Pennsylvania Freight Broker Bond

Freight brokers in Pennsylvania are required to hold a $75,000 surety bond as part of federal FMCSA licensing. This guide explains what the bond is, why it’s needed, how much it costs, and how to get one — even with bad credit.

A Pennsylvania freight broker bond is a financial guarantee ensuring brokers meet their contractual and payment obligations to carriers and shippers. The bond is a federal FMCSA requirement, not a Pennsylvania-only rule, and it applies to every broker operating across the U.S. It’s designed to protect carriers and shippers if a broker fails to pay freight charges or violates federal transport laws.

Also known as a BMC-84 (surety bond), this bond helps maintain integrity within the logistics industry by holding brokers financially accountable for their business practices.

Freight brokers in Pennsylvania must comply with Federal Motor Carrier Safety Administration (FMCSA) standards before they can legally arrange transportation. They must:

• Obtain a valid FMCSA broker license.
• File a BMC-84 surety bond or a BMC-85 trust fund showing a $75,000 minimum financial responsibility.
• Complete a BOC-3 (process agent) filing designating representation in each state.

The bond ensures carriers and shippers can recover losses if a broker fails to meet contractual duties. You can find detailed compliance instructions on the official Insurance Filing Requirements page maintained by the FMCSA.

Although bond requirements are set by the FMCSA, Pennsylvania brokers must also register their business through the Pennsylvania Department of State. The state doesn’t impose additional bond requirements, but registration is necessary for brokers to operate legally and maintain business good standing.

Compared to some other states, Pennsylvania’s freight broker process is relatively straightforward. Brokers only need to comply with federal bonding and insurance rules and ensure continuous coverage to avoid suspension. For those seeking localized options, our page on Pennsylvania bonds offers more details about surety requirements across the state.

The FMCSA requires a $75,000 freight broker bond, but brokers only pay a small annual premium—typically 1% to 5% of the bond amount—based on their financial strength, business history, and underwriting factors. This usually amounts to about $750 to $3,750 per year, depending on the broker’s overall financial profile and risk assessment.

Rates are determined by underwriting, which evaluates your credit score, business history, and financial statements. Understanding your premium starts with knowing how surety bond cost works and what affects your rate.

Getting a bond is quick and straightforward when you work with an experienced surety provider. The process typically includes:

1. Getting a Quote: Apply online through Lance Surety’s secure portal to get an instant quote.
2. Providing Documentation: Supply your FMCSA authority number, business registration, and financial details.
3. Underwriting Review: The surety evaluates your credit and risk profile.
4. Bond Issuance: Once approved, your freight broker bond is filed directly with the FMCSA to activate your authority.

New brokers can learn more about applying through our overview of how to get bonded, which covers required documents and filing timelines.

Yes. Many brokers in Pennsylvania successfully obtain a freight broker bond even with low or challenged credit. Surety companies often provide specialized bad-credit programs designed for applicants rebuilding credit or new to the industry.

To strengthen your application:

• Submit additional business or bank references.
• Provide financial documentation that supports your ability to pay.
• Avoid outstanding collections or unpaid liens before applying.

Even if your premium falls toward the higher end of the range, working with a surety provider familiar with FMCSA bonds can help you secure better terms over time.

Freight broker bonds must be renewed annually to keep FMCSA authority active. Most surety providers send renewal reminders 30–60 days before the expiration date, allowing brokers to update financial or business information if needed.

Renewing on time ensures continuous coverage and prevents authority suspension. If a bond lapses, the FMCSA may immediately revoke a broker’s license until proof of renewal is received. Maintaining open communication with your surety provider helps ensure compliance without delays.

Do I need a PA state bond in addition to the FMCSA bond?

No. The FMCSA freight broker bond covers operations in all states, including Pennsylvania. However, you must still register your business through the Pennsylvania Department of State.

What’s the difference between BMC-84 and BMC-85?

A BMC-84 is a surety bond backed by a third-party provider, while a BMC-85 is a trust fund that requires a $75,000 cash deposit.

Most brokers choose the surety bond to maintain cash flow.

How long until FMCSA issues authority after filing the bond?

Typically, it takes four to six weeks after bond filing and BOC-3 submission for FMCSA to issue active operating authority.

Can a new company with no credit get bonded?

Yes. New brokers can often qualify by presenting additional financial information or partnering with a co-signer.

Some surety providers offer first-time broker programs that don’t require established credit.

- Federal Motor Carrier Safety Administration. (n.d.). Insurance filing requirements.
https://www.fmcsa.dot.gov/registration/insurance-filing-requirements

- Pennsylvania Department of State. (n.d.). Business registration.
https://www.pa.gov/agencies/dos/programs/business 

- Lance Surety Bonds. (n.d.). Freight broker bonds.
https://www.lancesuretybonds.com/license-bonds/freight-broker-bonds

- Lance Surety Bonds. (n.d.). Surety bond cost.
https://www.lancesuretybonds.com/learn/surety-bond-cost

- Lance Surety Bonds. (n.d.). How to get bonded.
https://www.lancesuretybonds.com/learn/how-to-get-bonded

- Lance Surety Bonds. (n.d.). Pennsylvania bonds.
https://www.lancesuretybonds.com/bonds-by-state/pennsylvania

- Lance Surety Bonds. (n.d.). Get an instant quote.
https://www.lancesuretybonds.com/surety-bond-quote