Illinois License Services, Inc
800 Ravinia Pl 
Orland Park IL. 60462

(708) 675-1606

 

Broker Authorities
 

A freight broker is an individual or company that serves as a liaison between another individual or company that needs shipping services and an authorized motor carrier. Though a freight broker plays an important role in the movement of cargo, the broker doesn't function as a shipper or a carrier. Instead, a freight broker works to determine the needs of a shipper and connects that shipper with a carrier willing to transport the items at an acceptable price

 

 



Motor Contract Carrier Authority
 

The ICC termination Act of 1995 defines contract carriage as truck transportation provided under a contract, but, effective January 1, 1996 it no distinguishes between common or contract carriers. However the act specifies that carriers still must register as either common or contract carriers. If you are unsure of which authority to secure, you may check with potential shippers to see if they have a preference. 

 

  


Motor Common Carrier


A person or entity providing motor transportation to the general public. Common carriers no longer have to file tariffs but must have cargo insurance on file in addition to liability insurance as noted under Minimum Insurance Limits.

BOC-3
 

Federal Rules mandate that every Interstate Authorized For Hire Carrier operating under their own operating authority have a current BOC -3 form on file with the office of motor carrier safety. The BOC-3 form is a list of registered process agents for each state, who, in the event of a legal action being presented against the motor carrier by an individual or legal entity from outside the carriers base state, would accept the papers being served on the carriers behalf and would then forward them to the carrier being served. A current BOC-3 form must be on file with FMCSA in order to secure operating authority and to maintain active operating status.


US DOT
 
All motor carriers operating a Commercial Motor Vehicle in interstate or foreign commerce must be assigned & display a USDOT Number before interstate operations begin. This includes all interstate private, exempt, for hire and passenger motor carriers. Motor Carriers operating intrastate transporting any placarded hazardous materials must also comply.



Insurance

 

·         Non-Trucking  Liability& Physical
      damage
·        
Primary “ full” Liability
·        
Motor Truck Cargo
·        
Trailer interchange
·        
Local & Dump trucks
·        
General Liability
·        
Broker’s Authority Bond
·        
Fuel Bond
·        
Workers Compensation
·        
Truck Insurance for Owner
      Operators,
Small Fleets & Contract
      Haulers in all States


Minimum Insurance Limits:


For Vehicles with a Gross Vehicle Weight Rating (GVWR) of 10,000 pounds or more:

$750,000 (BI &PD) for General Commodities (non-hazardous)
$1 Million (BI &PD) hazardous except class A & B explosives
$5 Million (BI & PD) Class A & B explosives, Hazardous materials transported in specified capacities in tanks or hoppers and/or any quantity of hazardous materials as specified in 49 CFR 173.403 of the Federal Motor Carrier Regulations.


For vehicles with a Gross Weight Rating (GVWR) of less than 10,000 pounds:

$300,000 (BI & PD) for general commodities except any materials listed below.
$5 Million (BI & PD) Any quantity of Class A or B explosives, for any quantity of Poison Gas (Poison A) or highway route controlled quantity of radioactive materials.
 
Common Carriers: Must carry minimum liability as listed above plus $10,000 cargo insurance.

Broker Authority: Brokers must maintain a surety bond or trust fund in the amount of $10,000.


 

Interstate authority
MC or ICC

Interstate Authority  ICC/ MC

 

Any commercial transportation company, broker or freight forwarder intending to operate across state lines is required to obtain truck operating authority from the former Interstate Commerce Commission (ICC) and is identified by the issuance of an MC number.. Basically, operating authority allows trucking firms and companies to carry goods and passengers across state borders as long as the vehicle functions within its area of operation. An MC number is also referred to as the ICC number.

 

 

Intrastate Authority
State MC#
 

Intrastate authority is the right granted by a state to commence for hire trucking operations within the borders of that specific state(pickup and deliver the same load without crossing state lines. This generally takes less time to acquire than the interstate authority as only one government agency is required to issue permits. Most intrastate operations require registration with the state(s) where these operations take place. Also a company engaged only in intrastate activities does not need to register with the IFTA or IRP.

 

Freight Forwarder
  Fright Forwarder

 

A person or entity that arranges for the truck transportation of cargo belonging to others, utilizing authorized for-hire carriers to provide the actual truck transportation. The forwarder does assume responsibility for the cargo from origin to destination and usually does take possession of the cargo at some point during transportation. Forwarders typically assemble and consolidate less than truckload (LTL) shipments into truckload shipments at origin and disassemble and deliver LTL shipments at destination. Process agents must be on file and Insurance requirements are the same as for common carrier unless forwarder seeks a waiver of liability insurance requirements.

 

UCR

 

After authority is granted, all regulated motor carriers must register their authority with the states in which they will conduct operations. This is done through the Unified Carrier Registration Program (UCR).Currently 34 states participate but if your base state is a non-participating state, then application is made through a neighboring state that belongs to the UCR. Only after you are registered with the UCR are you legal to operate in interstate commerce. 

Who Is Subject to UCR?  Any motor carrier that operates in interstate or international commerce is subject to the UCR fees.  That includes many businesses that were not subject to SSRS, including private carriers, exempt carriers, regulated carriers that did not travel into SSRS states, brokers, freight forwarders, and leasing companies.  Carriers based in Canada and Mexico and operating in the U.S. are also subject to UCR.

 

IRP, IFTA, Permits
 

The IRP stands for International Registration Plan. This covers the apportioned tags for your tractor. The contiguous 48 states plus Canadian Provinces participate in the program. You must register with your base state and select the states that you wish to operate in the current or coming year. This must be renewed annually and has a prorated annual fee. Only vehicles over 26,000 Gross Vehicle Weight participate in the program.


IFTA stands for International Fuel Tax Agreement. It is a means to pay fuel taxes to the different participating states and provinces by registering and filing quarterly returns with your base state. Only the contiguous 48 states, plus Canadian Provinces and vehicles over 26,000 Gross Vehicle Weight participate in this program.  

 

 Permits


Fuel Permits

When traveling to a state in which a vehicle does not hold an IFTA decal and license, a temporary fuel permit is needed.

Over dimensional and Overweight Permits
If a vehicle is over dimensional (oversize) or overweight, a temporary permit is needed. This permit authorizes movement according to vehicle configurations and weight and contains routing information, travel regulations/restrictions, and safety requirements.


Mileage Permits
When operating in many states, a vehicle may require a mileage permit in addition to fuel and trip permits

Mileage Permits
When operating in many states, a vehicle may require a mileage permit in addition to fuel and trip permits
  • Oversize / Overweight Permits
  • Trip Permits
  • Fuel Permits
  • Annual Permits
  • Port-to-port Routing

  • Other Permits
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