Jeff Brown

May 18, 2023
May 18, 2023
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What are Department of Defense (DOD) Performance Bonds?

If you’re involved in government contracting, specifically with the Department of Defense (DOD), you may have come across the term “performance bonds.” In this article, we’ll explore the basics of DOD performance bonds, their purpose, and how they function in the trucking industry. What does a DOD bond guarantee?   The Performance Bond secures performance and fulfillment of carrier obligations to deliver DOD freight.  It will cover any instance where a carrier cannot or will not deliver DOD freight tendered to them.  This includes default, abandonment, shipments, and bankruptcy by the carrier. The bond will not be utilized for operational problems, such as late pick-up/delivery, excessive transit times, refusals, no-show, improper/inadequate equipment, payment of subcontractors for claims or loss, or damaged cargo. What is a DOD Performance Bond? A DOD performance bond is a type of surety bond that guarantees the successful completion of a contract between a motor carrier […]
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May 2, 2023
May 2, 2023
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The Benefits of Working with a Trusted Commercial Surety Bond Provider

A commercial surety bond is a legal contract that provides financial protection to one party in the event that the other party fails to fulfill its obligations. If you are in need of a commercial surety bond, it is important to work with a provider that you can trust. Here are some of the benefits of working with a trusted commercial surety bond provider. What is a Commercial Surety Bond? Before we dive into the benefits of working with a trusted provider, let’s first understand what a commercial surety bond is. A commercial surety bond is a three-party agreement that involves the principal (the party that needs the bond), the obligee (the party that requires the bond), and the surety (the provider of the bond). The bond ensures that the principal will fulfill its obligations as outlined in the contract. Benefits of Working with a Trusted Commercial Surety Bond Provider […]
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March 16, 2023
March 16, 2023
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Commercial Surety Bonds: What You Need to Know

Commercial surety bonds can be a bit of a mystery to those who are unfamiliar with them. However, they are an essential tool for many businesses, providing a valuable layer of protection against financial losses and other risks. In this blog post, we’ll provide an overview of the basics of commercial surety bonds, including what they are, why they matter, and how they work. What are commercial surety bonds? A commercial surety bond is a contract between three parties: the principal (the business or individual that needs the bond), the obligee (the entity that requires the bond), and the surety (the company that issues the bond). The bond serves as a guarantee that the principal will fulfill their obligations according to the terms of the bond. Why are commercial surety bonds important? Commercial surety bonds are important because they help to ensure that businesses fulfill their obligations and responsibilities. For […]
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February 27, 2023
February 27, 2023
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Best Practices: Protect Your Business by Properly Vetting Your Motor Carriers

As a transportation industry freight broker, it’s crucial to properly vet your motor carriers. At PFA Transportation Insurance & Surety Services, we have a dedicated Claims Department that has firsthand knowledge of the pitfalls associated with hiring motor carriers without appropriate vetting. This includes claims where carrier lacks proper authority or sufficient insurance. The Importance of Proper Vetting for Freight Brokers Failing to conduct due diligence before tendering a load can expose your business to liabilities that could have been avoided. Negligent hiring or entrustment claims can hold you responsible for damages caused by a carrier you hired. To mitigate these risks, we recommend that freight brokers develop and maintain carrier qualification procedures and document them thoroughly. Steps to Take Before Tendering Freight to a Carrier By following these best practices, you can protect your business from costly liabilities and ensure that you are conducting business with reputable and qualified […]
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December 13, 2022
December 13, 2022
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Distinguishing Brokers or Bonafide Agents

Going into 2023, dispatchers will have more guidance from the Federal Motor Carrier Safety Administration about whether they could or should refer to themselves as brokers or bona fide agents. This topic and these definitions have been murky over the last few years, which is why the agency has tried to clarify matters as well as seek public comment from members of the industry about what they think. Interim Guidance Published in the Federal Register In late November, the FMCSA published interim guidance in the Federal Register which fills in some, but not all, of the current gray areas related to broker-bonding and similar regulations in the industry. Additional guidance is expected next year, based on feedback from the November updates. The agency has been collecting comments throughout 2022 and will continue to accept them until Jan. 17th. Infrastructure Investment and Jobs Acts The involvement from the agency on this […]
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December 13, 2022
December 13, 2022
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Amazon Relay – Insurance Requirements

Are you looking to broker freight for Amazon? Consider learning more about Amazon Relay, enabling carriers to tap into its network and technology to grow transportation businesses. Being part of Amazon Relay side of operations allow some carriers some degree. Participants are required to access the Amazon Relay mobile app, which gives details about the status of their current loads, any delays on the road, plus general navigation focused on tractor-trailers. Amazon Relay Program Because the Amazon brand is all about quality and speed, the Amazon Relay program makes sure that all carriers hauling Amazon-owned trailers have high levels of safety and performance, starting with compliance with various safety, Department of Transportation, and other insurance requirements. Drivers also must focus on being on time and being consistent about it.  They can also monitor their progress over time in order to hopefully increase their performance. Amazon Relay Requirements The following conditions […]
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December 9, 2022
December 9, 2022
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Special Errors & Omissions Insurance

It’s that crazy time of year again: Tax season. With the tax deadline getting closer and closer, it’s both the busiest time of the year for most accountants, CPAs, and other tax practitioners and the time of year when your clients rely most heavily on your professionalism, knowledge, and due diligence. Yet it’s also the time of year when mistakes can happen. When they do, it can be costly for you and your business. That’s why we’re here to help you protect your business and ensure your success. The team at PFA now offers special Errors and Omissions Insurance for Tax Preparers. It’s a coverage that we strongly recommend that you purchase for your business, to give you the peace of mind that you won’t be putting your hard-earned fees and profits at risk. Having this insurance is also a stress-buster for your practice since claims and lawsuits against tax […]
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May 2, 2022
May 2, 2022
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Supporting the Surface Deployment and Distribution Command (SDDC) of the DOD

ATTENTION: TRANSPORTATION SERVICE PROVIDERS! You have an important opportunity to support the Surface Deployment and Distribution Command (SDDC), a wing of the United States military and the Department of Defense (DoD). All that you need to do to be eligible is comply with DoD requirements and the new business could be yours. In order to transport military freight, all motor carriers, freight brokers and freight forwarders are required to have DoD performance bonds. DOD Performance Bonds It could be a tremendous new revenue opportunity and the team here at PFA Transportation Insurance & Surety Services can help set you up for success. The DoD performance bond amount is set at a flat rate of $100,000 for freight brokers and freight forwarders. Bonds for motor carriers are based on the size of your company and how many states you serve. For most freight carriers, a bond in the amount of $25,000 […]
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January 3, 2022
January 3, 2022
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Roadmap to Success – Why not make this the year to market yourself to more shippers?

Very few businesses can grow – let alone sustain themselves – without being well-organized and well-structured to achieve your priorities in any given year. Strategic and tactical planning have never been more important as they are going into 2022. Being organized is the key to planning to do some new things in 2022. And now’s the time to consider those new twists for the new year. Sometimes, even a small shift can mean new business. You’ve probably been thinking about a few new opportunities over the last few months; now is the time to get serious and make them happen. A prominent question on the minds of many freight brokers is a simple one: What can increase business? PFA Transportation Insurance & Surety Services is always exploring this key question for many freight brokers: “How can I make my company more desirable to Shippers?” One of the primary protections for […]
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January 3, 2022
January 3, 2022
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Fueling Up – Planning to Make the Most of the New Year

It’s a common refrain at PFA, as it is among many leading businesses both within and outside the transportation sector: The end of one year and the start of the next is always a good time to take stock of where you’re at in business. It’s particularly important coming out of the wild year that we’ve just been through and in preparing for economic uncertainty that lies ahead. The old axiom that failing to plan is planning to fail is embraced by so many simply because they see what happens when organizations don’t spend enough time planning for the mid and long terms. Planning has only become more important in recent years because so many industries are changing rapidly and not enough of the companies within those sectors are keeping their eyes on the early adopters and change agents. Given what’s going on in the U.S. and around the world, […]
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