust fund has more control over how claims are paid from the fund.
TransInsurers Has Experienced Agents Ready To Assist
Freight brokers are required to have a financial responsibility filing that shows proof of insurance for their surety bond (BMC-84). Our agents are knowledgeable to assist owners with federal filings and will be happy to assist you with getting the filing process completed.
Why Choose TransInsurers for Freight Broker Insurance?
- Our trucking transportation insurance specialists are continually looking for more markets and competitive pricing to better serve you.
- We want to provide you with the best Freight Broker Insurance service in the industry and be the only insurance agent you will ever need!
- TransInsurers provides a wide range of property and casualty trucking transportation insurance coverage through some of the strongest companies in the country, such as:
Occidental Fire & Casualty
Pennsylvania Manufacturing Association
Trucking Transportation Freight Broker Insurance News, Information & Educational Resources
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TransInsurers was started in 2002 to meet the trucking transportation insurance needs of the small to mid-sized trucking company. We realized how difficult it was for people, who are on the go, to find an insurance agent who is responsive to your needs and that provides a full line of coverage applicable to the busy trucking professional. TransInsurers represents many of the leading freight broker insurance carriers, so we are able to shop for the right Freight Broker Insurance coverage that will meet your needs.
We offer superior trucking transportation insurance coverage at affordable rates for all types of local and long distance commercial truck insurance, including tractor and semi trailer; short truck; dump truck; specialized haulers; and hotshot truckers. We represent a number of top rated trucking and transportation broker insurance carriers, which gives us the ability to find the right insurance, at the right price, to fit almost every trucking need. TransInsurers will also work with you on financing options, if required. Our coverage is provided through well-known companies like AIG, Canal, CNA, Occidental, Zurich, Carolina Casualty, Northland, Hartford, Progressive, RLI Transportation and Sagamore.
Contact one of our licensed insurance agents to schedule a free freight brokerage insurance evaluation or call now (804) 739-9121.