FINANCIAL RESPOSIBILITY FOR MOTOR CARRIERS at LAWDOG® Center

Minimum Levels of Financial Responsibility For Motor Carriers

PART 387 387.9

Financial responsibility requires insurance policies or surety bonds sufficient to satisfy the minimum public liability requirements. Public liability means liability for bodily injury, property damage, and environmental restoration. Environmental restoration means restitution for the loss, damage, or destruction of natural resources arising out of an accidental discharge of toxic or other environmentally harmful materials or liquids.

Requirements for Financial Responsibility Motor carriers of property operating commercial motor vehicles in interstate, foreign, or intrastate commerce, and for-hire carriers of passengers operating in intrastate or foreign commerce must have at least the minimum amount of insurance required by law.

Proof The motor carrier must have proof of the minimum level of insurance at the company’s principal place of business. Proof may be shown by any of the following:

Endorsements for Motor Carriers of Passengers policies of insurance for public liability under Sections 29 and 30 of the Motor Carrier Act of 1980 (Form MCS-90) issued by an insurer.

Endorsements for Motor Carrier of Passengers policies of insurance for public liability under Sections 18 of the Bus Regulatory Reform Act of 1982 (Form MCS-90B*).

A Motor Carrier Surety Bond for public liability under Section 30 of the Motor Carrier Act of 1980 (Form MCS-82) issued by a surety.

A Motor Carrier of Passengers Surety Bond for public liability under Section 18 of the Bus Regulatory Reform Act of 1982 (Form MCS-82B)

A written decision, order, or authorization of the Interstate Commerce Commission authorizing the motor carrier to self-insure under 49 CFR 1043.5

Federal Motor Carrier Safety Regulations

Authorities and Minimum Financial Responsibility Filing

Freight Forwarder (Note: Non-vehicle operating freight forwarders may seek waiver of this requirement.)
Freight:--$750,000 - $5,000,000, depending on commodities transported; $300,000 for non-hazardous freight moved only in vehicles weighing under 10,001 lbs.
Passengers:--$5,000,000; $1,500,000 for registrants operating only vehicles with seating capacity of 15 or fewer passengers.
BMC-34 Cargo insurance--$5,000 per vehicle; Motor Common Carrier
$10,000 per occurrence Freight Forwarder
BMC-84 or Surety Bond--$10,000 Broker of Freight
BMC-85 Trust Fund Agreement--$10,000

See Registration at Federal Motor Carrier Safety Administration

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