$300 is your GOOD CREDIT PRICE for a Freight Forwarder – Federal Maritime Commission Bond – $50,000.
The Ocean Freight Forwarder Bond, also known as an OFF Bond, is required by all those engaged as Ocean Transportation Intermediaries (OTI’s) and guarantees compliance with the Ocean Shipping Reform Act.
The function of an Ocean Freight Forwarder is to assume legal possession of a shipper’s cargo and moves it from one location to another.
The Federal Maritime Commission (FMC) is the agency responsible for licensing and monitoring of all ocean-based shipping, and regulates maritime shipping and commerce between U.S. organizations and foreign countries. Ocean Transportation Intermediaries (OTIs) are required to provide proof of financial security in the form of an FMC-48 surety bond to the FMC. This guarantees compliance with Section 19 of the Shipping Act (46 U.S.C. 40901-40904) and the rules and regulations of the FMC.
OTIs cannot operate without active acceptable proof of financial responsibility.
The Federal Maritime Commission Ocean Freight Forwarder (OFF) Bond is in place to assure that payments for damages against the Ocean Freight Forwarder arising from transportation related activities. This Federal Maritime Commission Ocean Freight Forwarder (OFF) Bond also serves as a guarantee that any fines levied by the Federal Maritime Commission are financially backed with a bond.
Currently, an Ocean Freight Forwarder is required to execute a $50,000 OFF Bond. If there are several Ocean Freight Forwarder branches domestically, each one of the branches will add $10,000 to the Official Freight Forwarder Bond total.
This Federal Maritime Commission Ocean Freight Forwarder (OFF) Bond requires underwriting and we offer a 24 hour free approval process for your OFF Bond.