Carrier Authority
What is carrier authority? Carrier authority is the FMCSA-issued Motor Carrier of Property license that lets a trucking company haul regulated freight in interstate commerce for hire.
Full definition
Carrier authority and broker authority share the MC numbering system but allow different activities. With carrier authority, the holder can physically haul freight under their own MC; with broker authority, they can only arrange freight between shippers and other carriers.
Obtaining carrier authority requires a USDOT number, BOC-3 process agent, public liability insurance ($750,000 minimum, often $1M in practice), and cargo insurance.
Many new authorities are issued each month; the survival rate at 24 months is well under 50%. Cash flow is the leading cause of failure — which is why factoring, working capital, and fuel-card programs are foundational to new-authority survival.