TL;DR: Alabama for-hire intrastate carriers need authority from the Alabama Public Service Commission, held up by insurer-filed Form E liability at 100/300/50 and Form H cargo at $5,000. Interstate carriers follow federal tiers with FMCSA filings. Workers comp applies at five or more employees; brokers require $1,000,000 regardless.
Which rules apply to trucking in Alabama?
Two layers, familiar in shape. Interstate freight follows the federal scheme: FMCSA operating authority, liability at the 49 CFR 387.9 tiers, insurer-filed BMC certificates, and the MCS-90 endorsement. Intrastate for-hire freight, loads that start and end inside Alabama, runs on state authority from the Alabama Public Service Commission under the Alabama Motor Carrier Act, with the state's own insurance filings made under Alabama Administrative Code chapter 770-X-10. Private carriers hauling their own goods sit outside the APSC authority system, though safety and registration rules still reach them.
Who needs APSC operating authority?
Carriers hauling property for compensation between Alabama points: common carriers receive certificates and contract carriers receive permits, with an application fee of $100 and per-vehicle registration through the Commission's Form B-2 at $6 per vehicle. Authority is issued and kept only while proof of insurance stays on file, which makes the insurance filing the working heart of the system, exactly as it is federally.
How much insurance does Alabama require?
| Requirement | Amount |
|---|---|
| Bodily injury liability, per person | $100,000 |
| Bodily injury liability, per accident | $300,000 |
| Property damage liability | $50,000 |
| Cargo insurance, intrastate property carriers | $5,000 |
| Interstate general freight | $750,000 federal floor |
| Hazmat | $1,000,000 or $5,000,000 federal tiers |
The state floors are filing minimums from an earlier era. Brokers and shippers require $1,000,000 liability and $100,000 cargo before tendering freight, so working Alabama carriers file policies far above the floors, and the same policy typically backs any federal filing too.
How do the filings work?
Through the insurance company, exclusively. Liability proof goes to the APSC on the uniform Form E and cargo proof on Form H, transmitted by the insurer, and authority lapses when filings die. The mechanics mirror the federal system: carriers cannot file their own certificates, name matching matters, and replacement coverage needs to post before old coverage cancels. Interstate carriers maintain the FMCSA filing and MCS-90 in parallel.
What about workers comp and injury coverage?
Alabama requires workers compensation from employers with five or more employees, one of the higher thresholds in the country, under Ala. Code title 25 chapter 5, regulated by the Alabama Department of Labor. Smaller operations fall outside the mandate but still face the underlying injury exposure, which is why occupational accident coverage is common in owner-operator leases. Alabama is an at-fault tort state with no PIP layer, so injury claims against a carrier proceed against its liability limits.
Where can Alabama requirements be verified?
The APSC's Transportation Division for authority and filing rules, with the administrative code chapter 770-X-10 publicly available. The Alabama Department of Insurance for policy and insurer questions at (334) 269-3550. FMCSA for the federal layer. And the Alabama Department of Labor's Workers' Compensation Division for coverage thresholds and elections.
Real questions Alabama owner-operators and fleet managers ask
Does Alabama require intrastate operating authority?
Yes. For-hire property carriers operating between Alabama points need a certificate or permit from the Alabama Public Service Commission, with a $100 application fee, per-vehicle registration, and insurer-filed proof of insurance that must stay continuous for the authority to survive.
What are Alabama's minimum trucking insurance limits?
For intrastate authority: $100,000 per person and $300,000 per accident bodily injury, $50,000 property damage, and $5,000 cargo, filed as Form E and Form H by the insurance company. Interstate operations follow the federal tiers, with a $750,000 floor for general freight.
Who files the Form E and Form H in Alabama?
Only the insurance company, under the APSC's rules in Alabama Administrative Code chapter 770-X-10. Carriers and agents cannot file them. Authority stays valid only while the filings remain active, so replacements belong on file before old coverage cancels.
When does an Alabama trucking company need workers comp?
At five or more employees, a higher threshold than most states. Below five, coverage is not mandated, though the injury exposure remains and occupational accident coverage is common in leases. The Alabama Department of Labor administers the system.
Are Alabama's state minimums enough to book freight?
No. The 100/300/50 floors satisfy the APSC filing and nothing else; broker packets require $1,000,000 liability and $100,000 cargo. The state minimums decide whether authority issues, and the market numbers decide whether loads move.
Can Morrow write trucking insurance in Alabama?
Not directly today. Morrow is the brand name of Afthonea Inc, licensed in Massachusetts, Florida, California, New York, Pennsylvania, Oregon, and Texas. If your trucking company is based in Alabama, we can refer you to a licensed Alabama agent, and this guide still shows you exactly what to ask that agent for. Everything above comes from public Alabama and federal sources, not from us selling you a policy.
Related Alabama trucking guides
The other Alabama trucking questions, answered the same way.
- Trucking insurance in Alabama (start here)
- Trucking insurance requirements
- Intrastate authority and filings
- Minimum liability limits for trucks
- Cost of trucking insurance
- Business insurance in Alabama
- Federal minimum liability limits by commodity
- What is an MCS-90 endorsement?
- Federal minimum liability limits by commodity
- Trucking and transportation insurance overview
This guide is general information, not legal, tax, or insurance advice. Limits, forms, and deadlines change, so verify current requirements with the Alabama Public Service Commission and the Alabama Department of Insurance before you rely on them. Morrow is a brand name of Afthonea Inc. Last updated: July 2026.