If they charge 15% for their authority what should they offer in return?

Why do you guys think that when you lease onto a carrier, they need to cover the plates and insurance?

That's your problem and 15% seems high but then it depends on who is getting the work and how much money you are making. Sub-par $2 is not good to me.

 

I wouldn't pay 15% period. Nor would I lease to anyone that bought my plates. Reason being is if you decide to leave you have no plates and no insurance to leave on. However if you are leased to them running under their DOT numbers you have to use their liability insurance, so something doesn't smell right.
I'm not a fan on being at the mercy on any company. Just my 2 cents worth.

 

I'm scratching my head here, you want them to pay for your plates? I'm currently leased to a carrier out of Detroit, and have had my own authority with 5 trucks in the past. I buy my own plates, pay my own 2290, bobtail and IFTA. I would not have it any other way. If things go south, I can pick up and leave without any issues. And those rates you are getting are pretty low...

 

Freight?

 

Nightwind is on the right track l think. Like he says under their authority they provide liability insurance. They usually pay for that in the % they take. You provide your own bobtail/truck ins. When l worked for a US company it was 2% of the value of the truck. If they're telling you it has to be 4 grand for bobtail/truck it sounds like they're skimming off that for more money to them. Companies buying plates and then the o/o paying them back are common up here because a lot of o/o don't have the money to pay for the plates up front. It can be a racket too because companies can overcharge and skim off that too.
If you can, offer to get your own ins and base plates and they get their 15%. If they moan about it a lot there's your answer if they're skimming. Rates seem low to me too. But with no details what kind of work it is who knows?