Short answer
Yes. One company can hold broker authority and motor carrier authority at the same time, as long as each is registered separately with FMCSA. Federal law also makes you say in writing, on each load, which authority you’re working under. A broker with no carrier authority can’t haul freight, and a carrier with no broker authority can’t hand a load to another carrier.
Plenty of brokerages run a few trucks, and plenty of trucking companies broker the freight they can’t cover. Both are legal. The trouble starts when the paperwork doesn’t say which business took the load.
This post covers what federal law requires as of October 2026. It’s general information, not legal advice.
Two authorities, registered separately
The statute says it from both directions.
- For brokers: “A broker for transportation may not provide transportation as a motor carrier unless the broker has registered separately under this chapter to provide transportation as a motor carrier.” That’s 49 U.S.C. 13904(d).
- For carriers: “A motor carrier may not broker transportation services unless the motor carrier has registered as a broker under this chapter.” That’s 49 U.S.C. 13902(a)(6).
FMCSA read that strictly when the law changed. In a 2013 Federal Register notice it said carriers that broker loads, “even occasionally,” have to register both as motor carriers and as brokers.
Both registrations sit under one USDOT number. Applications for an added authority now go through Motus, the registration system FMCSA opened on May 19, 2026.
What each authority takes to keep in force
| Requirement | Broker authority | Motor carrier authority |
|---|---|---|
| Financial security | $75,000 surety bond (BMC-84) or trust fund (BMC-85) | $750,000 minimum public liability insurance for general freight in trucks of 10,001 lb GVWR or more |
| Rule | 49 CFR 387.307 | 49 CFR 387.9 |
| Who it protects | Shippers and carriers the broker fails to pay | The public, for injuries and property damage |
| Books | Brokerage revenue and expenses kept separate from the rest of the business (49 CFR 371.13) | No matching federal rule for the trucking side |
Hazmat carriers have higher minimums ($1,000,000 and $5,000,000). Figures checked against the eCFR on October 5, 2026.
The bond doesn’t cover a truck, and the truck insurance doesn’t cover the brokerage. A company with both authorities carries both.
Say which hat you’re wearing, on every load
This is the rule that catches people. Under 49 U.S.C. 13901(c), for each agreement to provide transportation or service, the registrant “shall specify, in writing, the authority under which the person is providing such transportation or service.”
The broker regulations add a second rule. Under 49 CFR 371.7, a broker “shall not, directly or indirectly, represent its operations to be that of a carrier,” and its advertising has to show its broker status.
The reason it matters is cargo liability. The Carmack Amendment, 49 U.S.C. 14706, puts liability for loss and damage on the carrier. Brokers generally fall outside it. But the Eleventh Circuit held in 2018, in Essex Insurance v. Barrett Moving & Storage, that a party “is not a broker under the Carmack Amendment if it has agreed with the shipper to accept legal responsibility for that shipment,” and that the answer depends on how the party held itself out. If your paperwork is vague about which business took the load, a customer with a damaged shipment can argue you took it as the carrier.
The move that gets asset-based companies in trouble
It’s taking a load as the carrier, then giving it to somebody else’s truck.
A registered motor carrier can haul freight in vehicles it owns or leases. Under 49 U.S.C. 13902(i), it “may not arrange transportation” beyond that “unless the motor carrier has obtained a separate registration as a freight forwarder or broker.” There’s a narrow exception for interchange, where the original carrier hauls the freight for part of the trip and keeps liability for it.
Holding both authorities fixes the registration problem. It doesn’t fix the disclosure problem. If the customer tendered the load to your trucking company and an outside carrier shows up, you’ve changed the deal without telling them. Tell the customer, move the load under your broker authority, and issue the outside carrier a rate confirmation from the brokerage. Our glossary entry on double brokering covers why customers and carriers care about this.
The penalty for brokering without authority is in 49 U.S.C. 14916: up to $10,000 per violation in the statute ($13,676 after inflation adjustment as of October 2026), plus liability to anyone harmed, with the company’s officers and principals on the hook personally.
Running both from one office
- Decide carrier or broker before you quote, and put it on the confirmation you send the customer.
- Keep two sets of paper. Carrier loads go out under the trucking company’s name and insurance. Brokered loads get a rate con from the brokerage to the outside carrier.
- Keep the brokerage’s revenue and expenses separate in your books. The regulation requires it, and it tells you which side is making money.
- Vet outside carriers the same way a broker with no trucks would. Owning trucks doesn’t change what you owe the customer on a brokered load. Our carrier onboarding guide covers the checks.
Where FreightVero fits, stated plainly
FreightVero’s broker TMS is built for the brokerage side: loads, outside carriers, rate cons and billing. A carrier TMS for small fleets is in early access, and position tracking for a brokerage’s own trucks is in development.
Final thoughts
Own the trucks if the freight supports it. The law is fine with one company doing both. What it won’t excuse is a load that was sold one way and moved another. Put the authority on the paper every time. Our guide to starting a freight brokerage covers the broker registration steps if you’re adding that side.