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Operating Authority

Broker Authority vs Motor Carrier Authority

Last updated May 2, 2026
8 min read
Operating Authority

By the Fast Authority compliance team, led by Korey Sharp-Paar · Founder, FastAuthority

Broker authority and motor carrier authority are separate FMCSA filings with separate fees, separate bonds (BMC-84 vs BMC-91 primary liability), and separate MC numbers.

TL;DR

Broker authority (MC-B) and motor carrier authority (MC) are separate FMCSA filings. Each carries a $300 fee, its own MC number, and its own financial-responsibility filing — BMC-91/91X for carriers and the $75,000 BMC-84 surety bond for brokers. A company that hauls and brokers needs both.

Broker authority and motor carrier authority are not two flavors of the same license. They are two separate FMCSA filings, with separate fees, separate financial-responsibility requirements, and separate MC numbers. A company that hauls freight and also brokers overflow loads needs both. A company that only books loads for someone else's trucks needs only broker authority. Filing the wrong one — or assuming one covers the other — is the single most expensive sequencing mistake a new carrier can make.

Two Authorities, Two Statutory Definitions

The legal foundation is 49 USC §13902. The statute defines a motor carrier as a person providing motor-vehicle transportation for compensation, and a broker as a person who arranges transportation of property by a motor carrier for compensation. The two definitions overlap in the word “compensation” and diverge on the word “providing.” A motor carrier physically moves the freight under its own equipment and crew. A broker arranges for someone else to move the freight and never takes possession of the load.

FMCSA implements the distinction at the registration layer. Motor carriers receive an MC number under operations classification “Authorized For-Hire.” Brokers receive an MC number under classification “Broker of Property” (or “Broker of Household Goods” for HHG). Both are filed on Form OP-1 through the Unified Registration System, but they are independent applications. Each costs $300. Each has its own MC number. Each is reflected separately in SAFER.

Different Bond, Different Insurance

The most concrete difference between the two authorities is in the financial-responsibility layer. Motor carriers and brokers post different filings, and the filings are not interchangeable.

  • Motor carriers file a BMC-91 or BMC-91Xprimary liability filing under 49 CFR §387.7–§387.9, with a minimum of $750,000 in public liability coverage (higher for hazmat). The insurer files the BMC-91 directly with FMCSA; the carrier just maintains the underlying policy.
  • Property brokers and household-goods brokers file a BMC-84 surety bond ($75,000) or a BMC-85 trust fund($75,000) under 49 CFR §387.307. The bond protects shippers and motor carriers downstream if the broker fails to pay. Underwriting runs a few days to two weeks for a new broker, with annual premiums of roughly 1–4% of the face value depending on credit.

A broker who tries to satisfy MC-B activation by filing a BMC-91 will fail vetting. A motor carrier that posts a BMC-84 instead of BMC-91 cannot dispatch trucks. The two filings serve different purposes and the FMCSA system rejects substitutions.

When You Need Both

A carrier that occasionally accepts more loads than it can run with its own equipment, and offloads the surplus to a partner carrier, is brokering. The moment money flows from the original shipper to the carrier and from the carrier to a downstream truck, the carrier is operating as both a motor carrier (on its own loads) and a broker (on the offloaded ones). Doing this without a separate MC-B authority is a federal violation, and FMCSA has been actively prosecuting double-brokering by motor carriers running under MC-only authority.

The fix is mechanical: file two OP-1 applications — one for MC, one for MC-B — and post both the BMC-91 (for the carrier side) and the BMC-84 (for the broker side). TheBOC-3 process-agent designation covers both authorities under a single filing, so there is only one BOC-3 to file regardless of how many authorities the company holds.

Cost Comparison: Carrier-Only vs. Broker-Only vs. Both

The first-year cost shape differs sharply by authority type:

First-year cost comparison: motor carrier only, broker only, or both authorities
Authority configurationFMCSA feesInsurance / bondFirst-year all-in
Motor carrier only$300BMC-91 / BMC-91X primary liability ($8,000–$12,000/yr)$9,000–$13,000 before equipment financing
Broker only$300$75,000 BMC-84 surety bond ($750–$3,000/yr premium)$1,500–$4,000 (no equipment)
Both authorities$600BMC-91 + BMC-84$11,000–$16,000

Sequencing the Two Filings

When a company files for both authorities, the cleanest sequence is to file both OP-1s on the same day so the 21-day vetting clocks under 49 CFR §365.109 run in parallel. The BMC-91 and BMC-84 can be lined up during the vetting window, and the BOC-3 designation covers both authorities once it is on file. Filing the second authority weeks after the first restarts the 21-day clock for the second one and stretches the timeline unnecessarily.

FastAuthority files dual-authority applications as a single intake; the customer pays $398 in service fees ($199 per authority), $600 in FMCSA fees, and lines up the bond and insurance during the same 21-day window. Both MC numbers activate together when vetting closes.

Bottom line:Broker authority and motor carrier authority are separate FMCSA filings — separate $300 fees, separate MC numbers, separate financial-responsibility requirements (BMC-91 vs. BMC-84). A company that hauls and brokers needs both. Treating one as a substitute for the other is a federal compliance violation.

Frequently Asked Questions

Can one company hold both broker and motor carrier authority?

Yes — and many do. A motor carrier that also brokers overflow loads files two separate OP-1 applications, pays two separate $300 FMCSA fees, and receives two separate MC numbers. Each authority type has its own insurance and bond requirements: motor carriers need a BMC-91 or BMC-91X for primary liability, and brokers need a BMC-84 surety bond or BMC-85 trust fund for $75,000.

Why does FMCSA make brokers and carriers file separately?

Under 49 USC §13902 the two roles have different statutory definitions and different financial-responsibility rules. A motor carrier physically moves the freight; a broker arranges transportation for compensation but never takes possession. The bond requirement under 49 CFR §387.307 is unique to brokers — it protects shippers and carriers if the broker fails to pay. Combining the two authorities into a single filing would defeat the purpose of the separate bond.

What is the difference between BMC-84 and BMC-91?

BMC-84 is the $75,000 surety bond filed by property brokers and household-goods brokers under 49 CFR §387.307. BMC-91 (or BMC-91X) is the primary liability insurance filing for motor carriers under 49 CFR §387.7-§387.9, with a minimum of $750,000 in public liability coverage. They are not interchangeable — a broker filing a BMC-91 instead of a BMC-84 will not get MC-B authority activated.

Can I broker loads under my motor carrier authority?

No. Brokering loads without a separate MC-B authority is a federal violation. Even if you hold active MC authority, every load you arrange between a shipper and a different carrier requires brokerage authority and the $75,000 bond. A motor carrier double-brokering loads under MC-only authority is one of the most common compliance mistakes, and FMCSA is actively prosecuting it.

How much does it cost to get both authorities?

Two $300 FMCSA filing fees ($600 total), two service fees if you use a filer (FastAuthority charges $199 per authority for $398 in service fees), one BMC-91 insurance filing for the carrier side, one $75,000 BMC-84 surety bond for the broker side, and one BOC-3 process agent designation that covers both authorities. Total first-year stack including liability insurance is usually $11,000-$16,000.

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