What is a Surety Bond for Trucking? A Trucking Insurance Guide

A surety bond for trucking is a three-party financial guarantee that protects shippers and motor carriers from freight broker non-payment. The most common type is the BMC-84 freight broker bond — a $75,000 bond mandated by the FMCSA that all licensed freight brokers must maintain as a condition of their operating authority. It is not insurance; it’s a credit-backed promise to pay claims.

What Is a Trucking Surety Bond?

A surety bond involves three parties: the principal (the freight broker), the obligee (FMCSA and the public), and the surety (the bond company). If a freight broker fails to pay a carrier or shipper what they’re owed, the injured party can file a claim against the bond. The surety pays the claim up to $75,000, then recovers from the broker.

According to Nazar Mamaev, trucking insurance specialist at Full Coverage LLC, “The BMC-84 bond exists because freight brokerage has historically had cases of brokers collecting freight charges but never paying the carriers who did the actual work. The bond provides a financial backstop that gives carriers confidence to work with licensed brokers.”

Types of Trucking Surety Bonds

• BMC-84 (Freight Broker Bond) – Required for all FMCSA-licensed freight brokers; $75,000 bond amount. The most common trucking surety bond.
• BMC-85 (Trust Fund Agreement) – An alternative to the BMC-84 where the broker deposits $75,000 into a trust instead of purchasing a bond. Used by larger brokers.
• Performance Bond – Sometimes required by shippers on large contracts to guarantee a carrier will complete service as promised.
• Customs Bond – Required for importers and carriers handling goods entering the U.S. through customs.

Who Needs a Trucking Surety Bond?

• Freight brokers – All licensed freight brokers must maintain a BMC-84 or BMC-85 as a condition of FMCSA operating authority (MC number)
• Freight forwarders – Also required to maintain a $75,000 BMC-84 bond
• Motor carriers – Do NOT need a surety bond; they need liability insurance (BMC-91/BMC-91X filing)
• Owner-operators – Do NOT need a surety bond for their operating authority

How Much Does a Trucking Surety Bond Cost?

The cost of a BMC-84 freight broker bond depends primarily on the broker’s personal credit score. The bond amount is fixed at $75,000 by federal law, but the premium is a percentage of that amount:

• Excellent credit (720+): 1–1.5% = $750–$1,125/year
• Good credit (660–719): 1.5–2.5% = $1,125–$1,875/year
• Fair credit (600–659): 2.5–4% = $1,875–$3,000/year
• Challenged credit (below 600): 4–10%+ = $3,000–$7,500+/year

How to Get a Freight Broker Surety Bond

Getting a BMC-84 bond is a straightforward process:

• Apply with a licensed surety bond company or your insurance agent
• Underwriting reviews your credit (soft pull in most cases)
• Receive a quote and pay the annual premium
• The surety files the BMC-84 electronically with FMCSA
• Your freight broker authority becomes active once the bond is on file

Frequently Asked Questions About Trucking Surety Bonds

What is a surety bond for trucking?

It’s a $75,000 FMCSA-required financial guarantee (BMC-84) that all freight brokers must carry to protect carriers and shippers from non-payment. It is not insurance for your own business.

How much does a freight broker surety bond cost?

$750–$3,000/year for most brokers, depending on credit. Excellent credit = lowest rates. The bond amount ($75,000) is fixed by federal law.

Do trucking carriers need a surety bond?

No. Motor carriers need liability insurance filed with FMCSA (BMC-91/BMC-91X), not a surety bond. Bonds are for freight brokers and forwarders only.

Need Help With Your Trucking Bonds and Insurance?

Whether you need a freight broker bond or motor carrier insurance filings, Full Coverage Insurance handles BMC-84 bonds, BMC-91 filings, and all commercial trucking insurance. Get started at myfullcoverage.com or call 317-427-5599.