DEFINITIONS AND INSURANCE REQUIREMENTS FOR ICC/FHWA
A person or entity that arranges for the truck transportation of cargo belonging to others, utilizing authorized for-hire carriers to provide the actual truck transportation. The forwarder does assume responsibility for the cargo from origin to destination and usually does take possession of the cargo at some point during transportation.
Forwarders typically assemble and consolidate less than truckload (LTL) shipments into truckload shipments at origin and disassemble and deliver LTL shipments at destination. Process agents must be on file and Insurance requirements are the same as for common carrier unless forwarder seeks a waiver of liability insurance requirements.