Getting my own authority...

Discussion in 'Ask An Owner Operator' started by NJ LADYTRUCKER, Apr 11, 2016.

  1. NJ LADYTRUCKER

    NJ LADYTRUCKER Light Load Member

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    Sep 22, 2013
    East Orange, NJ
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    So I finally picked up my truck and bobtailed from California to VA. Now starts the hard part! LOL....I applied for my authority while picking up the truck to get everything started. I just wanna make sure that I have everything I need in place. I have my MC and DOT numbers, BOC-3, the alcohol and drug testing program and I have called around trying to get quotes on the required $1,000,000 insurance, trailer insurance, etc...here's my question: am I missing anything? And what should I expect to pay for liability, cargo and trailer insurance? I've been told that tags will probably be around $2,000 or so. Do I need to have my authority certificate before I apply for them? Right now, it's in pending status...
     
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  3. Cat sdp

    Cat sdp . .

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    You need an active # for the plates...
     
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  4. Scuba Steve

    Scuba Steve Light Load Member

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    You will have to have insurance on file before your authority becomes active, also you need a driver file for yourself, in it needs to be everything as if you are hiring yourself because technically you are, driver application, drug test results, long form from physical, there are a lot of great threads on here about things you'll need to have your own trucking authority, I have my own but there is just too many things to list, call OOIDA become a member and they will guide you through every single aspect to make sure your compliant.
     
  5. kimbosa

    kimbosa Medium Load Member

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    lufkin texas
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    Yep! Scuba Steve is right. Call ooida.
     
  6. mnmover

    mnmover Road Train Member

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    Nastc has a program for people getting their own authority. Sit through their class and you can get their qpn fuel card, well worth it, you have to have insurance on file for like 2 weeks before they will grant authority. The drivers file must contain an application for employment. I had the agency go over my employment app and provide the drug testing group. Both my wife and I went through the training for medical review officer, by watching a video and taking a test. They have some new entrance requirements for authority now, ooida or NASTC can assist.
     
    Iron-Man, SoDel and NJ LADYTRUCKER Thank this.
  7. passingthru69

    passingthru69 Road Train Member

    Good luck and hope all goes well for your new business
     
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  8. RedForeman

    RedForeman Momentum Conservationist

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    There is a sticky post at the top of the list in this forum section. Especially relevant is this one. Warning, there is a lot of stuff in there to read. The good news is: you don't have to know everything and have it all done the first day.

    You have a few days to do all that LOL.

    A little caution about OOIDA. They are an excellent resource, and I've called on them more than once. However, since I joined five years ago, they have turned their compliance support into more of a business venture than a membership benefit. That is, beware they are going to try selling service. Not saying don't buy it, just think it through first. Just about anything they can do for you can be done yourself, maybe with some help.

    You've already missed the BOC-3 benefit of being a member if you paid elsewhere for it. That's free for members, basically justifies the annual OOIDA membership just with that one benefit. Also, ask for their free New Entrant check list. It's about the best one I've run across, and helped me a great deal.

    Insurance has a lot of variables. It could be anywhere from $6-7,000 a year for a seasoned driver with no physical damage coverage on paid-for equipment, up to tens of thousands for no experience, low deductibles, expensive equipment with physical damage, violations, any other risk factors or added coverage.

    You being a new business with no established safety score or loss runs is a big risk factor. All that said, I've noted amounts running from $15-25,000 a year for the average new carrier with limited experience and average equipment. Find three agents and ask for a quote. Don't ask more. It works kind of like a credit app. You start applying for insurance with more than 2-3, that's a risk too.

    Insurance should be your number one priority to get done right now. Unfortunately commercial insurance policies aren't like the one on your car. It usually takes them a few days to get back with quotes. Then you have to review and revise anything that's not accurate and get that approved. Then tender payment somehow, and that can take a day or three.

    You don't want to take too long. Once you submit your authority application, the clock starts. You better scan those threads, but if memory serves, they let it stay pending for about two weeks. If insurance isn't posted soon enough, they may change it to "inactive." That isn't a ring of doom, but just don't expect a Federal agency to move quickly to restore it to pending to accept insurance, nor make it easy for you. What you want to do is avoid things like that where you can.
     
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  9. 77fib77

    77fib77 Road Train Member

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    I looked at my own authority in Jersey. I was told 14 to 18k. So I'm leased on with Mercer.
     
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  10. 3ARTransport

    3ARTransport Light Load Member

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    I actually went through with the entire MC process and was parked when it came time to getting insurance. At $3000 down and 10 payments of $1000 kinda put me on hold till I can in business a bit longer as considered a "start up". The company I have helping me was able to put my MC on hold with the FMCSA.
     
    TallJoe and NJ LADYTRUCKER Thank this.
  11. NJ LADYTRUCKER

    NJ LADYTRUCKER Light Load Member

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    Sep 22, 2013
    East Orange, NJ
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    Was it $15-18 upfront or just for the year with a portion of that down?
     
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