How to File on Surety Bond If a Broker is not paying.
Steps to File a Claim on a Freight Broker Surety Bond
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Determine When to File:
- Ensure the broker has not paid within the contracted time and is unresponsive to your collection efforts. Payment terms can vary, so check your contract for specifics (e.g., 30, 60, or 90 days after delivery).
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Verify Coverage:
- Confirm that the load is covered by surety regulations. Note that intrastate loads and certain exempt commodities (like fresh produce) may not be covered.
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Find the Broker’s Surety Provider:
- Visit the FMCSA’s SAFER website and enter the broker’s DOT number, MC number, or name to find their surety provider.
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Gather Documentation:
- Collect all necessary documents, including the bill of lading, rate confirmation, proof of delivery, and any communication records with the broker.
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Contact the Surety Company:
- Reach out to the surety company that issued the bond. They will provide you with the claim forms and instructions.
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Submit the Claim:
- Complete the claim forms and submit them along with your documentation to the surety company. Be thorough and accurate to avoid delays.
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Follow Up:
- Stay in touch with the surety company to track the progress of your claim. They will investigate and determine the validity of your claim.