Chapter 8
Insurance Requirements
Financial responsibility means having insurance policies or surety bonds sufficient to satisfy the minimum public liability requirements. Public liability means liability for bodily injury, property damage and environmental restoration. Environmental restoration means restitution for the loss, damage or destruction of natural resources arising out of an accidental discharge of toxic or other environmentally harmful materials or liquids.
Motor Carriers of property operating commercial motor vehicles in interstate commerce and for hire carriers of passengers operating in interstate/intrastate or foreign commerce must have at least the minimum amount of insurance required by law. The motor carrier must have proof of the minimum level of insurance at the Company's principal place of business.
Proof may be shown by any of the following:
- Endorsements for Motor Carriers of Passengers policies of insurance for public liability under Sections 29 and 30 of the Motor Carrier Act of 1980 (Form MCS-90) issued by an insurer.
- Endorsements for Motor Carriers of Passengers policies of insurance for public liability under Sections 18 of the Bus Regulatory Reform Act of 1982 (Form MCS-90B*)
- A motor carrier surety bond for public liability under Section 30 of the Motor Carrier Act of1980 (Form MCS-82) issued by a surety.
- A motor carrier of Passengers Surety Bond for public liability under Section 18 of the Bud Regulatory Act of 1982 (Form MCS-82B*)
- A written decision, order or authorization of the interstate Commerce Commission authorizing the motor carrier to self-insure under 49 CFR 1043.5
R909-1-2 INSURANCE FOR PRIVATE INTRASTATE/INTERSTATE MOTOR CARRIERS.
- Private motor carrier means a person who provides transportation of property or passengers by commercial motor vehicle, and is not a for-hire carrier.
- All intrastate private motor carriers shall have a minimum amount of $750,000 liability.
Insurance Requirements
| Type of Carrier | Commodity Transported | Minimum Amount of Coverage | |
|---|---|---|---|
| Intrastate | Private Motor Carriers1 | Property or Passengers | $750,000 Liability (Certificate of Insurance filing) |
| Household Goods Freight Forwarder2 | Household Goods | $750,000 | |
| Interstate | Passenger Carrier Interstate | Passengers |
$5 million (16 or more passengers) $1.5 million (15 Passengers or less) (Form BMC 91 or BMC 91X filing) |
| Freight Carrier | Exempt Commodities |
$750,000 Combined Single Limit (Form E filing) |
|
| Freight Vehicles over 10,000 pounds GVWR | All Freight (Non-hazardous) | $750,000 (Form MCS-90) | |
| Notes: |
1. "Private Motor Carriers" means a person who provides transportation of property or passengers by commercial motor vehicle and is not a for-hire motor carrier. 2. Households Goods Freight Forwarder (HHGFF) means a freight forwarder of household goods, unaccompanied baggage, or used automobiles. |
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Minimum Insurance Requirements for Private and For-Hire Hazardous Materials Carriers
| Type of Carrier | Commodity Transported | Minimum Amount of Coverage | |
|---|---|---|---|
| Intra/Interstate | Commercial Vehicles over 10,000 pounds GVWR. (For-hire and Private in Interstate, foreign, or intrastate commerce.) | Hazardous substances, as defined in 49 CFR part 171.8 transported in cargo tanks, portable tanks, or hopper-type vehicles with capacities in excess of 3,500 water gallons, or in bulk Class A or B explosives, poison gas (Poison A), liquefied compressed gas or compressed gas, or highway route controlled quantity radioactive materials as defined in 49 CFR part 173.403. | $5 million (Form MCS-90) |
| Commercial Vehicles over 10,000 pounds GVWR. (For-hire and Private in Interstate or foreign commerce in any quantity or in Intrastate commerce in bulk only.) | Oil listed in 49 CFR part 172.101; hazardous waste, hazardous materials and hazardous substances defined in 49 CFR part 171.8 and listed in 49 CFR part 172.101, but not mentioned above or below. | $1 million (Form MCS-90) | |
| Interstate | Commercial Vehicles under 10,000 pounds GVWR. (For-hire and Private in Interstate or foreign commerce.) | Any quantity of Class A or B explosive, and quantity of poison gas (Poison A); or highway route-controlled quantity of radioactive materials as defined in 49 CFR part 387.303. | $5 million (Form MCS-90) |
| Notes: |
1. "Private Motor Carriers" means a person who provides transportation of property or passengers by commercial motor vehicle and is not a for-hire motor carrier. 2. Households Goods Freight Forwarder (HHGFF) means a freight forwarder of household goods, unaccompanied baggage, or used automobiles. |
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ADDITIONAL INFORMATION
For further information regarding Insurance Requirements contact the Motor Carrier Division at (801) 965-4892 or (866) 215-5399, or the Federal Motor Carrier Safety Administration - Utah Division Office at (801) 963-0098.
