Insurance on Driver? with 1099

Nothing....that's why you are paying the driver on 1099.....right?

 

Don't. Just don't. If you are ready to hire a driver.......be legit and pay on a W2; take out taxes.........PAY your half of FICA........just do it right will you please??? This whole "1099 independent contractor male bovine excrement" needs to stop. They work FOR you; you dispatch them, set their schedule, etc, etc, etc. That is NOT an independent contractor..........it IS an employee. Do it right.

 

I wonder if the employer can buy "Get out of Jail Free" insurance when the driver gets injured and has no workman's comp insurance?

 

What @SMTatham said. Yeah, everyone does it. But all it takes is one phone call to your labor department or the IRS and YOU are in deep male bovine excrement. In Illinois it's a $250 fine per incident (each time you pay your employee) and up to 6 months in jail per incident. You can lease the truck to the driver for a set amount each week. But the driver must be getting the pay from brokers, etc. Not you. If you're getting paid first, he is an employee. Period. He also must be able to work his schedule and work whenever he wants. Basically, no forced dispatch. We have a few owners where I work that are going through this right now. Bunch more scurrying around trying to make an effort to get it right before they get popped.

 

You guys have no idea how much workman comp costs for lets say 3 trucks company, it is very very expensive. Do w2 on top of that and is simply not worth having trucks and drivers, you gotta have a lot of trucks to do it the right way and be profitable. Thats why so many small companies do 1099

 

My boss is able to do it legit with a very small company.

If they aren't smart enough to do it legally and without screwing someone they should find a different way to make a living.

 

Then hows about calling your Rep and Senator, and lobby to get the laws/regulations/BS off your back, so you can operate as a company with less red tape.....Instead of just choosing to sling all that crap onto the backs of your employees????

 

Nothing personal to You, but thanks to that thinking (and others reasons too) spot market freight it is in the condition like it is.A lot of people did that around here, bought trucks with easy credit, hired 1099 drivers etc.
Safety score of their companies says it all...

 

Its really not screwing a driver as long as you pay them enough to make up for it.