What do brokers ask for?

As common as the 1M/100k limits are in the market, it's surprising to see LS go that length to work with carriers. Maybe a relic from the days where 100k cargo limits were less common? Most brokers just require 100k period. Either you have it or you don't load them. Good for LS.

The request to be "named insured" (versus "certificate holder," ie, certificate issued with your company name on it) seems to be wishful thinking by the brokers that ask it for the most part. Named insured will affect your premium and make your customer an interested party on your policy. It's good for them so they ask for it. I have always only supplied a certificate naming the customer regardless of what they asked for and not one has balked at it.

About the only time I'd consider adding a named insured would be on a large contract, especially where there might be some equipment interchange and whatnot. In that case it might be in my interest to do it that way, and the premium impact would certainly be considered in my rates. In any event, when I've had a customer make me an offer that goes outside the usual, I always consult with my insurance agent to CYA.

 

I carry $1mil/100k.
LS told me they want $1mil cargo and that's where the $1.75/run comes in if you opt not to carry that high amount.

This is not for liability.....I have more than enough of that and $100k cargo covers just about anything I haul...

 

Don't feed the Trolls GDr... I was curious about it too, but you explained it and that's enough for me. Now as far as being the named insured, I don't believe Landstar wants that. I believe they just want a certificate saying they are a holder which is exactly what OOIDA is saying.

 

I don't know what to tell you brother other than you either misunderstood them, or someone at the glass palace mispoke. I set carriers up several times a week. The only thing I could ever imagine you needing that much on is if you were contracted to haul HRHV or only did major oversize projects for us.

 

Well, IIRC now with CSA should there be an accident the victim, innocent or not, can not only go after the carrier and the driver, but the broker/shipper as well if it can be proven they did not do their due diligence when screening the carrier before providing the load. If the broker is a named insured on the carriers insurance any suit filed against the broker will go on the carriers insurance since the broker is named on it...this basically shields the broker from any responsibility. Most reputable brokers are happy with being a certificate holder because they did their due diligence checking out the carrier before hiring them to haul the load.

 

That may very well be. I just don't know enough about it to give you a clear answer. May be something I ask our folks down at Jacksonville on Monday.

 

LSAgentOZR: I have $1 mil liability and $100,000 cargo and still get charged the $1.75 fee per load for "Contingent cargo program" no matter what the cargo is valued at. As I understand it, the $1.75 fee is for LS to provide additional cargo insurance from $100K-$1-mil. It would be great if you could find out and clarify this for us.

 

I'll ask Monday when I get in the office. I seem to actually remember something about it, but to be honest couldn't tell ya.

 

Do i need to buy a trailer in order to get loads from the load boards or can i get by with just a tractor. thanks

 

You're severely handicapped limited without a trailer working loadboard freight. There are power only loads out there but that is not something a person with zero experience running load boards is just going to hop into and make it work. Most of the power only loads I've done have been special circumstances with special arrangements to priovide a lease trailer while mine was tied up, or pulling another carrier's trailer temporarily, and mostly with brokers we work with on a regular basis. There is "power only" stuff posted it is just few and far between meaning it better have extraordinary rates, as with most spot freight, good luck with that. There are guys on here leased to companies that do this exclusively but the rates are pathetic, there is even one I know of with his own authpority who does power only but this is someone with years of experience and a customer base...