§31139 Minimum Financial Responsibility for Transporting Property

Summary

Requires the Secretary of Transportation to set rules making motor carriers and private motor carriers carry enough financial protection when they move property across state lines or to/from places outside the United States while in the U.S. The minimum coverage must be at least $750,000. Bigger limits apply for dangerous cargo: at least $5,000,000 for certain bulk loads (cargo or portable tanks, hopper vehicles over 3,500 water gallons; bulk class A explosives, poison gas, liquefied or compressed gas; or large amounts of radioactive material). The Secretary can cut that $5,000,000 down to no less than $1,000,000 for the U.S. territories (Puerto Rico, Virgin Islands, American Samoa, Guam, Northern Mariana Islands) if the territory’s leader asks, safety won’t be harmed, and $5,000,000 insurance is not available. Other hazardous materials must have at least $1,000,000 coverage, though the Secretary may reduce that for some intrastate vehicle classes (not in bulk) and for farm vehicles carrying such materials in interstate commerce (not in bulk). Carriers may have to file proof of coverage. Proof can be insurance, a guarantee, a surety bond from an authorized company, or qualifying as a self-insurer. Carriers from neighboring countries must carry proof in the vehicle or be denied entry. A carrier can combine sources to meet the total. Knowing violations can bring fines up to $10,000 per day, and collected fines go to the Highway Trust Fund. Vehicles under 10,000 pounds by gross rating are not covered unless they carry class A or B explosives, poison gas, or large amounts of radioactive material. Farm vehicle — a vehicle used only for farming, run by a private carrier, and only sometimes on highways. Interstate commerce — includes moves between a place in a State and a place outside the United States while in the U.S. State — each State, the District of Columbia, Puerto Rico, the Virgin Islands, American Samoa, Guam, and the Northern Mariana Islands.