Operating Authority
An FMCSA-issued MC number that authorizes motor carriers to transport regulated commodities for hire in interstate commerce, distinct from a DOT number and required before a carrier can legally haul freight.
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Compare ELD Compliance software →Types of Operating Authority
FMCSA issues different types of operating authority depending on the carrier's operation. Common Motor Carrier authority (MC number) is the standard authority for for-hire carriers transporting regulated commodities by truck. Household Goods (HHG) authority is required for carriers transporting household goods and has additional consumer protection requirements including binding and non-binding estimate rules and dispute resolution programs. Broker authority (MC number with 'Broker' designation) authorizes a company to arrange transportation of freight for compensation without actually operating the vehicles. Freight Forwarder authority authorizes companies to hold out to the public that they transport property and to assemble and consolidate shipments. Each authority type requires separate application, separate financial responsibility filings, and separate insurance.
Operating Authority vs. DOT Number: The Registration Sequence
Financial Responsibility Requirements by Commodity
Minimum insurance requirements under 49 CFR Part 387 vary by the type of freight hauled. General freight carriers (non-hazmat, non-passenger) must maintain at least $750,000 in public liability coverage. Carriers hauling certain hazardous materials (including petroleum products, large quantities of explosives) must carry $1,000,000 or $5,000,000 depending on the commodity and quantity. Household goods carriers must maintain $750,000 in public liability coverage plus cargo liability of at least $5,000 per vehicle and $10,000 per occurrence. These are FMCSA minimums — most shippers and brokers require $1,000,000 in general liability as a condition of working with a carrier, and many require $100,000 or more in cargo coverage regardless of regulatory minimums.
Operational Scenario: The Double-Brokering Risk
Why verifying operating authority protects shippers and brokers
A freight broker in Atlanta tendered a load of electronics to a carrier they found through a load board. The carrier had an active DOT number but their MC number was listed as 'Revoked' in the FMCSA SAFER system — their insurance had lapsed 3 months earlier and FMCSA had automatically revoked the authority. The broker, under competitive time pressure, failed to run the SAFER check. The carrier picked up the freight and double-brokered it to a third party without informing anyone. The freight was damaged in transit, and when the shipper filed a claim, no valid cargo coverage existed on the operating carrier. The broker was held liable under their own cargo policy. The fix was a 30-second SAFER check that the broker skipped. Shippers and brokers should verify MC number status — not just DOT number status — in real time before every load tender.
Maintaining Active Operating Authority
Operating authority can be suspended or revoked automatically without notice when insurance lapses. When an insurer cancels a carrier's MCS-90 endorsement, FMCSA is notified and the authority is placed in suspended status. The carrier may not be immediately aware of the suspension if they are not monitoring their SAFER profile. Authority can also be revoked for failure to respond to FMCSA correspondence, unresolved civil penalty assessments, or failure to complete required biennial updates. Reinstating revoked authority requires re-application, fresh insurance filing, and sometimes a new 21-day protest period — the process can take 30–45 days, shutting down operations entirely.
- Monitor your MC number status in the FMCSA SAFER system weekly — authority suspensions from insurance lapses can happen without direct notification to the carrier
- Build an insurance renewal calendar 90 days ahead of your policy expiration and confirm the insurer files the MCS-90 continuation before the current policy expires
- File a BOC-3 process agent designation before your authority activates — without it, your authority will not become effective even after the 21-day protest period
- Verify the operating authority of every carrier you tender freight to — a 30-second SAFER check (safer.fmcsa.dot.gov) confirms both DOT number and MC number active status
- If you operate as both a carrier and a broker, ensure you have separate MC numbers for each authority type — using carrier authority to broker loads without separate broker authority is an FMCSA violation
- When adding new commodity types (e.g., starting to haul hazmat after operating general freight), verify whether your existing authority covers the new commodity or whether a new application is required