Do Moving Companies Need Insurance?

If you are a licensed moving company and you want an insurance quote you need to make sure to meet the legal requirements for insurance. This includes:

  • Public Liability
  • Freight
  • Cargo (two types)
  • BOC-3
  • Workers Compensation
  • Surety Bond

Movers are required to carry public liability insurance which covers bodily injury, property damage and environmental restoration insurance. Your insurance company is responsible for filing the appropriate paperwork with the Department Of Transportation using their own forms to prove that you are in compliance with the public liability insurance requirements.

A minimum freight insurance of $750,000.00 to $5,000,000.00 should be selected depending on the type of shipments you are transporting. You can choose coverage of $300,000.00 for any non-hazardous freight only if the freight is being transported in a vehicle that weighs 10,001 lbs. or less.

The minimum cargo insurance of $5,000.00 per vehicle and $10,000.00 per occurrence is required to be obtained by the Department of Transportation. Your insurance company should also file the appropriate paperwork showing that you are in compliance with the cargo insurance requirements. You must also file a BOC-3 with the Department Of Transportation designating a process agent.

A process agent is a representative that has the authority to receive any court papers on behalf of the company for any court proceedings that may be brought against the company.

All motor carriers, regardless of the types of transportation they are providing, are required to file a BOC-3.

While the Department of Transportation does not hold any worker's compensation amount requirements, it is required to be held by each state and the DOT will request proof that you are in compliant with your state’s worker’s compensation regulations if they conduct an inspection.

If you are a freight forwarder, you must have a surety bond with a minimum of $75,000.00.

Another requirement you may need to prove you are in compliance with is your participation in an arbitration program. An arbitration program is a company that will provide arbitration service if a claim cannot be settled through the claims process. An arbitrator holding legal authority will review the claim to determine an amount that the movers must pay to settle the claim. has established an arbitration program to help our movers be compliant with all of the DOT requirements. For more information about’s arbitration program, Click Here.


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