Arrange the Freight. Answer for Less.
Professional protection for the broker who arranges the load
Truck broker liability insurance protects freight and transportation brokers from the claims that arise out of arranging transportation rather than hauling it. Also called freight broker liability, it responds to the broker's own exposures — errors and omissions in arranging a shipment, and the fast-growing wave of negligent-selection lawsuits that name brokers after a hired carrier causes a serious accident. It is typically the anchor of a broker program that also carries contingent cargo and contingent auto, so the broker's professional, vicarious, and freight exposures are answered together.
As nuclear verdicts against trucking have climbed, plaintiffs increasingly target the broker who selected the carrier — making this coverage central, not peripheral.
What Truck Broker Liability Covers
Truck broker liability programs typically address:
Negligent Carrier Selection — The signature exposure — claims that the broker negligently hired, vetted, or retained an unsafe motor carrier that later caused injury or damage.
Errors & Omissions in Arranging — Claims arising from mistakes in booking, routing, documenting, or communicating a shipment's requirements.
Contingent Cargo (Often Included) — Freight loss or damage when the hired carrier's cargo policy fails to respond.
Contingent Auto Liability (Often Included) — Auto liability that drops down when the hired carrier's primary auto policy fails to respond.
Defense Costs — Legal defense for covered claims — frequently the dominant cost in brokerage-liability litigation, even when the broker ultimately prevails.
What It Does Not Cover
Truck broker liability commonly excludes:
Liability for autos the broker owns or operates (covered under commercial auto)
Claims fully paid by the hired carrier's own policies
Intentional misconduct or knowing violations
Operations outside the brokered-transportation activities described in the policy
Fines, penalties, or disgorgement, per policy terms
Coverage is shaped by how the policy defines the broker's services and the covered claims.
Who Needs Truck Broker Liability?
This coverage is important for:
Licensed freight brokers and transportation brokers (FMCSA / MC-authorized)
Third-party logistics providers (3PLs) and freight forwarders
Dispatchers and load-matching platforms
Carriers that also broker loads to other carriers
If you arrange transportation for a fee, brokerage liability follows the work.
How Coverage Is Structured
Truck broker liability is usually written with:
An errors-and-omissions / brokerage-liability form as the core
Contingent cargo and contingent auto layered into one coordinated program
Limits sized to freight values, lanes, and volume
A focus on your carrier-qualification, vetting, and monitoring records
Alignment with the FMCSA authority and the $75,000 BMC-84 broker bond you already carry
Underwriting weighs your carrier-selection discipline above almost everything else.
Real-World Claim Examples
A broker is sued for negligent selection after a carrier it booked is in a fatal crash
A documentation error routes a temperature-sensitive load incorrectly and the freight is ruined
A shipper alleges the broker failed to communicate delivery requirements, causing a loss
A plaintiff's firm names the broker alongside the carrier to reach deeper coverage
In each case, defense costs alone can be significant — and this coverage responds where general liability does not.
Why Proper Placement Matters
Truck broker liability coverage varies widely based on:
How negligent-selection and brokerage liability are defined and covered
Whether contingent cargo and contingent auto are included and how they coordinate
Defense-cost treatment (inside or outside the limit)
Carrier-vetting conditions and documentation requirements
A program assembled piecemeal can leave gaps between the broker's professional, freight, and auto exposures.
Our Approach
At Cory Washington & Co., we build truck broker liability as one coordinated program — brokerage E&O together with contingent cargo and contingent auto liability — aligned to how you vet and monitor carriers. For the full operation, including the FMCSA bond and your other exposures, see our freight broker insurance page.
Do the brokerage right, and your coverage should stand behind it.
All insurance descriptions on this website are provided by Cory Washington & Co. LLC strictly for general informational purposes. They are not intended to be, and should not be relied upon as, legal, financial, or insurance advice. The information presented is general in nature and does not guarantee the availability, terms, conditions, or scope of any insurance coverage. Actual coverage is determined solely by the specific policy language issued by the insurer and remains subject to underwriting approval. Nothing on this website creates or implies an agent-client relationship, binds coverage, or alters any existing policy. Cory Washington & Co. LLC expressly disclaims any liability for actions taken, or not taken, based on the content provided here. For advice regarding your particular situation, please consult directly with a licensed insurance professional at Cory Washington & Co. LLC or another qualified insurance professional, and always review your policy documents in full.
See what to confirm in a truck broker liability policy — what's standard, what's often limited, and what to add if needed — plus the gap most often missed, in the Truck Broker Liability Policy Feature Checklist.
Complete the Truck Broker Liability Supplemental online in a few guided steps, download the fillable PDF, or browse all applications.
Frequently Asked Questions
How do I get truck broker liability insurance through Cory Washington & Co.?
Request a quote or contact our team. We start with a short conversation about your operations, analyze your exposures, then negotiate truck broker liability insurance across multiple carriers that compete for your account and present options with the trade-offs explained. Cory Washington & Co. LLC is licensed in all 50 states.
How are truck broker liability insurance premiums priced?
There is no flat rate. The cost of truck broker liability insurance reflects your industry, your size (payroll and revenue), your claims history, and the limits and deductibles you choose. We market your account to multiple carriers, compare the real quotes side by side, and explain what is driving each number so you can weigh coverage against price with confidence.
Is truck broker liability insurance mandatory?
Whether truck broker liability insurance is strictly required depends on your state, your contracts, and your lenders or clients. Even where it is not mandatory, going without it can leave serious financial gaps. We assess your exposure and any contractual requirements, then structure coverage that meets both.
What if another agency has already declined or non-renewed my coverage?
Difficult, specialty, and previously-declined placements are a core part of our work. We access excess & surplus (E&S) and specialty markets that many generalist agencies cannot, and we explain the trade-offs clearly so you can decide with confidence.
Available in all 50 states. See how requirements differ in California, Texas, Florida, New York, or choose your state.