Key Takeaways
Yes. California requires commercial truck insurance for all intrastate hauling operations with vehicles rated at 10,000 lbs GVWR or more. Many operators mistakenly believe that staying within state borders exempts them from insurance requirements or Motor Carrier Permits; this is false. California law mandates $750,000 minimum liability coverage for trucks over 10,000 lbs GVWR, regardless of whether you cross state lines. Intrastate-only carriers must obtain a California Motor Carrier Permit (MCP) from the DMV and maintain continuous proof of insurance through an MC 65 M filing. The penalties for non-compliance are severe: immediate out-of-service orders, substantial fines, permit suspension, and personal liability for any accident damages.
For California trucking operations, "local" does not mean "exempt." Whether you haul freight between Los Angeles and San Francisco or run deliveries within a single county, the same state insurance minimums apply. Understanding the specific CA DOT trucking insurance requirements for intrastate operations protects your business, keeps you legal, and prevents costly disruptions.
Intrastate commerce means all pickup, transport, and delivery occur entirely within California's borders, with no state line crossings. Interstate commerce involves crossing state lines or being part of a shipment's interstate movement, even if your specific haul stays in California. This distinction determines which regulatory body governs your intrastate trucking insurance California requirements and what forms you must file.
Intrastate operations fall under California DMV jurisdiction and require MC 65 M filings. Interstate operations trigger federal FMCSA oversight, requiring BMC-91/BMC-91X filings plus the MCS-90 endorsement. The difference affects not just your paperwork, but your minimum coverage amounts, regulatory audits, and enforcement agencies.
Both for-hire and private carriers need a California Motor Carrier Permit (MCP) when operating vehicles with a GVWR exceeding 10,000 lbs intrastate. For-hire carriers transport goods for compensation, freight haulers, delivery services, and contract carriers. Private carriers use their own trucks to haul their own products, bakeries delivering bread, manufacturers moving inventory. The MCP requirement applies equally to both.
Many private carriers incorrectly assume they're exempt because they don't charge for transportation. California law makes no such exemption. If your truck's GVWR exceeds 10,000 lbs and you operate commercially within the state, you need an MCP and corresponding owner-operator intrastate insurance regardless of carrier type.
Critical Fact: Both for-hire and private carriers with GVWR 10,000+ lbs need MCP and the same $750,000 insurance minimums, no exemption exists for private use.
California requires a minimum of $750,000 combined single limit (CSL) liability insurance for all trucks with a GVWR over 10,000 lbs operating intrastate. Vehicles under 10,000 lbs need a $300,000 CSL if they fall under MCP requirements. Your insurance company files the MC 65 M certificate directly with the California DMV; operators cannot file this themselves. This commercial truck liability California coverage must remain continuous; any lapse triggers automatic MCP suspension and vehicle registration holds.
California accepts only the MC-65 M certificate filed electronically by your insurance carrier directly to the DMV. You cannot file this yourself; your insurer must be authorized to write commercial truck coverage in California and must submit the form through the DMV's electronic filing system. The MC 65 M certifies your policy meets minimum coverage requirements and links to your specific Motor Carrier Permit number. Common filing errors cause automatic rejection, delaying your MCP issuance or renewal and preventing legal operation.
Critical Fact: Insurers must file cancellation notices 35 days in advance. If no replacement MC 65 M is received before cancellation takes effect, the DMV automatically suspends your MCP and vehicle registration.
| Category | FMCSA (Interstate) | California (Intrastate) |
| Authority/Permit | USDOT/MC Number | Motor Carrier Permit (MCP) + CA# |
| Liability filing | BMC-91/BMC-91X | MC 65 M |
| MCS-90 endorsement | Required for for-hire | Not required for intrastate-only |
| Workers' comp | Not federally mandated | Required for all CA employers |
Federal preemption applies when state and federal laws conflict, federal rules supersede. However, interstate carriers operating in California must comply with both systems simultaneously: FMCSA filings for interstate authority and California MCP/MC 65 M for intrastate operations. Most interstate carriers maintain dual compliance to operate legally within California and meet California commercial auto minimums.
⚠️ WARNING: Do not dispatch any vehicle until your Motor Carrier Permit shows "active" status in the DMV system. Operating with "pending" or "suspended" MCP status results in immediate out-of-service orders, fines up to $10,000, and potential criminal charges for willful violation.
Your insurance requirements aren't static, they change based on operational shifts, equipment additions, cargo types, and geographic scope. Many carriers discover compliance gaps only after adding new services or changing business models. Understanding these triggers prevents costly coverage gaps and regulatory violations.
Even temporary changes, like hauling one hazmat load or making a single interstate delivery, can shift your entire compliance framework and require immediate policy adjustments and new regulatory filings.
| Scenario | What Changes | Action Needed |
| Owner-operator leased-on | Motor carrier provides primary liability | You still need bobtail/NTL coverage for non-dispatch periods |
| Adding hazmat (even occasionally) | Minimum jumps to $1M-$5M | Notify insurer immediately, upgrade coverage before hauling |
| Occasional interstate trips | Full FMCSA compliance required | Obtain USDOT/MC#, file BMC-91, add MCS-90 endorsement |
| Hotshot with combined GVWR 10K+ | MCP + $750K minimum triggered | Verify truck + trailer combined weight carefully |
Obtaining proper coverage requires accurate underwriting information. Insurers need VINs for all vehicles, exact GVWR specifications, detailed commodity descriptions, operating radius, driver MVRs (motor vehicle records), and five-year loss history. Incomplete or inaccurate information causes filing rejections, coverage gaps, or policy cancellations. Work with agents specializing in California motor carrier insurance who understand MC 65 M filing requirements and DMV processes.
Generic commercial insurance agents often lack the technical knowledge to properly structure truck policies for regulatory compliance.
| Source | Typical Requirement | Negotiable? |
| CA DMV (law) | $750K CSL (10K+ lbs GVWR) | No, legal minimum, non-negotiable |
| Freight brokers | $1M CSL + $100K-$250K cargo | Sometimes, ask about lower limits for specific freight types |
| Direct shippers | $1M-$2M CSL + cargo + GL | Depends on cargo value and shipper's risk tolerance |
| Coverage | Legally Required? | Why You Need It |
| $750K CSL auto liability (GVWR 10K+) | Yes | Legal minimum for MCP; covers third-party injury/damage |
| MC 65 M filing | Yes | DMV won't issue/maintain MCP without it |
| Workers' comp | Yes (if employees) | CA law for all employers; huge liability if missing |
| Cargo insurance | Only for movers ($20K) | Protects from freight loss/damage; brokers usually require $100K-$250K |
| Physical damage | No | Covers your truck; required by lenders, essential for asset protection |
| UM/UIM coverage | No | Protects you if hit by uninsured/underinsured driver |
| Bobtail/NTL (if leased-on) | No | Covers you when not under dispatch; critical gap coverage |
No. Personal policies exclude business use and cannot file MC 65 M with CA DMV. Claims will be denied.
$750,000 CSL liability, Motor Carrier Permit, MC 65 M filing, and workers' comp (if you have employees).
Call the insurer to reinstate or buy a new policy, confirm MC 65 M re-filed with DMV, verify DMV accepted filing, and MCP is active, and don't haul until confirmed.
✅ MCP status shows "active" in the CA DMV system
✅ Policy meets correct CSL tier ($750K for 10K+ lbs)
✅ MC 65 M on file with DMV (entity name and CA# match)
✅ Drivers have valid CDLs, medical cards, and drug testing enrollment
✅ Workers' comp active (if you employ drivers)
California requires commercial truck insurance for all intrastate hauling operations with vehicles rated 10,000 lbs GVWR or higher. The core requirements are clear: $750,000 minimum CSL liability coverage, a valid Motor Carrier Permit from the DMV, and an active MC 65 M filing submitted by your insurance carrier. Workers' compensation is mandatory for all employers with drivers. While cargo insurance remains optional for most carriers (except household goods movers), shippers and brokers typically require $100,000 to $250,000 in cargo coverage before tendering loads.
Understanding the difference between legal minimums and practical business requirements protects your operation. The $750,000 liability minimum satisfies DMV regulations but may not meet broker contracts or adequately protect your assets. Consider higher limits, physical damage coverage for your equipment, and UM/UIM protection against uninsured motorists.
Re-shop your coverage annually and whenever your operation changes. Adding hazardous materials, expanding the radius beyond California, switching from leased-on to your own authority, or increasing fleet size all trigger different insurance requirements and compliance obligations. Work with experienced commercial truck insurance agents who understand California motor carrier regulations and can properly structure policies to meet both legal mandates and business needs.
Don't wait until a compliance issue grounds your trucks. Get a free California truck insurance quote from SoCal Truck Insurance and ensure your coverage meets all state requirements.
