This application is for businesses requesting Operating Authority as a freight forwarder in interstate or foreign commerce. Freight forwarders arrange transportation of goods by FMCSA-licensed carriers. Freight forwarders also issue bills of lading to shippers and are responsible for the loss of or damage to the goods.
Freight Forwarders must fill out the OP-1 (FF) application. Once filled out and approved the freight forwarder must provide proof of public liability insurance and cargo insurance within 90 days of receiving their operating authority.
Freight Forwarders that will perform transfer, collection, or delivery service must maintain appropriate levels of bodily injury and property damage (BI & PD) insurance and environmental restoration coverage. Furthermore, the BI & PD liability insurance coverage requirements are based upon the GVWR of vehicles that will be operated and the classification of property (including hazardous materials) that will be shipped.
Freight Forwarders that will not operate commercial motor vehicles (CMVs) may request a waiver of BI & PD insurance requirements. In order to request a waiver, they must certify that all of the following conditions are true in the Freight Forwarder’s operations: