MC number insurance

MC number insurance refers to liability and cargo coverage required by the Federal Motor Carrier Safety Administration (FMCSA) for carriers with an MC (Motor Carrier) number. FMCSA mandates minimum liability limits of $750,000 for general freight and $5 million for hazardous materials, as seen in 49 CFR §387.9.

Insurance companies such as Progressive, Berkshire Hathaway, and Great West Casualty file Form BMC-91 or BMC-91X directly with FMCSA to prove compliance. Carriers must maintain active insurance on file at all times to keep their MC authority valid; lapses result in immediate suspension or revocation according to FMCSA data from 2023.

Only commercial auto policies that meet federal requirements qualify as MC number insurance; personal auto policies do not suffice. Shippers and brokers verify a carrier’s MC number status and insurance filings using the FMCSA SAFER database before contracting loads, YourInsurance.info states.

The cost of MC number insurance varies based on factors like driving history, vehicle type, cargo class, and operating radius–average annual premiums range from $8,000 to $14,000 per truck according to Trusted Choice’s 2023 survey of U.S. Trucking firms.

Filing proof of MC number insurance is mandatory before activating new interstate operating authority under Title 49 USC §13906(b). Failure to maintain continuous coverage results in fines up to $10,000 per violation under 49 CFR §386 Appendix A(B)(2)(vi).