Truck Crash Reference

Motor-carrier minimum financial responsibility

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Contents
  1. Operation and cargo determine the category
  2. Financial responsibility is not only an insurance label
  3. Questions beyond the minimum
  4. Related entries
  5. References
Motor-carrier minimum financial responsibility
Nonhazardous listed category$750,000, subject to scope and vehicle requirements[1]
Other categoriesSpecified hazardous-material minimums differ[1]

Federal financial-responsibility rules require specified motor carriers to maintain a minimum level of protection against public liability. Part 387 distinguishes operations and cargo categories. A regulatory minimum is not proof of the insurance available for a particular collision, and it does not establish the amount of an injured person's damages.[2][3][1]

See: Truck-crash claims and litigation costs

Operation and cargo determine the category

Section 387.9 sets a $750,000 minimum for the listed for-hire interstate or foreign transportation of nonhazardous property in vehicles with a gross vehicle weight rating of 10,001 pounds or more. It sets higher minimums for specified hazardous-material categories, including $1 million and $5 million levels. These figures should not be presented as a single minimum applying to every delivery vehicle or every intrastate carrier.[1][2]

Financial responsibility is not only an insurance label

Section 387.7 provides methods of establishing financial responsibility, including the prescribed insurance endorsement, surety bond and authorized self-insurance. Section 387.15 contains the endorsement forms. The MCS-90 endorsement has its own terms concerning public protection and reimbursement; it should not be treated as an ordinary statement that all losses are covered under every policy term.[3][4]

Questions beyond the minimum

The applicability provisions in Section 387.3 include distinctions and exceptions based on vehicle size, cargo and commerce. Establishing a minimum under the regulation is therefore a first step rather than a complete coverage analysis. Actual insurance requires examination of the applicable policies and endorsements. The reference deliberately separates those documents from the regulatory schedule and does not infer an excess layer from a carrier's size.[2][3][1]

References

  1. abcde 49 CFR 387.9: Financial responsibility minimum levels. Electronic Code of Federal Regulations, Office of the Federal Register and GPO. https://www.ecfr.gov/current/title-49/section-387.9. official. Checked . Source record
  2. abc 49 CFR 387.3: Applicability of financial responsibility requirements. Electronic Code of Federal Regulations, Office of the Federal Register and GPO. https://www.ecfr.gov/current/title-49/section-387.3. official. Checked . Source record
  3. abc 49 CFR 387.7: Financial responsibility required. Electronic Code of Federal Regulations, Office of the Federal Register and GPO. https://www.ecfr.gov/current/title-49/section-387.7. official. Checked . Source record
  4. ^ 49 CFR 387.15: Endorsements for policies of insurance. Electronic Code of Federal Regulations, Office of the Federal Register and GPO. https://www.ecfr.gov/current/title-49/section-387.15. official. Checked . Source record