WASHINGTON — The Federal Motor Carrier Safety Administration (FMCSA) has alerted Congress about a significant “insurance gap” that is making the American trucking sector increasingly vulnerable.
In its 2026 quadrennial report to lawmakers, the agency presented a concerning situation for the industry: while estimates for the number of active, for-hire interstate property carriers have decreased to 456,227 since the 2022 report, the 12 billion tons of freight they transport are now facing a median “nuclear” verdict that has surged to $51 million.
Meanwhile, federal minimum financial responsibility levels, which have not changed since 1985, remain at $750,000 for property transportation. This amount now covers less than 1.5% of a median major award.
2022 report 2026 report
Interstate Freight Carriers: 702,102 (Nov. 2021) 456,227 (Dec. 2025)
Median “Nuclear” Verdict: $21M (2020) $51M (2024)
Insurance Premiums per Mile: $0.074 (2015) $0.102 (2024)
The FMCSA notes that had the $750,000 requirement merely kept pace with core inflation, it would equate to around $2.2 million today. Adjusted for medical cost increases, this figure rises to over $3.7 million.
The report indicates that “the landscape of crash costs exceeding the current minimum insurance levels, particularly regarding medical expenses, has transformed, creating a gap between current minimums and actual costs incurred in severe incidents.” It highlights that damages from fatal or severe injury crashes often exceed mandated minimum financial responsibilities.
The consolidation of the motor carrier fleet has intensified pressure on freight brokers and forwarders. While the FMCSA’s 2022 report underscored the need for broker bonds, the 2026 report confirmed the complete enforcement of the Broker and Freight Forwarder Financial Responsibility rule, which reached a compliance deadline on January 16. Brokers are now required to demonstrate that their $75,000 security consists of easily accessible assets.
Inaccessible Data
In its 2022 report, the FMCSA acknowledged challenges in evaluating and possibly revising minimum insurance requirements for motor carriers. The agency noted that a significant amount of vital information is inaccessible due to reasons such as confidential settlements and proprietary insurance data.
To thoroughly assess motor carrier financial responsibility needs, the FMCSA requires more detailed information from the insurance industry, including anonymized claims data at the individual level.
