Ask X3What does 49 CFR 387.303 (Security for the protection of the public: Minimum limits) require?
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As Ask X3, your fleet-compliance assistant, here is what 49 CFR 387.303 requires for your motor-carrier operations:
You must maintain public liability security (insurance or surety) for the protection of the public that meets specific minimum limits based on your vehicle size, seating capacity, and the type of property or hazardous materials you transport.
According to 49 CFR 387.303, the required minimum limits are:
1. Freight Vehicles Under 10,001 Pounds GVWR:
* Non-hazardous property: $300,000.
* Certain hazardous materials (any quantity of Division 1.1, 1.2, or 1.3; Division 2.3, Hazard Zone A; Division 6.1, Packing Group I, Hazard Zone A; or highway route controlled quantities of Class 7): $5,000,000.
2. Freight Vehicles of 10,001 Pounds or More GVWR:
* Non-hazardous property: $750,000.
* Oil, hazardous waste, hazardous materials, and hazardous substances (not covered in the higher hazard categories below): $1,000,000.
* Certain high-risk hazardous materials (such as certain bulk hazardous substances in large tanks/hopper-type vehicles, bulk explosives, Division 2.3 Hazard Zone A, bulk Division 2.1 or 2.2, or highway route controlled quantities of Class 7 materials): $5,000,000.
3. Passenger Carriers:
* Vehicles with a seating capacity of 16 or more passengers (including the driver): $5,000,000.
* Vehicles designed or used to transport 15 or passengers or less (including the driver) for compensation: $1,500,000.
* Transit service providers operating under specific federal grants (49 U.S.C. 5307, 5310, or 5311) must hold financial responsibility at the highest level required by any of the States in which they operate, and must register and certify this on their registration documents.
4. Foreign Motor Carriers and Foreign Motor Private Carriers (Mexican):
* Must obtain insurance coverage for periods of 24 hours or longer from authorized companies.
* Must keep copies of their certificate of registration, insurance endorsement (Form MCS-90), and an insurance identification card, binder, or other document showing effective and expiration dates available for inspection in each vehicle operating in the U.S.
5. Household Goods Motor Carriers (Cargo Liability):
* Must hold security to compensate individual shippers for lost or damaged household goods: $5,000 for loss or damage carried on any one motor vehicle, and $10,000 for loss or damage occurring at any one time and place.