Freight broker bond (BMC-84)

What it is

The BMC-84 is a $75,000 surety bond the Federal Motor Carrier Safety Administration (FMCSA) requires of property freight brokers and forwarders. It assures that you pay carriers and shippers as agreed; if you do not, they can claim against the bond, and you reimburse the surety.

Who requires it

• •FMCSA (federal) — Property freight brokers and forwarders must file a $75,000 BMC-84 bond (or BMC-85 trust) to get and keep operating authority.

What drives the price

• •Your credit and financials — The bond amount is fixed at $75,000, so premium is driven mostly by your credit and business financials.
• •Time in business — Established brokers with strong credit generally see lower rates than brand-new authorities.

How surety bonds work

A surety bond is a three-party agreement between you (the principal), the government agency or party requiring it (the obligee), and the surety company that backs it. It is not insurance for you — it protects the obligee and the public. If a valid claim is paid on your bond, you are responsible for reimbursing the surety. Premium is a small percentage of the bond amount and is driven mostly by the required bond amount and the applicant’s credit.

Frequently asked questions