A BMC-84 bond is a $75,000 surety bond that FMCSA requires a freight broker to have in effect before it can be registered. It pays shippers or motor carriers if the broker fails to carry out its contracts. Since January 16, 2026, 49 CFR 387.307 has also set tighter rules on when a broker's authority gets suspended after bond payouts.
What exactly is a BMC-84 bond?
The BMC-84 is the form a surety company files with FMCSA to show a broker's bond is in place. The rule requires a surety bond or trust fund of $75,000. FMCSA will not register a broker until it's in effect, and the broker's registration stays valid only as long as the bond or trust fund stays valid.
A bond has three parties: the broker (the principal), the surety company that issues it, and the shippers or carriers it protects. This isn't insurance for the broker. If a claim is paid, the broker owes the surety that money back.
It is equally worth knowing what the bond does not cover. The BMC-84 is there for a broker's failure to carry out its contracts, such as not paying a carrier. It is not cargo insurance for freight that arrives damaged. Whether anyone is liable for the cargo itself depends on whether you booked through a broker, a freight forwarder, or a 3PL, a distinction we break down in freight broker vs freight forwarder vs 3PL.
BMC-84 vs BMC-85: bond or trust fund
A broker can meet the $75,000 requirement two ways. The BMC-84 is the surety bond. The BMC-85 is a trust fund agreement with a financial institution. Under the 2026 rule, a trust fund can hold only cash, irrevocable letters of credit from a federally insured bank, and Treasury bonds, and the assets must be convertible to cash within 7 calendar days. Either one satisfies the rule.
What changed in 2026
The rule took effect on January 16, 2026, and it works through the surety. Here is what the text of 387.307 says happens.
The surety reports payouts. If a payment from the bond drops it below $75,000, the surety or financial institution must notify FMCSA in writing within 2 business days. The same applies if it decides the broker is insolvent and expects to pay claims that would take the bond under that line.
FMCSA warns the broker, then suspends. FMCSA sends the broker written notice that its authority will be suspended within 7 business days unless the broker shows the notice was sent in error, restores the bond to $75,000, or settles the pending claims without using bond assets. If the broker doesn't respond in time, FMCSA suspends the authority. FMCSA's overview of the rule summarizes the same change for brokers.
Insolvency starts a claims window. If a broker is found to be in financial failure, the bond is cancelled and FMCSA posts a notice in the FMCSA Register. The surety must keep accepting claims for 60 calendar days after that public notice. If you're owed money by a broker in trouble, that clock matters.
Cancellation takes notice. A surety bond or trust fund can be cancelled only with 30 days' written notice to FMCSA. Replacing one bond with another doesn't wipe out the old surety's liability for contracts the broker made before the switch.
How much does a BMC-84 bond cost?
The bond amount is $75,000, but that isn't what a broker pays. The broker pays a premium, which is a share of that amount, and the surety sets it. It depends on the broker's credit, claims history, time in business and the surety's own underwriting. Prices differ between sureties, so a new broker should get quotes from more than one.
What happens when a broker doesn't pay?
A shipper or carrier that isn't paid can file a claim against the broker's bond with the surety. The surety looks at whether the claim is valid and, if so, pays from the bond, up to the bond limit. Under the 2026 rule, the surety can pay without the broker's consent in some cases, such as when the broker doesn't respond about the claim within 7 business days and the surety decides the claim is valid. The broker then owes the surety the money. A large claim can make a broker hard to bond and can end its authority.
What shippers and carriers should check
Before you sign with a broker, check that its authority is active and that a bond or trust fund is on file. FMCSA's Licensing and Insurance (L&I) search is the public record for that, and the FMCSA SAFER company snapshot shows the authority status. Don't take a broker's word for it, and don't stop at the bond. We cover the full checklist in our guide to how freight brokers vet carriers, and the carriers you work with should check you the same way.
A bond is a safety net, not a guarantee. A bonded broker can still pay late, and a $75,000 limit is shared by every claimant. If you ship high-value freight, check a broker's payment record and ask how it handles carrier payments as well as whether it's bonded.
If you suspect fraud or a broker has stopped paying, report it to FMCSA (1-800-832-5660) and document everything: emails, rate confirmations, pickup and delivery proof. That evidence supports a bond claim. For the wider picture, see our look at how many broker authorities FMCSA grants and revokes each year.
BMC-84 bond questions
What is a BMC-84 bond?
It's the FMCSA form that shows a freight broker has a $75,000 surety bond. The bond pays shippers or carriers if the broker fails to carry out its contracts.
How much is a BMC-84 bond?
The bond amount is $75,000. What a broker pays each year is a premium that depends on its credit, history and the surety, so it varies.
Is a BMC-84 the same as a BMC-85?
No. A BMC-84 is a surety bond. A BMC-85 is a trust fund. Both satisfy the $75,000 requirement in 49 CFR 387.307.
Does the bond cover damaged freight?
No. It covers a broker's failure to carry out its contracts, such as not paying a carrier. Cargo claims go through insurance and the carrier's liability.
New to brokerage? Start with what a freight broker is and how freight brokerage works. If you're picking one, read how to choose a freight broker that won't let you down.
Broker rules go beyond the bond, and freight brokerage compliance covers the wider list.
The bottom line
The BMC-84 matters because it's the money behind a broker's promise to pay. The 2026 rule makes that backing harder to let slip: payouts that drain the bond now trigger reports to FMCSA and a path to suspension. Verify the bond on FMCSA's records before the first load, then keep an eye on the broker's payment record. The American Truck Inc. is a licensed freight broker (MC 1631835, USDOT 4221571).
