Texas Freight Broker Bond (BMC-84)
Everything you need to know about the $75,000 surety bond required by FMCSA to operate as a freight broker in Texas.
🚛 Quick Facts
- • Bond Amount: $75,000 (federal requirement)
- • Your Cost: $750–$3,750/year (1-5% of bond amount)
- • Required By: Federal Motor Carrier Safety Administration (FMCSA)
- • Bond Form: BMC-84 Surety Bond or BMC-85 Trust Fund
- • Also Needed: BOC-3 Process Agent Filing
What is a Freight Broker Bond?
A freight broker bond (also called a BMC-84 bond or ICC bond) is a $75,000 surety bond required by the Federal Motor Carrier Safety Administration (FMCSA) for any business that arranges transportation of property for shippers using motor carriers.
According to FMCSA Broker Registration requirements, the bond ensures that freight brokers meet their financial obligations to carriers and shippers.
The Bond Protects:
- Motor carriers — Ensures payment for transportation services
- Shippers — Protects against broker fraud or non-performance
- The public — Guarantees compliance with federal regulations
💡 BMC-84 vs BMC-85
You can satisfy the financial responsibility requirement with either:
- BMC-84 Surety Bond — Most common option. Pay an annual premium.
- BMC-85 Trust Fund — Deposit the full $75,000 with a financial institution.
Most brokers choose the BMC-84 bond because it requires significantly less upfront capital.
Who Needs a Freight Broker Bond in Texas?
You need a $75,000 freight broker bond if you:
- Arrange transportation of property for compensation
- Connect shippers with motor carriers
- Do not own the trucks or employ the drivers
- Operate across state lines (interstate commerce)
| Business Type | Bond Required? |
|---|---|
| Freight Broker (arranges shipments) | Yes — $75,000 |
| Freight Forwarder (takes possession of goods) | Yes — $75,000 |
| Motor Carrier (owns trucks, hauls freight) | No broker bond (other insurance required) |
| Dispatch-only Service (no brokering) | No (but lines can blur) |
How Much Does a Freight Broker Bond Cost?
Your premium depends on your credit score, business experience, and financial history:
| Credit Score | Premium Rate | Annual Cost |
|---|---|---|
| 700+ (Excellent) | 1-2% | $750–$1,500 |
| 650-699 (Good) | 2-3% | $1,500–$2,250 |
| 600-649 (Fair) | 3-5% | $2,250–$3,750 |
| Below 600 (Poor) | 5-12% | $3,750–$9,000 |
Even with poor credit, high-risk bond programs can help you get bonded. First-year brokers may pay higher premiums that decrease with a clean claims history.
How to Get Your Freight Broker License in Texas
Get Your USDOT Number
Register for a USDOT number through the FMCSA Unified Registration System. This is free and required before applying for broker authority.
Apply for Broker Authority (MC Number)
File Form OP-1 to apply for operating authority. The application fee is $300. Processing takes about 4-6 weeks.
Purchase Your $75,000 BMC-84 Bond
Get your surety bond from a licensed surety company. The bond must be filed with FMCSA before your authority is activated.
File Your BOC-3 Process Agent
Designate a process agent in each state where you operate. Many surety companies can file this for you as part of your bond package.
Wait for Authority Activation
Once your bond and BOC-3 are filed, your authority becomes active. You can verify your status on the FMCSA SAFER System.
FMCSA Financial Responsibility Rules
The FMCSA has specific rules about maintaining your bond:
Key Requirements:
- Maintain $75,000 at all times — Your available financial security must stay at or above $75,000.
- 7-day replenishment rule — If a claim reduces your security below $75,000, you have 7 calendar days to replenish it.
- Failure to comply — FMCSA will suspend or revoke your operating authority if you don't maintain required security.
- 30-day cancellation notice — Surety companies must give FMCSA 30 days notice before canceling a bond.
Frequently Asked Questions
Do Texas freight brokers need a state bond too?
For interstate operations (crossing state lines), the federal $75,000 BMC-84 bond is sufficient. If you broker only intrastate Texas shipments, different rules may apply—but most brokers operate interstate.
Can I get a freight broker bond with bad credit?
Yes! High-risk bond programs are available for applicants with poor credit, bankruptcies, or no industry experience. Your premium will be higher (5-12% instead of 1-2%), but approval is possible.
How long does it take to get a freight broker bond?
Bond approval can be same-day for applicants with good credit. The bond is then filed electronically with FMCSA, which typically takes 1-3 business days to process.
What happens if someone files a claim against my bond?
The surety company investigates. If the claim is valid, they pay the claimant up to $75,000. You must then reimburse the surety for amounts paid plus investigation costs. Multiple claims can exceed the bond amount cumulatively.
Ready to Get Your Freight Broker Bond?
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