Freight Broker Bonds – A Comprehensive Guide

Freight Broker Bonds – Lowest Rates, All States!

 

As you may be aware, some big changes have been happening in the world of freight broker bonds in the last few years, and those changes have left some people in the dark. For instance, there have been name changes, bond requirement increases, and even changes to who needs a bond to operate. Because of these recent amendments, we’re going to spend some time today talking about what’s new, what’s still the same, and where to go for the lowest rates in any state for freight broker bonds (spoiler alert: that hasn’t changed!)

What’s an ICC Freight Broker Bond, and Who Needs It?

 

Any transportation broker who wants to operate in the United States requires a freight broker bond, which used to be known as an ICC bond. The first bonds of this type were created in the 1930s, and the purpose was to protect motor carriers and shippers from unscrupulous brokers or brokers who didn’t have the money to pay. Today, the Federal Motor Carrier Safety Administration requires that all freight brokers have these bonds to guarantee they’re financially sound and to ensure motor carriers and shippers will be paid according to their contracts and agreements.

Everything You Need to Know About the New BMC-84 Bond

 

The bond requirement for a BMC-84 surety bond for freight brokers used to be $10,000, but in 2012 it was increased to a whopping $75,000. The increase came into effect when the Moving Ahead for Progress in the 21st Century bill was passed into law, and part of the reason for the hike was the high-claim nature of the industry. When the law was passed, another change that came into effect was that freight forwarders also became obligated to post $75,000 for their licenses as well.

A Freight Broker Bond at the Lowest Rates

 

The cost of a freight broker bond depends on a number of factors, and one of the most important is the surety company you choose. Beyond that, however, your rate will be determined by your own personal credit, the amount of experience your business has, the number of years you’ve been operating, and the financial strength of the company.

 

If you’re new to the business, don’t have a great credit score, or don’t have a lot of experience, you might have to pay as much as $9,000 for a freight broker bond with some surety companies. But at Surety Bond Professionals, Inc., we guarantee the lowest rates possible, and we can even get you a bond for as little as $938.

 

Freight broker bonds are a fact of life for anybody hoping to operate as a transportation broker in the U.S., but that doesn’t mean you have to break the bank paying the annual premium. If you are a freight broker, Surety Bond Professionals, Inc. has everything you need for guaranteed success, including the lowest rates on freight broker bonds in every state.

 

We can even get your bond approved when others can’t, so inquire today about a quote for our low-rate freight broker bonds.

 

 

 



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