Categories
Lifestyle Trucker News

Can I Buy Car Insurance for My Old Truck Through the State of Michigan?

Michigan sets guidelines that determine a driver’s eligibility for car insurance. Individual insurance companies also establish underwriting rules that can cause certain drivers and vehicles to be denied auto insurance. Generally, older trucks are covered under a Michigan car insurance policy if they qualify.

Eligibility

An old truck won’t be covered in Michigan if does not meet the state’s safety requirements, or if the proposed auto insurance company’s underwriting rules prohibit insuring older vehicles. Auto insurance companies can determine the underwriting guidelines that best suit company needs as long as they do not discriminate against a potential policy-holder.

Coverages

According to the Michigan Office of Financial and Insurance Regulation, “every car owner must buy certain basic coverages in order to register a vehicle in Michigan.” Mandatory coverage includes personal injury protection, property protection insurance and residual liability insurance. This coverage is designed to pay for medical expenses and liability for the insured in the event of an accident.

Considerations

Some insurance companies specialize in insuring vehicles that have been turned down through other carriers. For example, classic cars or ultra-luxury vehicles require special coverage that not all insurance companies provide. It is often necessary to shop around for the most reasonable rates to insure an old truck, or contact several different Michigan companies to determine the type of coverage they can provide for your vehicle.

Categories
Freight Brokers Lifestyle

How to Verify a Freight Broker Bond

If you’re new to working with freight brokers, you may be confused about the role of their surety bond. From the Carrier’s standpoint, the surety bond is in place as protection in case the broker refuses to pay for services rendered. Always verify a freight broker’s bond before accepting a load.

Visit the Federal Motor Carrier Safety Administration (FMCSA) website. Go to the Licensing and Insurance section and choose Carrier Search from the drop down menu.

Enter the freight broker’s information. It isn’t necessary to fill out the entire form. If you have the Motor Carrier (MC) or Freight Forwarder (FF) number, no other details are necessary. If you don’t, fill in as much information as you can. Hit “Search.”

Choose the correct broker from the formulated list. Click on “Report.” (HTML shows a snapshot of some pertinent information. Report provides full FMCSA information about the broker in PDF format).

Note the Authorities section. Freight brokers must have current brokerage authority for their surety bond to be valid. Be sure the broker authority listed is active; with no application pending. If the broker authority status is listed as None or Inactive, the company has no current legal standing as a freight broker. Don’t take the load; the broker bond (if any) won’t be enforceable.

Drop down to the Insurance Requirements section. Look for bond insurance. If the freight broker is acting in accordance with federal law, it will list bond insurance as both required and on file. It will also show the current federal minimum requirement of a brokerage surety bond. (Note: Some brokers voluntarily purchase a larger bond. The federal minimum will show regardless of actual bond value).

Look down the page at Active and Pending Insurance. Verify a listing for an active broker bond. (Note: If the freight broker has changed insurance companies, cancelled bonds will also show on this form).

Call the insurance carrier to clarify coverage if desired. Many trucking companies find this step unnecessary, because the insurance company is required by law to notify the FMCSA if coverage ends. However, a short time lag can be possible between a bond lapse and an FMCSA update. If you want to be 100% certain the bond is in effect, note the bond number and use the insurance contact information on the form.

Categories
Freight Loads Lifestyle

How to Load Pallets

At first blush, the issue of pallet loading may seem mundane put some boxes on a pallet and load it onto a truck. Yet the money, research and mathematical studies that have been invested in the subject are extensive. When talking about pallet loading, there are two issues: the actual loading of the pallets themselves and the loading of the pallets onto truck, train or plane.

For the transportation industry, pallet loading like parcel loading or any other type of cargo has to weigh factors of labor, efficiency and time. It’s a juggling act that has been elevated to an art form.

Inspect the cargo on the pallets to be loaded onto the truck. This is the most critical step in the entire pallet-loading process. Square or rectangular boxes are the simplest cargo to handle. Round or cylindrical-shaped objects pose a bigger challenge. Odd-shaped cargo calls for an entirely different approach. Weight also is a major consideration. All these factors will determine how the pallets will be loaded.

Check the size of the trailer or container to be loaded. Standard tractor-trailer trucks have a trailer size of 8 feet 6 inches wide by 14 feet high and 53 feet long. Shorter single-body trucks have 40-foot-long cargo spaces. Your loading technique will be determined by these factors, and whether or not the trailer already contains any freight.

Straight-load your pallets if the cargo is very heavy and there is little or no chance of the load shifting during transportation. Straight-loading is the quickest method because pallets are 40 inches wide by 48 inches deep and there is plenty of room for the forklift operator to maneuver and load two rows of pallets. This technique also must be employed if the pallets are “two-way,” meaning that they are built in such a way that allows the forks access on only two sides—namely on the sides of the pallets that are 40 inches wide. This method doesn’t maximize trailer space, however, and may make shifting a problem with lighter or unstable freight.

Load the pallets in the “turned” or sideways method to maximize space utilization and to ensure a tight, secure fit. The 48-inch-wide profile of the pallets using this method, multiplied by two, leaves only six inches of space width-wise in the trailer. The pallets must be four-way, or capable of accepting forks on all four sides.

Use the “pin-wheel” method to load tall or unstable cargo. Pin-wheeling is basically alternating the pallets between the straight and turned styles. This interlocking technique increases the stability of the load. The method is particularly effective for loading items such as light cartons or boxes that are stacked high and are unstable, often even when not in motion.

Categories
Freight Loads Trucker News

Delivery Jobs That Pay Per Mile

Many people who do delivery jobs get paid for their work based not on how much time it takes them, but on how many miles they travel. This helps to provide a wage that is related to the amount of useful work the deliverer does, as well as the amount of wear and tear on the delivery vehicle, which the deliverer often owns and must maintain.

OTR Truckers

OTR stands for “over the road,” and refers to long-haul truckers who deliver between cities, usually in large tractor-trailers. Many of these truckers own their own vehicles and work as sub-contractors for contractors who need materials moved.

Truckers who are paid by the mile submit a bid to the company for the work. They try to bid low enough to get the job, yet high enough to make some money. The amount per mile that OTR truckers make can vary widely, from 25 cents to a dollar per mile, depending on the size of the load, the distance that it needs to be taken, and sometimes other factors, such as whether it is hazardous material.

Delivery Drivers

Delivery drivers of all kinds exist in large cities, where thousands of different items need to change hands every day. Some delivery drivers work for a fixed hourly wage, while others are paid by the mile. Some work for a wage, but also get a mile-based stipend that covers the cost of wear and tear and fuel for their vehicles.

City driving is far harder on a vehicle than OTR driving, because of the frequent starting and stopping. So, the reimbursement for vehicle degradation is an important part of a delivery driver’s pay. If a driver does this work for any length of time, his vehicle will very quickly begin to show its age.

Couriers

Couriers are similar to delivery drivers, but often deliver only information or papers, often of a nature that requires very quick delivery. Some urban couriers work in cars, others on scooters, and others on bicycles. Bicycle couriers are effective in large cities because they can bypass the automotive gridlock that slows traffic. Couriers may be paid by the mile directly, or indirectly in the form of sector-based rates: the more sectors a courier is required to pass through, the higher the pay for the delivery.

Categories
Business Carriers

How to Become an Expediter Truck Service With a Small Truck or Cargo Van

Expediter services transport time-sensitive freight for manufacturers around the country. Often a company needs to send products quickly. Expediter vehicles can deliver to areas that large vehicles are unable to because of regulations or limited space. You can start your own expediter company if you have a van or small truck, but you must make sure you have the necessary licenses before you begin.

Talk to other expediters about their work. A successful expediting company requires dedication and you could be away from home for days delivering freight. Talking with others will help you decide if expediting is right for you. You can find expediters to talk to by going to local truck stops and online forums.

Apply for a free Employer Identification Number . Your EIN is your business Social Security number for taxes. File for your EIN using your business name.

Incorporate your company. According to the Internal Revenue Service, “LLCs are popular because, similar to a corporation, owners have limited personal liability for the debts and actions of the LLC.” An LLC will suffice in most states for personal asset protection although as the owner, you will have to guarantee any debts that the company incurs. Apply for incorporation through the secretary of state in your home state. The cost varies from state to state.

Apply for a U.S. Department of Transportation number. Each motor carrier must have a USDOT number. File for your USDOT number under your business name. There is no cost to receive a number.

Contracting with an established company (lease-on) with your small truck or van to gain first-hand knowledge about everything from paperwork to potential earnings. As a lease owner, you will have the opportunity to know the load’s gross revenue. Do not contract with a company with the intention of stealing their client base. Most company’s have a “no-compete” clause in their contracts, which prevent you from legally obtaining freight from one of their customers for at least two years. Look in your local newspaper’s classified ad section to find a local company to lease with, or apply with a company online.

Apply for operating authority . The U.S. government requires all interstate carriers to obtain Motor Carrier (MC) number from the Federal Motor Carrier Safety Administration. After you receive your MC number, you will need insurance as well as hiring process agents. A process agent represent your company and cab accept legal documents for you in every state. It costs $300 to apply for your MC number. The cost of insurance will depend on the amount of coverage, your driving history and the amount of time you’ve been in the business. You can locate a service that provides process agents through the FMCSA. A process agent service will cost $50 or less.

Apply for any local permits your city or county requires.
Find customers by visiting local businesses. When you visit, be professional and sell your business. The only thing you have to offer is service; make promises and then deliver. Be sure to tell them what kind of equipment you have, a small truck or cargo van limits the type of freight you can carry.

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Categories
Business Lifestyle

How Do I Start a Light Pickup Truck Delivery Busines

If you have a reliable pickup truck and good driving skills, a light delivery service might be the perfect small business for you. You will need to make a few decisions about the particulars of the delivery service you want to provide and be sure to get special licensing as needed. Follow these steps to get started and start delivering.

Set your location. Determine what area you will cover. Consider routes, gas prices, traffic patterns and the time it will take to drive from one section of your delivery area to another. All of these factors will affect how much money and time you spend on each delivery.

Figure out your load limits. How much weight can your truck safely carry? Figure out the weight limit and make sure you have the materials you need, such as bungee cords and rope or other methods of fastening the cargo. Figure out how much you are going to charge for the amount of cargo you carry and the distance.

Brainstorm. Think about all the cargo you might be able to carry. Do you have a particular specialization in mind, or are you willing to haul whatever needs to be hauled? Thinking about your options will help you determine how to market your business.

Look into licensing. You probably need a business license from your local or state government, and you may need a commercial driver’s license to provide professional delivery service. Call your local chamber of commerce or the secretary of state’s office in your state for help.

Get the word out. Once you’ve set your delivery area, your load limits and your prices, you need to spread the word about your delivery business. Distribute fliers, call businesses who might be interested in your service, and let friends and family members know about it so they can spread the word as well.

Categories
Carriers Freight Loads

Canadian Transportation of Dangerous Goods Training

Transportation of dangerous goods training in Canada falls under Transport Canada, a department of the federal government, which regulates the transportation of dangerous goods by road, rail, water or air and sets out training criteria for companies transporting dangerous goods. Transport Canada does not accredit specific courses or training centers, but enables companies to use whatever methods are best suited to their operation and the needs of their employees.

Transport Canada’s definition of adequate training includes having sound knowledge of all topics related directly to the required tasks and specific kinds of dangerous goods a worker moves, offers to transport or handles during the course of their work. Topics that training may cover include dangerous goods safety marks requirements, safe handling and transportation practices for dangerous goods, and how to operate equipment used to handle or transport dangerous goods. Other important topics include reasonable emergency procedures to reduce or eliminate danger to public safety that results or could result from an accidental release of dangerous goods.

Transport Canada requires workers who handle, offer for transport or transport dangerous goods to be trained and possess a training certificate in handling or transporting dangerous goods or only perform tasks involving dangerous goods while under the direct supervision of an employee who does possess a training certificate in transporting dangerous goods. Handling encompasses loading and unloading, packing or unpacking and storing materials and covers jobs such as cargo handler, lift truck operator, dock worker, shipper/receiver, freight handler and warehouse operator. Examples of workers whose jobs include offering for transport include dispatchers, office workers who prepare documents, shippers, freight forwarders and billers.

Training in the handling and transportation of dangerous goods can be delivered through formal classroom training, on-the-job training or experience gained under the supervision of an adequately trained employee.

Employers who are reasonably satisfied that their employees are sufficiently trained to perform duties related to that training are required to issue those employees training certificates that include the name and address of the employer’s place of business, the employee’s name, the expiry date of the training certificate and the aspects of handling or transporting dangerous goods that the employee is trained for, including specific topics.

Those who employ a person who is a member of a ship’s crew may have a reasonable expectation that the employee’s certificate of competency, issued under Marine Certification Regulations, is acceptable evidence of adequate training. In this case, the employer does not have to issue a training certificate. Training certificates are valid for three years, except in the case of transport by aircraft, when they expire after two years. Training certificates or copies of them must be provided to inspectors immediately upon request.

Valid documents issued to a truck driver of a vehicle licensed in the United States or to a member of a train crew for the transportation of dangerous goods in the U.S. are considered valid evidence of dangerous goods transportation training in Canada. Documents certifying training in dangerous goods transportation issued to members of airport flight crews or ship crews from outside Canada are also accepted as proof of training, as long as the aircraft or ship is registered in a member country of the International Civil Aviation Organization or the International Maritime Organization.

Categories
Owner Operators

How to Become an Owner & Operator With a Prior Bankruptcy

Starting a business after bankruptcy may seem difficult, especially if your business needs credit. Other creditors such as vendors, suppliers, distributors, and property owners may run a credit check or require collateral that you do not have. Bankruptcy does not have to be a death sentence to your future prosperity, though. You have a fresh start, and as an owner or operator of a new venture, you have unlimited possibilities. Do not let bankruptcy determine your destiny. Start your business now.

Incorporate your new business. Form a corporation or limited liability company (LLC) to protect your personal assets in the event that you encounter financial difficulties. Unlike running a business as a sole proprietor, you have legal safeguards with limited liability for your business debts. To form a corporation or LLC, see the Resource box for more information.

File a Doing Business As (DBA) at the county clerk’s office. If you run a business under a name different from yours or your corporate name, you must file a DBA. You can piggyback off the success of your new business if you start another business in the future. Each DBA is a separate business, but you may run those businesses under the same corporation. Therefore, good credit earned from your corporation flows over to the new entities and gives you more to work with when applying for credit and doing business with others.

Apply for a new Employer Identification Number (EIN). Unlike businesses run by a sole proprietorship, Corporations and LLCs are a separate business entity, so you must have an EIN. Under some circumstances, a sole proprietorship must apply for an EIN. In any case, applying for a new EIN gives you a fresh credit file, and separates you from your business. You may need to make changes to your business in order to qualify for a new EIN if you had an EIN previously. Use the Resource box for more information.

Open a business checking account. Most banks require an EIN for business banking, even though you want to use your SSN instead. Some banks require a certified copy of your DBA in order to open one. A business bank account separates your personal finances from your business finances, making it easier to track, budget, and gather information quickly for tax preparation.

Build credit with your new business. Some creditors use the business owner’s personal credit file in addition to the credit file of the business when determining whether to extend credit. Take out a secure credit card and use it for your business needs to build credit. Have your utility payments reported to the credit bureaus so your company can establish a good credit history, so your previous bankruptcy will not have as much influence and overshadow your new business ventures.

Apply for a business license and other required permits. Your city’s business licensing department can give you the information you need regarding zoning requirements and permits needed for your type of business. The location of your business may not allow businesses for your type in that zone, including those who work from home. Permits such as fire, water and air pollution, and signage permits are only some of the types of permits your business needs. After bankruptcy, the last thing you want to do is violate a fundamental responsibility, inching your way into another financial meltdown.