Question
Connie,what kind of insurance does afreight broker need & how much might it cost,also how much might a surity bond cost,thanks.
Answer
The Broker's Bond can be obtained for around $1,000
BUT
your financials and credit must be excellent. Most bond companies will require the bond to be collaterized with an irrevocable letter of credit from your bank in the amount of $10,000.
The other option you have is to post the $10,000 deposit with the FMCSA.
Answer
connie,thanks for the info,just one more question,is there any other kind of insurance that I would need to start out with??????
Answer
You could purchase Contingent Liability and Contingent Cargo....if you can find a company willing to sell to a new venture. Also, SHOP! This type of coverage can be expensive, depending on the parameters set in the policy.
Answer
connie -- who do you contact to get forms to fill out to become a transportation broker
Answer
You can obtain the necessary forms and information from the FMCSA website.