The $750,000 FMCSA minimum, explained
When a new motor carrier applies for operating authority, FMCSA will not activate it until an insurer files proof of public liability coverage at or above the minimum in 49 CFR 387.9. For the common case — a for-hire carrier moving non-hazardous property across state lines in vehicles of 10,001 lb GVWR or more — that minimum is $750,000.
The full schedule
| Carriage | Vehicle weight | Commodity | Minimum |
|---|---|---|---|
| For-hire, interstate or foreign commerce | 10,001 lb GVWR or more | Property (non-hazardous) | $750,000 |
| For-hire and private, interstate/foreign (any quantity) or intrastate (bulk) | 10,001 lb GVWR or more | Oil (49 CFR 172.101) and certain hazardous wastes/materials not in the $5M rows | $1,000,000 |
| For-hire and private, interstate, foreign or intrastate | 10,001 lb GVWR or more | Hazardous substances in bulk (cargo tanks, portable tanks, hoppers) and other listed bulk hazard classes | $5,000,000 |
| For-hire and private, interstate or foreign | Under 10,001 lb GVWR | Bulk explosives, bulk Hazard Zone A materials, highway-route-controlled Class 7 | $5,000,000 |
Oil and certain hazardous wastes raise the floor to $1,000,000. Bulk hazardous substances and the heaviest hazard classes raise it to $5,000,000, and for the most dangerous materials that applies even in light vehicles.
Filing
The insurer files form BMC-91 (one policy) or BMC-91X (several) electronically with FMCSA; a $10 service fee applies per filing. Cancellation is also filed, and a lapse revokes authority. Cargo insurance is not a federal filing requirement for general freight — the BMC-34 cargo filing applies to household-goods carriers — but brokers and shippers require it by contract on nearly every load.
Why the market asks for more
The figures in the schedule have been the same since 1985. Verdicts have not stood still, so shippers, brokers and factoring companies commonly require $1 million or more of primary auto liability as a condition of doing business, and many ask for an umbrella above that. The federal minimum is the floor for authority; the contract sets the working limit. The trucking checklist lists the lines a carrier is actually asked for.