FMCSA issues cargo insurance clarification

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The Federal Motor Carrier Safety Administration says that as of March 21, only household goods carriers and HHG freight forwarders need to have evidence of cargo insurance on file with the agency.

While FMCSA has not required such a filing, numerous non-HHG carriers have filed cancellations of their cargo insurance with FMCSA effective March 21. The carriers’ cancellation notices triggered system-generated letters to these carriers indicating that FMCSA would revoke their authority within 30 days of the service date of the letter.

FMCSA says it want to clarify that non-HHG carriers and non-HHG freight forwarders who have received Notices of Investigation for Revocation of Authority based on the termination of cargo insurance on or after March 21 need not respond to such letters if they have a service date of Feb. 19 or after. FMCSA will not revoke the operating authority of non-HHG carriers and non-HHG freight forwarders whose cargo insurance expires on or after March 21.

The agency says it is taking corrective measures to alert carriers.