Household Goods Carrier: Registration, Estimates, and Claims

A household goods carrier is a federally registered moving company that transports personal belongings from one residence to another across state lines, and its work is tightly governed by the Federal Motor Carrier Safety Administration. Federal law defines the category narrowly and attaches a long list of licensing, insurance, paperwork, and consumer-protection obligations that any legitimate mover must meet before it puts a single box on a truck.

What Counts as a Household Goods Carrier

Under 49 U.S.C. § 13102, “household goods” are personal effects and property used or intended for use in a dwelling, as long as the move is arranged or paid for by the person living there or by someone on their behalf.¹ A household goods motor carrier is one that, in the ordinary course of business, offers services tied to that kind of move: binding and non-binding estimates, inventorying, protective packing and unpacking at personal residences, and loading and unloading at personal residences.

One boundary matters for anyone comparing a moving company to a delivery service. Goods shipped directly from a factory or retail store to a home generally sit outside these rules. The exception is narrow: if a homeowner buys something intended for use in the dwelling and personally arranges and pays the carrier for the delivery, the shipment falls back inside the household goods framework.¹

Federal Registrations a Legitimate Mover Must Hold

No company can lawfully perform interstate residential moves without two federal registrations. The first is a USDOT number, the unique identifier FMCSA uses to track safety records and inspections.² The second is Operating Authority, usually called an MC number. FMCSA charges a one-time, non-refundable fee of $300 per authority type.³

Carriers must also file Form BOC-3, which designates a process agent in every state where the carrier operates or travels. Each agent has to physically reside in the designated state, and a P.O. box does not count. Only one completed BOC-3 can be on file at a time, and it must cover every required state.⁴

Interstate moves fall under federal jurisdiction. Moves that stay inside a single state are regulated separately by that state’s public utility commission or transportation department, which typically imposes its own permits and background checks.

The stakes for skipping registration are heavy. Providing household goods transportation without being registered carries a minimum civil penalty of $25,000 per violation.⁵ Before hiring anyone, check both the USDOT and MC numbers on FMCSA’s website.

Carrier or Broker: Why It Matters Who You Hire

A moving broker is not a mover. Brokers book moves and then hand them off to actual carriers for the physical transportation. They do not load trucks, drive shipments, or take responsibility for your belongings in transit.⁶ When something goes wrong on the road, the broker’s liability is far more limited than the carrier’s.

Brokers have their own disclosure rules. Their advertisements must include a physical business address, an MC number, and a clear statement that they are a broker and do not transport household goods themselves. They must give customers a list of the moving companies they use and maintain written agreements with those carriers. Any estimate a broker provides must be based on the tariff of the carrier that will actually perform the move.⁶ If the company you are talking to will not tell you clearly which side of that line it sits on, treat that as a warning.

The Paperwork You Should Receive

Written Estimate

Before executing a bill of lading, the carrier must give you a written estimate of the total charges, clearly identified as either binding or non-binding.⁷ A binding estimate locks in the total cost based on the items and services listed. A non-binding estimate is the carrier’s best guess based on estimated weight or volume; the final price will be based on the actual weight of the shipment. Carriers may charge for a binding estimate but not for a non-binding one.

The difference shows up at delivery. Under a non-binding estimate, the carrier cannot demand more than 110 percent of the estimated amount before releasing the shipment. Any remaining balance must be billed separately, and the carrier must allow at least 30 days to pay.⁸

Bill of Lading and Inventory

The bill of lading is both the receipt and the contract for your move. A copy must travel with the shipment at all times while it is in the carrier’s possession.² It must include the carrier’s legal or trade name and physical address, USDOT numbers for all participating carriers, your contact information, agreed pickup and delivery dates, payment terms, the valuation statement, and a description of any special services ordered.⁹

Carriers must also prepare a written, itemized inventory recording the condition of every item loaded. Both the inventory and the bill of lading must be kept for at least one year from their creation date.² Keep your own copies.

Federal Booklets

Along with the estimate, the carrier must provide two federal publications: the “Your Rights and Responsibilities When You Move” booklet (or a link to it on the FMCSA website) and the “Ready to Move” brochure.¹⁰¹¹ Before executing the bill of lading, the carrier must also give you a summary of its arbitration program.

Insurance and How Much the Carrier Owes You for Damage

Under 49 CFR Part 387, a for-hire property carrier operating vehicles with a gross vehicle weight rating above 10,001 pounds must maintain at least $750,000 in public liability insurance covering bodily injury and property damage.¹² That covers accidents on the road; it is separate from what the carrier owes for your belongings.

For the cargo itself, federal law requires carriers to offer two tiers of protection. Released Value Protection is the default, no-cost option. It caps the carrier’s liability at 60 cents per pound per article.¹³ A 50-pound flat-screen television worth $1,500 would net you $30 under released value.

Full Value Protection makes the carrier liable for the replacement value of lost, damaged, or destroyed items, up to the declared value of the shipment. You must waive Full Value Protection in writing before the carrier can apply released-value rates.¹⁴ The carrier can charge a deductible or extra fee for Full Value Protection, and your choice must appear on the bill of lading.

High-value items get special treatment. For articles of extraordinary value, defined as items worth more than $100 per pound (jewelry, furs, antiques, fine china), the carrier’s liability can drop to $100 per pound unless you specifically list those items on the shipping documents.² Disclose them in writing before the move.

Your Right to Watch the Weighing

Because charges under a non-binding estimate depend on actual weight, weighing is a common flashpoint. Federal regulations give you the right to observe every weighing of your shipment. The carrier must tell you where and when each weighing will happen and give you a reasonable opportunity to be present.¹⁵ Carriers typically weigh the truck empty (tare weight) and again after loading (gross weight); the difference is your shipment weight. If the final weight looks inflated, you can request a reweigh at no cost.

Hostage Loads and the 110 Percent Rule

The most alarming moving scam involves a carrier that loads your belongings and then demands payment far above the estimate before releasing them. Federal law addresses this directly. Under a non-binding estimate, the carrier must hand over the shipment once you pay 110 percent of the original estimate plus 15 percent of any applicable charges for unexpected complications like stairs or long carries. Refusing to release the goods after that payment is a federal offense.⁸

A carrier that holds a shipment hostage faces a minimum civil penalty of $10,000 per violation, and each day of refusal counts as a separate violation. Criminal prosecution can lead to fines under Title 18 and up to two years of imprisonment. FMCSA can suspend the carrier’s registration for 12 to 36 months, and the suspension extends to any affiliated carrier or broker under the same ownership.¹⁶

If you are in a hostage situation, file a complaint with FMCSA’s National Consumer Complaint Database online or by calling 1-888-DOT-SAFT (1-888-368-7238), Monday through Friday, 8:00 AM to 8:00 PM Eastern Time. Have your bill of lading number and written estimate ready.¹⁷

Filing a Claim for Loss or Damage

Federal law prohibits a carrier from setting a claim window shorter than nine months from delivery. You have at least that long to submit a written claim for loss or damage. The minimum period for bringing a civil action is two years, starting from the date the carrier gives you written notice that it has denied any part of your claim.¹⁴

Once the carrier receives your written claim, it must acknowledge receipt in writing within 30 days unless it has already paid or denied the claim.¹⁸ From there, the carrier has 120 days from receipt of the claim to pay it, deny it, or make a firm compromise offer in writing. If it cannot resolve the claim within 120 days, it must send you a written status update explaining the delay and continue updating you every 60 days until the claim is resolved.¹⁹

Arbitration as an Alternative to Court

Every carrier must maintain an arbitration program and give you a summary of it before executing the bill of lading.¹⁰ For disputes involving $10,000 or less, arbitration is binding on both sides if you request it. For claims above $10,000, arbitration is binding only if the carrier agrees to participate. The arbitrator must issue a decision within 60 days of receiving the dispute, though that deadline can be extended if either side fails to provide requested information on time.²⁰

Arbitration is usually faster and cheaper than a lawsuit, but once you agree to binding arbitration and a decision is rendered, your ability to challenge the outcome in court is very limited. Weigh the size of your claim and the strength of your documentation before choosing that route.

1
Office of the Law Revision Counsel. 49 U.S.C. 13102 – Definitions
2
eCFR. 49 CFR Part 375 – Transportation of Household Goods in Interstate Commerce; Consumer Protection Regulations
3
Federal Motor Carrier Safety Administration. What Is the Cost for Obtaining Operating Authority (MC/FF/MX Number)?
4
Federal Motor Carrier Safety Administration. Form BOC-3 – Designation of Agents for Service of Process
5
Office of the Law Revision Counsel. 49 U.S.C. 14901 – General Civil Penalties
6
Federal Motor Carrier Safety Administration. Movers vs. Brokers
7
eCFR. 49 CFR 375.401 – Estimates
8
Federal Motor Carrier Safety Administration. Your Rights and Responsibilities When You Move
9
eCFR. 49 CFR 375.505 – Bill of Lading
10
eCFR. 49 CFR 375.213 – What Information Must I Provide to a Prospective Individual Shipper?
11
Federal Motor Carrier Safety Administration. Ready to Move? Tips for a Successful Interstate Move
12
eCFR. 49 CFR Part 387 – Minimum Levels of Financial Responsibility for Motor Carriers
13
eCFR. 49 CFR 375.303 – If I Sell Liability Insurance Coverage, What Must I Do?
14
Office of the Law Revision Counsel. 49 U.S.C. 14706 – Liability of Carriers Under Receipts and Bills of Lading
15
eCFR. 49 CFR 375.513 – Must I Give the Individual Shipper an Opportunity to Observe the Weighing?
16
Office of the Law Revision Counsel. 49 U.S.C. 14915 – Penalties for Failure to Give Up Possession of Household Goods
17
Federal Motor Carrier Safety Administration. National Consumer Complaint Database FAQs
18
eCFR. 49 CFR 370.5 – Acknowledgment of Claims
19
eCFR. 49 CFR 370.9 – Disposition of Claims
20
GovInfo. 49 U.S.C. 14708 – Dispute Settlement Program for Household Goods Carriers