How Much Insurance Do I Need To Activate My MC Number?

Commercial truck insurance serves multiple purposes for truckers: It protects their truck and trailer, allows them to get plates, and activates their motor carrier number (MC number). Activating the MC number is crucial for over-the-road trucking.

We’ll explain what auto liability limit you need to start rolling and how you can find cheap truck insurance.

Why Do I Need An Active MC Number?

An active MC number is authority from the Federal Motor Carrier Safety Administration (FMCSA) to operate across state lines for-hire.

Interstate truckers need an operating authority. You are an interstate hauler if you are paid to transport goods across state lines. In addition, many brokers require trucking companies to maintain an active MC number for intrastate operations to demonstrate a commitment to safety and compliance.

The UIIA requires intermodal trucking companies to maintain an active MC number to access ports and railyards.

What Motor Carrier Authority Coverage Do I Need?

The FMCSA requires trucking companies to purchase auto liability coverage for operating authority. Your commercial truck insurance policy must include the BMC-91 filing to provide proof of financial responsibility to the FMCSA.

Confusing? Don’t worry. Simply ask your insurance agent if the quote will activate your authority.

You can review your MC number online in the FMCSA’s Licensing and Insurance portal.

Auto Liability

The FMCSA has minimum Bodily Injury and Property Damage (BIPD), also known as auto liability, requirements to activate the MC number. Most motor carriers will need $750,000 liability.

The amount of auto liability the FMCSA requires depends on the type of cargo hauled. General freight haulers such as dry van and flatbed and refrigerated good haulers will need $750,000 liability. However, auto haulers need $1,000,000 auto liability. Hazmat haulers need $5,000,000.

Liability limit required to activate the MC number based on the cargo hauled

It is important to mention that most brokers require $1,000,000 auto liability for general freight and reefer hauling which exceeds the FMCSA requirements.

Frequently Asked Questions

I purchased $1,000,000 liability. Why does my MC number show $750,000?

The purpose of the insurance filing is to prove to the FMCSA that you meet the minimum required liability limit to operate. Purchasing more coverage does not reflect on your authority.

How do I update my MC number to reflect a new operation?

If you started out hauling consumer goods in a dry van trailer, but now haul automobiles, you will need to update your MC number with an OP-1 form. When in doubt, contact the FMCSA at 800-832-5660.

What else do I need to activate the MC number?

In addition to insurance, you need to purchase a BOC-3.

Ready To Buy Insurance?

We simplify insurance. Contact our insurance agents today at 855-281-2924 for free quotes. In addition, you can submit your information online and receive a phone call from an insurance agent within minutes.