Applications for authorities will no longer be able to be undismissed after 90-days
Heads up! The FMCSA is cracking down on requests for operating authority’s that go beyond 90-days. If your application goes beyond the 90-day period and you miss any pertinent paperwork, your motor carrier operating authority request will be dismissed and you cannot overturn it. This begins August 1, 2023.
As of right now if your application process goes over the 90-days, you can request to have it undismissed and you can do this penalty free.
After August 1, 2023 a dismissal will the equivalent of a rejection, if the paperwork is not provided within the 90-day period, and you will need to reapply, and pay a new $300 fee per type of operating authority requested.
The only other point of recourse is to file an appeal with proof that evidence of insurance was filed with your application in the appropriate time period.
Missing paperwork that with earn you a rejection:
- Failure to provide proof of financial responsibility- ie proof of insurance
- Designation of process agent (Form BOC-3)
Note: only a process agent can file a Form BOC-3 on behalf of the carrier. A broker or freight forwarder, who do not have commercial motor vehicles can file Form BOC-3 for themselves.
The best way to avoid a dismissal and repaying your fees is to be sure to have all your paperwork ready to go. Be sure to research or ask a operating authority expert about the different authority’s you will need for your operation so you don’t miss on having your application complete and filled in a timely manner.
But remember even if you use a operating authority consultant you still need to provide them with the necessary paperwork to file on your behalf. They can only work with what is given to them after all!
Insurance Filing requirements for Brokers, Freight Forwarders, and Motor Carriers
The type of business you are operating will determine the type of insurance and amount you need to carry. Whether you are a motor carrier, freight forwarder, or a broker will determine what the FMCSA requires of you.
The FMCSA has provided this lovely chart on insurance filing requirements to assist you in understanding which forms are required for each type of operation:
Form Description Who has to file
|BMC-91 or BMC-91X
||Public liability insurance (bodily injury/property damage/environmental restoration)
- Motor Carrier
- Freight Forwarder (Note: Non-vehicle operating freight forwarders may seek waiver of this requirement.)
- Freight:–$750,000 – $5,000,000, depending on commodities transported; $300,000 for non-hazardous freight moved only in vehicles weighing under 10,001 lbs.
- Passengers:–$5,000,000; $1,500,000 for registrants operating only vehicles with seating capacity of 15 or fewer passengers.
|BMC-34 or BMC-83
- Cargo insurance–$5,000 per vehicle
- $10,000 per occurrence
- Household Goods Motor Carrier
- Household Goods Freight Forwarder
|BMC-84 or BMC-85
- Freight Forwarder
- Broker of Freight
||Service of Process Agents
||Endorsement for Motor Carrier Policies of Insurance for Public Liability under Sections 29 and 30 of the Motor Carrier Act of 1980
- Hazmat Safety Permit Carriers
What is a Process Agent and why do you need one
A process agent is someone who the courts will serve any papers in the event of a proceeding being brought against a motor carrier, broker, or freight forwarder.
It is important to note that only for-hire carriers are required to designate a process agent. Brokers on the other hand are required to list process agents in each state in which they have an office and in which they write contracts.
Peter Suess Transportation Consultant can help you with getting these forms filled out and filed. One of our friendly agents can walk you through the process and make getting your operating authorities easy and stress free. Give us a call!