Insurance on Driver? with 1099

Should have figured it in the cost of doing business BEFORE you started. Trying to screw the driver so you can haul cheaper is wrong. Raise you rates and treat drivers right.
Maybe the owners should take less.

 

True but from what I've read on this site that's quite rare.

 

I used to not understand but after booking own freight for 3 years BLOWS my mind how people open own MC, hire company drivers and rely 100 % on load boards for years...

 

My drivers made a killing.

 

Apparently those coming into the business think load boards are the only way to do business, they seem to think all freight goes thru boards, they see others with nice equipment and doing good and think it is a easy business. Every company out here is different and you can tell very little about their operation from the outside.
Quality customers are hard to come buy, but everyone thinks they can start at the top.
I my opinion, load boards, lease purchase and easy entry has screwed up the business.

 

Do you know the difference between an employee and an independent contractor?

If it's someone is 1099, they're not an employee. The owner/op should be taking care of insurance.

Stop scamming drivers, quit being a low life piece of ####. Pay your share of the taxes, or pay your scammed 1099 somewhere between say 85 and 99 percent of the gross revenue for a load.

edit - also, you should probably make sure that your 1099s know that they're free to take loads from other load boards or brokers. Since they're independent contractors assuming all of the risk for the business, you really have no right to restrict that or charge more than a nominal trailer rental fee assuming you provide a trailer.

 

I know of a guy that has 7 trucks leased to a carrier, he used to pay all of his guys 1099.

One of his drivers got into a horrible roll over accident (Lucky to be alive, but disabled for life kind of accident). Of course shady 1099 paying company owner did not carry work comp. Not a contractor employee did not carry work comp on himself either. 1099 Driver lawyer'd up, filed a claim with the Arizona ICA. The Industrial Commission sided on the side of the employee, that he indeed was an employee and not a contractor, and provided workmans comp insurance for him out of the states special fund.

Said shady owner has to reimburse the ICA all costs incurred with this accident (current and future medical bills, pain and suffering, lost wages, etc) Had to pay a 1,000 dollar fine for his first offence for not having coverage. And lucked out that he wasn't charged with the class 6 felony it is in Arizona if you fail to provide coverage for your EMPLOYEES.

Workmans comp is not a horrific expense. Call around. Get quotes. Insure yourself and your employees. Unless you lease trucks to business owners, or hire owner ops ... your employees are employees, not contractors.

Oh, also, said shady business owner ... now carries work comp (I am guessing at an impressive rate). He now pays W2. Is currently being audited and may be on the hook for all taxes he failed to withhold from his EMPLOYEES, all contributions (employer and employee) to social security, interest, fines, and fees. And I suspect is doing all he can to hide his assets for his upcoming bankruptcy.

I hate big government and taxes ... but run your business right, or you will be this guy and probably lose everything due to your greed. If you cannot afford to be in business, you should not *be* in business.

 

There. You said it. YOUR DRIVERS. Not your I/Cs, not your owner ops..........nope..........your....YOUR drivers. In other words............your employees that you skirted the law on paying, insuring, and complying with other aspects of labor law. Thanks for admitting it; and for also using the past tense leading me to believe you no longer do this.

Doing this puts into jeopardy TRUE independent contractors. People............just stop a flippin' minute and take a breath. This isn't worth it!!! Do it right or not at all. It's that simple.

 

Horsecrap. Define "very very expensive".

 

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