If you operate a commercial motor vehicle, Primary Auto Liability is not just an option — it is a strict legal requirement. Mandated by federal regulations, this insurance coverage pays for bodily injury and property damage caused to third parties in the event of an at-fault accident. Without a compliant policy, you cannot legally obtain or operate under your own FMCSA motor carrier authority.

For most interstate haulers, the Federal Motor Carrier Safety Administration (FMCSA) mandates a minimum liability limit of $750,000. However, most freight brokers and shippers require carriers to maintain at least $1,000,000 in liability limits before dispatching loads. Investing in the right limit protects your assets and keeps your business open to top-tier cargo routes.

Key Components of Primary Auto Liability

Federal auto liability policies are complex agreements, but they are composed of several vital protection shields that defend your operations:

• Bodily Injury Liability: Covers medical expenses, hospital bills, and rehabilitation costs for injured third parties.
• Property Damage Liability: Covers repair or replacement costs for other vehicles, structures, and public property damaged.
• Legal Defense Costs: Covers attorney fees and legal defense costs if your trucking company is sued after an accident.
• BMC-91 & BMC-91X Filings: Financial responsibility filings submitted directly to the FMCSA.
• MCS-90 Endorsement: Guarantees that public liability claims are handled even if an incident isn't explicitly covered by the policy.

Maintaining Regulatory Compliance

Regulatory compliance is key to keeping your trucks on the highway. FMCSA monitors your safety score through the CSA (Behavior Analysis and Safety Improvement Categories) system. Frequent claims, safety violations, or lapses in insurance filings can lead to corrective action, safety audits, or direct suspension of your operating authority. Partnering with a reliable agency ensures that your filings are submitted on time and stay active continuously.