Freight Broker Bond Claims: BMC-84 Guide
When a broker won't pay, their $75,000 surety bond is your last resort. Here's exactly how to file a claim and recover what you're owed.
O Trucking Editorial Team
Trucking Industry Experts
Fact-Checked by O Trucking Dispatch Team
5+ years helping carriers recover payment from non-paying brokers
This article was written by the O Trucking editorial team with 9+ years of combined trucking industry experience. Learn more about us.
O TruckingFreight Broker Bond Claims: How to File BMC-84 Surety Bond Claims
What Is the BMC-84 Surety Bond?
The $75,000 Protection for Carriers
Every licensed freight broker in the United States must maintain a BMC-84 surety bond (or BMC-85 trust fund) of at least $75,000 with the FMCSA. This requirement was increased from $10,000 to $75,000 under the MAP-21 Act in 2013 specifically to better protect motor carriers and shippers from broker non-payment.
How It Works
The broker pays a surety company an annual premium (typically 1-10% of the bond amount) to guarantee the bond. If the broker fails to pay a carrier, the carrier can file a claim against the bond to recover the money owed. The surety company pays the carrier, then seeks reimbursement from the broker.
Bond vs. Insurance: Not the Same Thing
A surety bond is not insurance. Insurance protects the broker; a bond protects you, the carrier. The broker is ultimately responsible for repaying the surety company. Think of it as a financial guarantee backed by a third party that ensures brokers meet their payment obligations.
$75K Is Shared Among ALL Claimants
The $75,000 bond is the total available for all carriers filing claims against that broker, not $75,000 per carrier. If a broker owes money to multiple carriers and the total exceeds $75,000, each claimant receives a proportional share. This is why filing quickly matters.
When to File a Bond Claim
30+ Days of Non-Payment
Standard broker payment terms are 15-30 days. If you've passed the agreed payment date by 30 or more days with no payment and no clear resolution timeline, it's time to consider a bond claim.
Broker Is Non-Responsive
If the broker stops answering calls, ignores emails, or their phone number is disconnected, this is a major red flag. A broker who goes silent likely owes money to multiple carriers and may be heading toward closure.
Broker Disputes a Valid Invoice
If the broker is claiming deductions or refusing to pay for freight you delivered successfully with a clean POD and signed rate confirmation, you have grounds for a bond claim. Do not accept illegitimate deductions.
Partial Payment with No Explanation
If the broker paid less than the agreed rate without a valid reason or prior agreement, you can file a bond claim for the remaining balance. Document the discrepancy between the rate confirmation and actual payment.
Exhaust Direct Resolution First
Before filing a bond claim, make at least 2-3 documented attempts to resolve the issue directly with the broker. Send payment demand letters via email (with read receipts) and certified mail. Surety companies will ask whether you attempted direct resolution. Having documentation of your good-faith efforts strengthens your claim significantly.
How to Find Broker Bond Information on FMCSA
SAFER System Lookup (Step-by-Step)
Go to FMCSA SAFER System
Visit safer.fmcsa.dot.gov and click "Company Snapshot"
Search by MC Number
Enter the broker's MC number (found on their rate confirmation) and select "Broker" as the entity type. Click "Search".
Find Bond/Insurance Information
On the broker's profile, look for the section labeled "Active/Pending Insurance" or "Surety Bond." You'll see the BMC-84 bond listing with the surety company name.
Record Surety Company Details
Write down the surety company name, bond number, and effective date. You'll need to contact this surety company directly to file your claim. Search their website for a claims department phone number and mailing address.
Save a Screenshot
Take a screenshot of the FMCSA SAFER page showing the broker's bond information. Brokers can cancel or change their bond, and having a record from when you hauled the load proves which surety company was responsible at that time. Include this screenshot with your claim documentation.
Step-by-Step Bond Claim Filing
Gather All Documentation
Collect your signed rate confirmation, bill of lading, proof of delivery, all invoices sent, and any email or written correspondence with the broker regarding payment.
Contact the Surety Company in Writing
Send a formal written demand to the surety company listed on the broker's FMCSA record. Include your company name, MC number, the broker's name and MC number, the amount owed, and a brief description of the claim.
Submit Your Formal Claim with All Documents
Attach copies (not originals) of every document supporting your claim: rate confirmation, BOL, POD, invoices, proof of payment attempts, and correspondence showing the broker's failure to pay.
Surety Company Investigates Your Claim
The surety company reviews your documentation, contacts the broker for their side, and investigates the validity of your claim. This phase typically takes 30-90 days.
Surety Determines Payout
After investigation, the surety company determines whether your claim is valid and calculates the payout amount. They consider the documentation quality, the broker's response, and any competing claims against the same bond.
Receive Payment or Denial
If approved, the surety company issues payment. If denied, you receive a written explanation and can appeal the decision or pursue other legal remedies such as small claims court.
Send Everything Certified Mail
Always send your bond claim via certified mail with return receipt requested, in addition to any email submissions. This creates a legal record proving the surety company received your claim on a specific date. Keep the certified mail receipt as proof of filing.
Required Documentation Checklist
Documents Needed for Your Bond Claim
Signed Rate Confirmation
Original agreement showing agreed rate, pickup/delivery dates, and load details
Bill of Lading (BOL)
Shipping document from the shipper showing freight description and weight
Proof of Delivery (POD)
Signed delivery receipt confirming freight was delivered in good condition
All Invoices Sent
Copies of every invoice submitted to the broker with dates
Payment Demand Letters
Written requests for payment sent to the broker
Email Correspondence
All written communication with the broker about the load and payment
Carrier Authority Documents
Your MC number, W9, and insurance certificate
Broker's FMCSA Record
Screenshot or printout showing the broker's bond information from SAFER
Never Send Originals
Always submit copies of your documents, never originals. Keep your original rate confirmations, BOLs, and PODs in a safe place. You may need them if you pursue additional legal action or if the surety company requests verification of your documents.
Timeline and What to Expect
Demand Letters to Broker
Days 1-30Send written payment demands; document non-response
Bond Claim Filed
Day 31-45Submit formal claim to surety company with all documents
Investigation Period
Days 45-105Surety reviews docs, contacts broker, verifies claim
Determination
Days 105-120Surety approves or denies your claim
Payment Issued
Days 120-135If approved, check mailed to your business
Total Expected Timeline: 60-135 Days
Well-documented claims with clear rate confirmations and signed PODs resolve faster. Incomplete documentation or disputed claims can extend the timeline significantly.
When Multiple Carriers File Against the Same Bond
The $75,000 Limit Is Shared Proportionally
When a broker defaults on payments to multiple carriers, the $75,000 bond must cover all valid claims. If total claims exceed $75,000, each carrier receives a proportional share. For example, if carriers file $200,000 in total claims, each carrier would receive approximately 37.5 cents on the dollar.
First-Come Considerations
While surety companies typically wait to assess all claims before distributing funds, early filers can sometimes receive payment before the bond is depleted. Some surety companies process claims on a first-come, first-served basis if they don't anticipate the bond being exhausted. This varies by surety company.
Why Quick Filing Matters
When you hear a broker is not paying carriers, file your claim immediately. Don't wait for the broker to respond to additional payment demands. Every day you wait, more carriers may be filing claims against the same bond, reducing your potential recovery. Have your documentation organized and ready to submit at the first sign of serious payment issues.
Alternatives to Bond Claims
A bond claim isn't always the best or only option. Depending on the amount owed and the broker's situation, other recovery methods may be faster or more effective.
Collection Agencies
Freight-specific collection agencies understand broker payment disputes and have leverage with brokers who want to maintain their reputation. They typically charge 25-50% of the recovered amount but require no upfront cost. Best for claims where the broker is still operating but simply refusing to pay.
Small Claims Court
For amounts under $10,000-$25,000 (varies by state), small claims court is a cost-effective option. Filing fees are typically $30-$100, no attorney required, and you get a judgment that can be enforced. You'll need to file in the county where the broker is located or where the contract was performed.
Factoring Company Handling
If you're using a factoring company, they may handle collection for you. With non-recourse factoring, the factor absorbs the loss if the broker doesn't pay. With recourse factoring, you're still on the hook but the factor's collection team can be more aggressive than an individual carrier.
How Our Dispatchers Help Prevent These Situations
At O Trucking, we vet every broker before booking a load. We check their credit history, days-to-pay average, and complaint history on Carrier411. We also verify broker identity through FMCSA to avoid double-brokering scams. Prevention is always better than recovery.
Broker Protection Guide Collection
Try Our Free Broker Credit Checker
Look up a broker by MC number — live FMCSA authority, BMC-84 bond, and red-flag screening
Open Broker Credit CheckerBroker Bond Claim FAQ
Common questions about filing surety bond claims against freight brokers.
What's the maximum I can recover from a broker bond?
Up to $75,000 per broker, but that amount is shared among all claimants. If multiple carriers file claims against the same broker's bond and the total exceeds $75,000, each claimant receives a proportional share. For example, if three carriers file $50,000 each ($150,000 total) against a $75,000 bond, each would receive roughly $25,000.
How long does a bond claim take to process?
Typically 60-120 days from filing to resolution. The surety company has 30-90 days to investigate your claim after receiving all documentation. Simple, well-documented claims with clear rate confirmations and proof of delivery tend to resolve faster. Complex claims involving disputes over service quality or partial payments take longer.
Can I file a lawsuit and bond claim simultaneously?
Yes, you can pursue both at the same time. However, you cannot collect twice for the same amount owed. Many carriers file a bond claim while also pursuing the broker in small claims court. If you collect from one source, you must credit that amount against the other. Filing both creates pressure on the broker and gives you multiple paths to recovery.
What if the broker's bond has been exhausted?
If the broker's $75,000 bond has already been paid out to other claimants, you may have no recovery through the bond. Your remaining options include filing in small claims court (up to $10,000-$25,000 depending on state), hiring a collection agency (they typically charge 25-50% of recovered amount), or consulting a transportation attorney for larger claims.
Do I need a lawyer to file a bond claim?
No, you can file directly with the surety company without an attorney. The process involves writing a formal demand letter and submitting your documentation. However, an attorney may help for complex claims, disputed amounts over $10,000, or situations where the surety company denies your initial claim. Many transportation attorneys offer free consultations.
We Protect You From Non-Paying Brokers
Our dispatch team vets every broker's credit and payment history before booking. We check FMCSA records, Carrier411 complaints, and days-to-pay averages so you don't have to chase bond claims.