Prepay Insurance for new leasee

I was just wanting to know if this is ever a normal thing. I have been talking to a guy in my neighborhood who has his own authority and running for a company. I was looking to lease my truck under him and pay a % each week. He is preparing a lease agreement for me and tells me that I will need to pay the downpayment for the insurance to get started($800). I will be charged 20% of all load pay and $200 a week for the insurance. It just seems excessive to pay 20% and then pay insurance on top. This also does not cover IRP or IFTA, that will fall on myself.

Is this standard procedure, or something off about that? I do not have my own authority and the company that I will be working with is not taking on new carriers, so working under this O/O is the only way to haul for the company. I did call the company to confirm that part.

 

Good way to look at it lol. But correct