Independent insurance Cost for new carriers

This is one way the independents and small companies could be forced out of business. Larger companies are self insured and don't have to deal with insurance companies.

 

With that much experience you should not be going with Progressive. Northland or any of the other big companies instead.

 

No sir. Not 20 years. Over 20 years AGO.

 

I was talking to my partner about self insuring and the effect it has on the industry. Our insurance typically costs us .20-.25 cpm depending on the miles we drive. If the amount of claims going in and out is a wash for those companies who self insure, they can undercut rates by that amount. They also don't get the rate shock that any new carrier gets from hiring inexperienced drivers.

There also is very little shopping around. Only certain companies are insuring new entrants, creating a virtual monopoly. Progressive gave us a quote in September for $9000 if we paid it up front, but by the time we bought a truck in November they had stopped insuring new entrants. Apparently they're back to it now, at a 300% markup.

I'd much rather see a level playing field across the board than certain rules tailored to create a much larger gap between the haves and the have nots.

 

But..but...but ELDs are supposed to "level the playing field" of the industry.

 

Sorry about the mix up. One of the problems with conversation in a forum is one can tend to get out of turn....


It isn't ideal, but it's also not discouraging and it's actually satisfying that all the saving you did makes the conversation more than just academic. If I hadn't laid back a considerable amount before even entering this arena, it would just be too much.

I always wonder, though. If it's like this for me? Where do all these other folks that are running on a shoestring getting the startup from? How are they managing to fork out the dollars and still look at the venture as profitable?

Then I realize, I don't care about that. I just focus on what I'm doing and making it work. I look forward to reductions as I move forward and plan on staying around. If it wasn't for looking at the long term, it would be a bad business decision.

Anyway, I'll also update why I find on the subject. I am into 3 or 4 other companies for quotes so far. I am also waiting to shop OOIDA until last. See if that membership money really does what they suggest or say it does.

All the best, Red.

 

Seems you should use your degree in another field if youre paying 60k.

 

You must have some very high paying freight. Also must run like a mad dog.