(October 2024) - In major accidents
involving severe injuries or even death, claimant attorneys join
freight brokers to the claim in an attempt to maximize the amount
of insurance and assets that will be available to pay a judgment or
settlement. By contrast, claimant attorneys with claims involving
soft tissue injury or other minor damages often avoid the added
challenges and costs of trying to establish liability against the
freight broker, because the motor carrier has ample insurance to
pay the likely judgment or settlement. This trend is understandable
considering that motor carriers' minimum insurance
requirements under FMCSA regulations are as low as $750,000 for
general freight or $1 million for low hazardous materials, and
certain motor carriers' requirements are even lower. In
addition, freight brokers often require a motor carrier to have $1
million in liability insurance and to include the freight broker as
an additional insured.
