What is an Oregon Freight Broker Bond?

Oregon Freight Broker Bond

The trucking industry is one of the most accurate indicators of American economic health. In 2013,  the freight broker bond amount was raised to $75,000 with the goal of elevating the standards for freight brokers. While some brokers were banished from the business, several of them with sound credit and trustworthiness remained in the industry. Today, freight brokers procure a Freight Broker Bond to survive in the business strategically.

The Oregon Freight Broker Bond is a testimony of financial security and elasticity. An active display of financial capability in meeting responsibilities and potential claims. It is likewise an assurance that in the conduct of one’s business, the values of fair freight forwarding and brokering are rigorously and meticulously practiced. This type of surety bond also serves as a warranty to clients and partners that the freight brokering company is suitably licensed by the Federal Motor Carrier Safety Administration. The bond is also a strong indicator that actions and transactions performed are in conformity with Chapter 825 of the Oregon Revised Statutes and all other Oregon Administrative Rules related to the regulation of motor carriers. It makes certain that the failure of freight brokers or forwarders to obey the rules of the surety bond contract will give other parties the right to file a claim against the bond.

 

Why do you need an Oregon Freight Broker Bond?

You need the Oregon Freight Broker Bond because you want to stay in the industry for good. As the bond will add status to your name, your company will be known as a trustworthy freight broker organization. Most importantly, a freight broker bond will assure you of the peace of mind you need knowing fully well that if someone in your employ commits any unethical act, the aggrieved client can demand damages without harming your investments.

 

More details about the Oregon Freight Broker Bond

Before getting bonded, freight brokers engaged in interstate business must apply for a broker authority from the Federal Motor Carrier Safety Administration using the Unified Registration System. You need to comply with the $300 application processing fee and wait for 4 to 6 weeks for processing.

Once bonded, your proof of surety must be filed using Form BMC 84. On the other hand, proofs of an existing trust fund with a financial institution must likewise be filed using Form BMC 85.

 

What is the cost of an Oregon Freight Broker Bond?

The amount of your bond premium rests on your previous financials and credit standing. It can also be impinged by past business performance, personal profile, standing within the business community, most especially in the surety bond industry. Being convicted of a crime, even if it happened decades ago, also matters in the determination of how much you should pay.

 

How do I get an Oregon Freight Broker Bond?

Getting a bond is simple. However, be sure to contact only genuine professionals in the field of surety. Give Surety Bond Authority specialists a call now! With Surety Bond Authority taking care of your business affairs, you will have the answers you need and the solution to whatever concerns you have in protecting your business.

Liked this content? Share it!