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Claims Talk - FMCSA New Rules

FMCSA New Rules Hope to Reduce Unpaid Claims

On November 16, 2023, the Federal Motor Carrier Safety Administration published their final rule, amending regulations relating to broker and freight forwarder’s financial responsibility.  Their intention… to reduce unpaid claims to truckers.  The Agency estimates approximately 1.3% of brokers will experience a drawdown on their surety bond or trust fund within any given year due to claims and 18% of these brokers may lead to interpleader proceedings when claims are in excess of the bond amount. 

Per the Agency, “FMCSA will immediately suspend brokers that do not respond following a drawdown on their financial security. Such brokers will no longer be able to accrue liabilities that they do not plan, or lack the ability, to pay.”

While the new regulations went into effect on January 16, 2024, compliance is stayed for one year, until January 16, 2025 on the provisions regarding immediate suspension, financial failure and enforcement authority; and until January 16, 2026 on the provisions regarding assets and trust fund filings. 

For more information, click here for the official Federal Register notice. 

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