1.

Must freight forwarders and brokers register with FMCSA?

Yes. Freight forwarders and brokers are required to register with FMCSA. Freight forwarders that perform both freight forwarder services and motor carrier services must register both as a freight forwarder and as a motor carrier. Also note that motor carriers that broker loads, even occasionally, must register both as a motor carrier and as a broker.

2.

Does a motor carrier that participates in freight interlining have to register as a broker?

No. Anyone brokering a load must be registered as a broker, which by definition may only arrange -- not perform -- transportation unless the person is also separately registered as a motor carrier. A motor carrier that is performing part of the transportation as an interline operation, however, typically performs that service under its own motor carrier operating authority registration or the operating authority of the originating motor carrier. As a result, the motor carrier arranging the interline service in order to perform the transportation service requested by the shipper would not be brokering the load and would not require broker registration.

3.

What is the minimum level of financial security that a broker must maintain on file with FMCSA?

Currently, a general freight broker must maintain a surety bond or trust fund agreement in the amount of $10,000 to comply with FMCSA’s financial security requirements and brokers of household goods must maintain $25,000.

Beginning October 1, 2013, a broker will need to obtain and file with FMCSA a surety bond or trust fund agreement in the amount of $75,000 to comply with FMCSA’s financial security requirements.