Paying to Run Under Someone's Authority??

It wasn't a dumb comment, every driver has to meet the insurance company's requirements. It's going to cost you the same amount in insurance as it will some company with 10 trucks. If your idea doesn't make enough to pay the insurance, it isn't viable. I'm not sure how viable the idea is in the first place as small companies get a friend to recover, and large companies just send one of their drivers. This is from personal experience.

 

Good and correct replies here. Your insurance rate is your insurance rate....won't matter much if you're running under someone else's authority or not. The ins co still looks at what you are hauling, what truck you have, where you are running and most of all, they look at your experience and driving record.

 

They're still going to get paid for you being on their liability one way or another.

 

Yes. Do you think they are going to lease you on for less than the cost of the insurance coverage? Why would they lose money? Maybe you don't realize that they pay insurance per truck, so if they add a truck(yours), their insurance will go up the equivalent of what it would cost you to insure yourself. They are also taking a risk on you messing up their safety rating, they have to handle all billing as they are the carrier, they have to handle compliance such as logs, drug testing, etc. So anyone leasing you on, is going to do so for obviously more than the increase in insurance premium, just based on the typical risk vs reward strategy.

 

Perhaps but the rate they pay for your truck will be calculated based on the factors that I mentioned above. They will charge it back to you and then some. If your record is bad enough they might not even take you on.

 

Exactly, when I was hauling general freight the cargo insurance we carried was $100,000, now the cargo insurance is $2,000,000. You can bet your bottom dollar that there is a difference in premium.

 

It all depends on how much revenue you could generate for the company....... I am sure there is someway/somehow to get some sort of blanket coverage for recovery work..... If not there is always the binder route-Where you purchase insurance according to the value of the truck you're recovering-Along with the time needed to deliver truck the truck.... A company could just charge that fee back to you along with a percentage paid to them- Then it becomes a situation if with all those fee's deducted are you gonna still be able to make a dollar for yourself... The best way to do this is to contract with the big companies your talking about n have them get you approved for there insurance policies.... Most Large companies are self-insured so that might be the easiest route

 

1 other thing-

Adding drivers to your insurance doesn't cost a dime...... Adding Equipment is what costs money.... Drivers are either approved or denied based on their MVR

Honestly not sure why you would need insurance as I am sure the truck is already under the companies policy..... You could possible get away with insuring your license n creating a company with that n a business license.... Trip leasing for the recovery n you would be all set

 

Our insurance went down $600 by removing a specific driver from our policy.