New Authority Trucking Insurance

Just got your MC number? Congratulations—and welcome to the hardest insurance market you'll ever face. Here's what you need to know.

Why is new authority insurance so hard?

Insurance companies see new motor carriers as high risk. You don't have an operating history, no track record of safe driving, and statistically, new carriers have more accidents. Fewer companies will write you, and those that do charge more.

What coverage do you need?

• Primary liability ($750K-$1M+): Required by FMCSA. The minimum depends on what you haul—general freight is $750K, hazmat is $1M-$5M.
• Motor truck cargo ($100K typical): Covers the freight you haul. Most broker contracts require this.
• Physical damage: Comp and collision for your truck. Required if you have a loan or lease.
• BMC-91/91X filing: Your insurance company files this with FMCSA to prove you have liability coverage.

What do insurers look at?

Even as a new authority, your rates depend on:

• Driver experience: CDL history, years driving, prior employment
• Driving record: MVRs, accidents, violations
• Equipment: Age, condition, safety features
• Commodities: What you're hauling (general freight vs. hazmat)
• Radius: Local vs. regional vs. long haul

What should you expect to pay?

New authority insurance is expensive—often $12,000-$20,000+ per truck per year for primary liability alone. Rates typically improve after 1-2 years of clean operation. Some companies offer "step-down" policies where your rate decreases every 6 months with no claims.

How to get started

We'll need:

• MC/DOT number (or pending application)
• Driver CDLs and MVRs
• Equipment list (year, make, VIN)
• Commodities you'll haul
• Operating radius
• Estimated annual mileage