Rules and compliance
Power only insurance requirements
Updated October 2026By PowerOnlyDispatch Dispatch Desk
Coverages explained
Coverage stack for a power only carrier
A power only carrier buys the same core policies as any for-hire carrier, plus one that matters more than usual:
- Auto liability. Pays for injuries and damage you cause to others. This is the coverage the federal minimum applies to.
- Motor truck cargo. Pays for the freight inside the trailer if it is lost or damaged in your care. On a preloaded, sealed trailer you still carry the cargo risk once you sign.
- Trailer interchange or non-owned trailer physical damage. Pays for damage to the trailer itself when it belongs to someone else. This is the coverage that makes power only work.
- Physical damage on your tractor. Your own truck. Lenders usually require it.
- Others some programs require: general liability, workers compensation and employers liability, and bobtail or non-trucking liability if you are leased on.
Trailer interchange agreements
Every trailer owner you pull for will ask you to sign an interchange agreement, either per load or once for all its trailers. Read it before you sign. The parts that matter:
| Clause | What to look for |
|---|---|
| Responsibility | Usually you are responsible for damage, loss and theft from hook to drop. Some agreements exclude normal wear. |
| Inspection | How damage at pickup is recorded. If you don't report it before leaving, it may be treated as yours. |
| Return and per diem | When the trailer must be dropped and what a late return costs per day. |
| Insurance | The coverage type and limit the owner requires, and whether it must be named on your certificate. |
| Indemnity | Whether you also cover claims from third parties involving the trailer. |
Then check that your policy actually responds to what you signed. If an agreement requires trailer interchange coverage and you only carry a narrow non-owned trailer form, a claim can land on you personally. Send each new agreement to your agent.
Federal minimums
For interstate for-hire carriers of general freight in vehicles rated 10,001 lb or more, the federal minimum public liability is $750,000 (49 CFR 387.9, current eCFR text, checked October 2026). Hazardous materials carry higher minimums under the same section.
Cargo is different. The federal cargo security rules in 49 CFR 387.303(c) are written for household goods carriers. General freight carriers aren't required by that section to carry cargo coverage, but brokers and programs almost always require it.
What programs often ask for
Programs and brokers set their own limits above the federal floor. From their own published pages (checked October 2026):
| Program | Published requirement |
|---|---|
| Amazon Relay | $1,000,000 auto liability with $50,000 trailer replacement; $100,000 cargo; $1,000,000 / $2,000,000 general liability; $50,000 trailer interchange for semi carriers; workers comp where required |
| J.B. Hunt | Carriers must meet federal minimums; some business units or load types add supplemental requirements |
Many brokers ask for $1,000,000 in auto liability and around $100,000 in cargo, but check each one. Requirements change, and some lanes or commodities carry higher limits. Our guide to power only carrier programs covers how programs approve carriers.
Cost and how it affects your rate
Insurance is one of the largest fixed costs for a power only carrier, and it is priced on your experience, authority age, driving records, equipment and where you run. Newer authorities usually pay more. Build the monthly premium into your cost per mile before you set a minimum rate; our guide to power only rates per mile shows how.
If you are new to how power only works overall, start with what is power only trucking. Running more than one truck? See power only fleet dispatch for how we run multi-truck operations.
We are a dispatch service, not an insurance agency, and this is not insurance advice. What we do is keep your certificates current with every broker and program and flag interchange terms on each rate con before you accept. See what that service costs you with the power only dispatch fee calculator, or read about our power only dispatch service.
FAQ
What is a trailer interchange agreement in trucking?
It is a contract between the trailer owner and the carrier pulling the trailer. It says who is responsible for damage, loss and theft while the trailer is in the carrier's care, when it must be returned, and any daily charges. In power only, it usually puts that responsibility on the carrier.
What is the difference between trailer interchange and non-owned trailer coverage?
Both cover physical damage to a trailer you don't own. Trailer interchange coverage is usually written to respond when you have a signed interchange agreement; non-owned trailer coverage can apply more broadly. Policies differ, so ask your agent which one matches the agreements you sign.
Is cargo insurance federally required for power only carriers?
Federal cargo security rules in 49 CFR 387.303(c) apply to household goods carriers, not general freight. But nearly every broker and program requires cargo coverage, often $100,000, so in practice you need it.
How much trailer interchange coverage do programs ask for?
It varies by program and trailer type. Amazon Relay, for example, publishes $50,000 in trailer interchange coverage for semi carriers. Check each program's current requirements and each agreement's terms.
Sources
Checked October 2026. Official pages first; company facts only from each company's own site.
- 49 CFR 387.9, minimum levels of financial responsibility ($750,000 general freight)
- 49 CFR 387.303, security for the protection of the public: minimum limits (cargo rules for household goods carriers)
- Amazon Relay, Get started (carrier requirements)
- Amazon Relay blog, Understanding Amazon Relay insurance requirements (February 13, 2026)
- J.B. Hunt, commercial motor vehicle insurance requirements for carriers
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