Same coverage?

[Bond Magician]

Is the BMC-84 (Surety Bond) and the BMC-85 (Trust Fund) the same thing? How do they differ? Is one a better option than the other?

[Surety Queen]

Originally Posted by Bond Magician

Is the BMC-84 (Surety Bond) and the BMC-85 (Trust Fund) the same thing? How do they differ? Is one a better option than the other?

As far as FMCSA is concerned, both options satisfy their requirements. The Trust Fund is generally written for companies who do not qualify for the bond because it will ultimately require that you post the full $10,000 as collateral. In a perfect world, when the bond is written, it's done so without collateral required. Everyone has different circumstances so it's hard to say which is the better option. Best for you to have a discussion with a bond specialist and a trust fund specialist to see which option works best for you.

[don jipping]

Thru the end of March 2008, over 850 new brokers filed with the FMCSA. Of these, 270 used the 84 & 585 used the 85.

Don

[Admin]

Great fact Don! It really speaks to how difficult the bond has become to place for most agencies.


Fortunately, our agents still have markets for it!

[h2o]

Originally Posted by don jipping

Thru the end of March 2008, over 850 new brokers filed with the FMCSA. Of these, 270 used the 84 & 585 used the 85.

Don

Why do you think more brokers end up going with the BMC-85?

[Surety Queen]

Originally Posted by h2o

Why do you think more brokers end up going with the BMC-85?

Most likely because they do not qualify for the bond (BMC-84). We do have a couple of good markets for the bond if you have good personal credit so feel free to submit an application on our website to see if you qualify.