Federal Independent Contractor Model Up for Further Debate in Congress

With the air of the recently passed AB5 hanging over California like a smog, and with executives from ride-sharing tech giants Uber and Lyft failing to appear at a Congressional hearing over lax safety oversight, lawmakers are turning their focus to independent contractor classification in the country.

Debates in Congress have been spurred on by regulations out west in California where legislation was passed by the State Assembly in May and the state Senate in September, outlining a way to determine the work status of independent contractors, such as truck drivers or ride-sharing drivers.

The hearing, which was overseen by the Highways and Transit subcommittee of the House Transportation and Infrastructure (T&I) Committee in October, honed in on the need for driver background checks for transportation network companies. This has all happened in the wake of homicides and assaults committed by people posing as ride-sharing drivers.

“It’s hard to imagine that Uber and Lyft didn’t actually show up here today – it’s really disrespectful to the committee and a bad play on their part,” said Thomas Suozzi (D-New York).

The Democrat from New York and his Republican colleague from New Jersey, Chris Smith, threw their support of laws requiring enhanced vehicle identification to make it more difficult to impersonate an actual ride-sharing driver.

Beyond addressing public safety issues surrounding independent contractors, whether in ride-sharing or trucking, Congressional members also debated the topic of worker classification, a big issue coming out of California, as mentioned above. The law will go into effect on January 1, 2020, and will lower the threshold in California for classifying a worker as an employee. This is projected to have major cost implications for everyone from ride-sharing companies to freight companies who hire truck drivers on a daily basis.

Certain Congressional members have shown support for the AB5 legislation, detailing its goal of identifying the difference between independent and permanent employees. This will surely have freight companies rethink the way they hire employees and classify them in their truck insurance options. This issue is gaining attention for its effects on Uber and Lyft in a state where ride-sharing arguably got its start or at least its growth.

The debate around whether or not to elevate stricter tests on independent contractor status outside of California, using the state as a jumping-off point, was also brought up with Republicans on the Hill shooting it down and Democrats wanting to push it along.

“I don’t necessarily think that this committee should blindly follow the state of California,” said Pete Stauber (R-Minnesota). My state is much different than the state of California. It’s much more rural, and I think we have to have a broader look at this issue the transportation network companies, and how we can serve not only urban but rural communities.”

About Western Truck Insurance Services

Western Truck Insurance Services is a commercial truck insurance agency with roots dating back to 1954. We have evolved into a highly respected, professionally managed, truck and transportation insurance brokerage. The hallmark of our organization is our desire to provide unparalleled service. We go way beyond what you expect to receive from an insurance brokerage. Equipped with state of the art automation, Western Truck Insurance can provide you with lightning fast truck insurance quotes, customer service, Insurance certificates, and coverage changes.

Layoffs are Part of a Troubling Trend in Trucking

The trucking industry has been going through major reformation in recent years with the push to go more tech-savvy. Autonomous trucking operations are starting to take over the highways and byways in America with companies like Uber Freight and TuSimple planning more available freight deliveries in the coming months.

This push to go autonomous has some trucking companies and trucking professionals worried that the need for drivers will start to go away. But the entire trucking industry has started to see a major slowdown as a whole, adding to the doubts around truck driver job security.

In fact, according to the U.S. Bureau of Labor Statistics, the trucking industry saw more than 10,000 truckers lose jobs between July and September. The layoffs are a result of a major slowdown in manufacturing related to the US-China trade dispute that’s currently ongoing, marking a major indication of an entire economic recession in the U.S.

Long Time Coming?

Analysts have been showing concern around the slowdown in the economy for some time, pointing out the role that trucking is playing. Job growth overall has slowed down in recent months across a number of sectors with payrolls averaging about 161,000 per month compared to 223,000 the same timeframe last year. This has caused a stir among trucking companies who need to find ways to do everything from completing their current orders and budget for layoffs. Things like truck insurance and ordering new vehicles may have to be put on hold even though they may be pertinent to an everyday operation.

Trucking has historically been known for hiring and firing thousands of people at once, bringing in loads of people or cutting whole swaths at a moment’s notice. For instance, in the summer of 2018, the industry saw a boost of 37,000 jobs after loads of new trucks were ordered to keep up with the surge in everything from e-commerce to international trade. But with standstills at the U.S.-Mexico border for trucking freight and another standstill with China over trade tariffs, the trucking industry has been caught in the middle.

Recent layoffs also mirror an overall shift in the services offered through trucking, such as same-day or next-day delivery in the e-commerce space. There are still areas where the trucking industry is hiring regularly, such as courier and messaging service companies, which are seeing solid bumps in opportunity due to more activity on sites like Amazon and eBay.

National networks like UPS and FedEx, can provide the dedicated capacity to large-sized customers to make sure there are no gaps in freight service, but for smaller and mid-sized companies that lack scale, this trend could be dire in the long run, maybe even leading to the demise of a number of companies.

About Western Truck Insurance Services

Western Truck Insurance Services is a commercial truck insurance agency with roots dating back to 1954. We have evolved into a highly respected, professionally managed, truck and transportation insurance brokerage. The hallmark of our organization is our desire to provide unparalleled service. We go way beyond what you expect to receive from an insurance brokerage. Equipped with state of the art automation, Western Truck Insurance can provide you with lightning fast truck insurance quotes, customer service, Insurance certificates, and coverage changes.

Ways to Improve Your Fleet

Managing a trucking fleet comes with a host of challenges for owners and individuals in the industry. From evolving technology to changes in legislation from state to state, trucking fleets have more than just the day-to-day to take care of.

There is a major amount of pressure that comes with maintaining a successful and efficient fleet. A fleet manager is responsible for purchasing vehicles, driver management, record keeping, and vehicle maintenance, among other things. While this can be a grind, there are a number of things that can be done to enhance the efficiency of a fleet.

Here are some things to consider when looking for ways to improve your fleet.

1. Insurance

First, it’s always important to make sure your fleet is running under the right truck insurance coverage. Having coverage such as truck liability policy and physical damage will keep your fleet covered during the time of a claim. Truck insurance is the first step to ensuring your company, employees, finances, and daily operations are protected moving forward. Not having insurance will open you up to major financial and reputational losses that could have devastating consequences.

2. Maintenance Strategy

Fleet managers need to be sure to strategize and create plans to make sure their vehicles are running in excellent condition. Larger truck fleets carry their own in-house service centers for maintenance to be conducted on a regular basis on their premises. If your fleet is a smaller business, it is more practical to hire out a company to keep your trucks serviced. No matter who’s taking care of your trucks, it’s important to get them taken care of on a regular schedule to keep efficiency up.

3. Manage Your Drivers Effectively

Fleet managers need to be able to communicate with their drivers effectively. Communication in the trucking industry is crucial for any fleet. Truck drivers need to be able to reach out to their managers easily and the flow of information needs to remain open and efficient. One way this is being done is by installing electronic logging devices (ELD’s) that monitor driver behavior; tracking if a driver is frequently speeding or breaking excessively.

Through ELD’s and regular communication with drivers, fleet managers can keep everything running smoothly.

4. Evaluate Your Assets

Fleet managers and vehicle technicians should be aware of the status of their assets. Beyond knowing your vehicle’s conditions and current service parts inventory levels, it’s also crucial to completely have a grasp on how every vehicle is used as well as how its components work. For this, it’s important to evaluate your fleet’s assets on a regular periodic basis, which can help you make adjustments to current business demands.

About Western Truck Insurance Services

Western Truck Insurance Servicesis a commercial truck insurance agency with roots dating back to 1954. We have evolved into a highly respected, professionally managed, truck and transportation insurance brokerage. The hallmark of our organization is our desire to provide unparalleled service. We go way beyond what you expect to receive from an insurance brokerage. Equipped with state of the art automation, Western Truck Insurance can provide you with lightning fast truck insurance quotes, customer service, Insurance certificates, and coverage changes.

Intentional Pairing: An Operations Change That Could Lead to Lowered Trucking Costs

Trucking companies have been operating with drop-and-hook operations for some time hoping to maximize efficiency. But while many trucking companies stick with this method, there’s little focus when it comes to matching tractors. In a new report from the North American Council for Freight Efficiency (NACFE), it’s pointed out that a change in operations to allow for more intentional pairing as it’s known could lower overall trucking costs and have more room for needful assets such as hiring and truck insurance.

But while it’s projected to help with efficiency and cut costs, some leaders in the industry argue against pairing, saying that while it’s a good idea, it’s not really feasible. Even with a net improvement of five to 10 percent, as stated by the NACFE, the case to change things up may not be compelling enough.

Studying The Road

In the study, titled “The Feasibility of Intentional Pairing,” the NACFE portrays pairing as a dream for engineers, allowing for the design of an integrated tractor-trailer combination to be operated in a cost-cutting way. The report, which spans 86 pages, outlines everything needed to change for a complete overhaul of how things get done on the road through pairing. Through a survey of 50 fleets, including big names in the industry like Werner, UPS, and PepsiCo, NACFE found that the majority of fleets operate in drop-and-hook with the focus on keeping the trailer in motion as much as possible.

The benefits of pairing would be on a sliding scale according to the NACFE’s findings. Fleet annual net MPGs would improve and intentionally pairing by model type would provide the best opportunity for gains on the road.

The ability to pull this kind of move off is still questionable as many variables are involved and would require a whole new way to go about moving freight around. From time to pricing to asset location, it’s not a one-size-fits-all solution to an issue.

According to the NACFE, a growing number of GPS tracking systems and more data does present a new opportunity for a more efficient asset optimization in certain applications of freight, such as shipping beverages around. These commodities already operate in a certain manner as fleets pair weight-reduced tractors with weight-reduced trailers to maximize payload.

Altogether, NACFE, concluded that intentional pairing, while a great idea, and something to look forward to in the future, is not a full-fledged reality at this point. But the new technology does offer up opportunities through asset tracking and asset management. With data available around these entities, including driver information, tractor characteristics, asset status, locads, weather, and routes, better operational decisions can be made.

By combining this with the vehicle data, it could allow fleets to match trucks to certain shipping situations. Lightweight tractors could be paired up with lightweight trailers in order to maximize payload potential, even if it’s resulted in a shorter lifespan for those assets. Tractors with down-sped transmissions could be used for routes where technology can best be of benefit.

About Western Truck Insurance Services

Western Truck Insurance Services is a commercial truck insurance agency with roots dating back to 1954. We have evolved into a highly respected, professionally managed, truck and transportation insurance brokerage. The hallmark of our organization is our desire to provide unparalleled service. We go way beyond what you expect to receive from an insurance brokerage. Equipped with state of the art automation, Western Truck Insurance can provide you with lightning fast truck insurance quotes, customer service, Insurance certificates, and coverage changes.

Compliance Requirements for California Vehicles

In recent years, California has seen a number of regulations change or be created in order to cut down on emissions, greenhouse gases, and traffic while boosting alternative fuels, for example. One industry affected by new rules and regulations is the freight industry, or trucking, which plays a huge role in the state’s economy.

Last year, California saw record-setting levels of freight-hauling demand and driver pay as trucking levels reached a 20-year high. From produce to animals to tech commodities, California sees high numbers of trucking freight hit the roads. But State regulations of trucking and bus operations are finding numerous ways to hit the trucking industry.

Here is a better look at how compliance requirements in California are affecting the freight and transportation industries.

Vehicles Affected by Regulations

The Truck and Bus regulation affects individuals, private companies, and Federal agencies that own and operate diesel vehicles that weigh in at more than 14,000 pounds. But it also extends out to publicly and privately owned school buses, even though their compliance requirements differ. Local and state government vehicles aren’t affected by the regulations because they are already subject to other regulations.

Heavier Trucks and Buses

Heavier trucks and buses on the road that weigh more than 26,000 pounds must comply with a set schedule by engine model year or owners can report to show compliance with more options. Engines made any time after 1996 should have an OEM or retrofit PM filter installed as vehicles made prior to 1996 should have already been replaced by January 1, 2015. The goal from the state is to have all trucks and buses driving with 2010 model engines by January 1, 2023.

PM Filters

Some trucking companies and individual owners have sought more information on PM filter installations. These are the filters that reduce particulate matter and cut down on smog and pollution. Owners who did not install PM filters before January 1, 2014, and do not use flexibility options are required to replace existing trucks according to their model year schedule.

Getting hit with fines can be costly and sideline a trucking company’s business altogether; especially smaller companies that can’t afford to have their trucks sit while they work on getting compliant, which is also a costly endeavor. While not all claims can be held off, there are options to keep fines low and representation costs minimized. Through comprehensive truck insurance, trucking companies can limit their exposures and make sure the increased values of their equipment are properly protected.

What About Lighter Trucks?

Lighter trucks and buses that fit right in the middle of that 14,000-26,000-pound window already had engine replacement requirements set on January 1, 2015. Lighter vehicles with engines that are more than 20 years old need to be replaced with newer trucks or engines, and beginning January 1 of next year, all remaining vehicles who have yet to take this step need to have 2010 engines or newer.

About Western Truck Insurance Services

Western Truck Insurance Services is a commercial truck insurance agency with roots dating back to 1954. We have evolved into a highly respected, professionally managed, truck and transportation insurance brokerage. The hallmark of our organization is our desire to provide unparalleled service. We go way beyond what you expect to receive from an insurance brokerage. Equipped with state of the art automation, Western Truck Insurance can provide you with lightning fast truck insurance quotes, customer service, Insurance certificates, and coverage changes.

In the Trucking Insurance Market, High Liability Rates Are Increasingly Common

Liability coverage makes up a big part of an independent insurance cost. This pays out injuries and property damage after a wreck. When it comes to over-the-road drivers or long-haul truck drivers, the Federal Motor Carrier Safety Administration (FMCSA) requires that a $750,000 minimum limit be met for the primary auto liability coverage. However, most shippers and brokers in the industry won’t set up a business relationship with trucking companies that carry anything less than $1 in truck insurance liability.

Rising Costs

Liability coverage costs have gone up year over year and don’t seem to be slowing down. Premiums for a $1 million liability policy can now range between $6,000 and $16,000 depending on the carrier and influencing factors. These high liability rates are becoming more and more common in the trucking industry, making it hard for trucking companies to factor in their budget.

So, what caused this boost in pricing?

According to our President, Bob Holtzman, it can be taken back to the 2008 recession.

Holtzman recently told Overdriveonline.com that the “marketplace was competing for what business was still there, and rates got really low.”

As the economy made a rebound, insurers were slow to react and started seeing losses take their hold well in excess of premiums. In the last few years, truck insurers increased their rates and today’s rates are much higher than the low rates seen around 2011. These rates are expected to hover around those numbers mentioned above for the next few years.

The economy has picked up in recent years, during the end of the Obama administration and into the Trump years, resulting in plenty of jobs and higher wages becoming the norm. Also, there have been more motorists on the road, as well as, more freight, especially with the influence of e-commerce freight.

These factors and others, such as the type of freight, age of equipment, typical length of haul, and states that see freight driving through, all play a role in greater claims frequency which corresponds to increasing liability rates.

In the past few years, as independent contractors have seen an increase in contracts, applications for new operating authority has increased as well. With this in mind, obtaining liability coverage has become a major challenge for those new ventures looking to make a step forward. But since the market has tightened, many truck insurance companies have instituted stricter requirements when it comes to operating experience.

About Western Truck Insurance Services

Western Truck Insurance Services is a commercial truck insurance agency with roots dating back to 1954. We have evolved into a highly respected, professionally managed, truck and transportation insurance brokerage. The hallmark of our organization is our desire to provide unparalleled service. We go way beyond what you expect to receive from an insurance brokerage. Equipped with state of the art automation, Western Truck Insurance can provide you with lightning fast truck insurance quotes, customer service, Insurance certificates, and coverage changes.

Important Insurance Considerations for Flatbed Trucks

Flatbed trucks are larger than normal trucks that carry heavy loads, including heavy machinery, steel, vehicles, and more. Because of a flatbed’s payload and its design, the goods that are being shipped are more vulnerable to external exposures, and the trucks themselves are inherently more of a liability on the road when it comes to overall safety and risk.

From potholes to bumpy roads and sudden stops in traffic, flatbed trucks can create a lot more unique risk compared to other trucks on the road. Fortunately, flatbed truck insurance can be purchased and installed to protect not only the drivers and the trucking company but also the cargo being trucked and others on the road.

Here are some things to consider when it comes to insuring flatbed trucks.

Auto Liability Insurance

Having auto liability insurance helps cover legal obligations to other drivers on the road when an accident occurs. This kind of insurance can help cover legal expenses if extreme cases are brought up, like being sued. This kind of truck insurance contains two different policies, including bodily injury and property damage.

For bodily injury, this form of liability coverage covers the medical expenses, lost wages, and pain of the other driver or drivers involved. For property damage, this liability covers the repair or replacement of the other driver’s vehicle if a truck driver is found to be at-fault in an accident. This also covers other property that may have been damaged in an accident, including buildings.

Physical Damage

Having auto liability insurance will protect other drivers on the road and the financials of the person or company that has the insurance. However, it won’t cover damages to a truck if an accident occurs or if something else happens to it. That’s where physical damage comes in to help. This is the kind of trucking insurance that will help to protect the overall investment in the truck.

For physical damage, you can go two routes, including collision and comprehensive coverage. For collision coverage, this helps when it comes to replacing or repairing your flatbed truck if you’re in an accident or if the truck is damaged by running into something. For comprehensive coverage, this can help with repairing or replacing a truck is needed due to something other than an accident damaging it, such as a fire, vandalism, falling objects, or animals.

General Liability

Trucker’s general liability insurance can help to protect against claims of bodily injury or property damage caused by the typical daily use of a truck for business purposes. This coverage can help when claims are made against a driver or your business for the services you provide. From loading at a dock to work at a job site, having general liability is a basic first line of defense when it comes to protecting your business.

Cargo Insurance

Beyond protecting against people or buildings, flatbed truck insurance should also be purchased to protect the cargo involved in everyday business. The loads that are being carried are valuable as well as hefty and awkward to load. Cargo insurance is an option to add on that protects the loads of cargo you’re hauling against things like theft, fire, or collision.

About Western Truck Insurance Services

Western Truck Insurance Services is a commercial truck insurance agency with roots dating back to 1954. We have evolved into a highly respected, professionally managed, truck and transportation insurance brokerage. The hallmark of our organization is our desire to provide unparalleled service. We go way beyond what you expect to receive from an insurance brokerage. Equipped with state of the art automation, Western Truck Insurance can provide you with lightning fast truck insurance quotes, customer service, Insurance certificates, and coverage changes.

How CAB Reports Function in Underwriting Trucking Operations

When it comes to trucking operations, having truck insurance is an important component to keep everything moving in a transparent way. However, if a motor carrier’s driving history is flagged with having the same number as another company, finding the right coverage can be increasingly difficult.

Interpreting risk information should be in every carrier’s understanding of how motor truck cargo insurance works, especially in terms of understanding risk factors and underwriting motions. Certain determinations are made by tools like the Central Analysis Bureau, or CAB, and the FMCSA’s Safety Measurement System (SMS).

Here are some questions that are usually brought up when a CAB reports risk information in underwriting.

Under what circumstances would the CAB report a prior-used VIN?

Typically, an owner-operator leased to an insured would operate under a permanent lease. If the owner-operator, however, has their own authority, this may show up as “during.” Also, the insured may have already de-leased an owner-operator or sold the equipment during the period in question, which would trigger the CAB.

If a company’s DOT number has been captured by a DOT officer mistakenly, which is uncommon, it can be corrected by a company challenging the inspection. Also, a company may be operating under multiple authorities, which would trigger a shared VIN notification to the CAB.

If an owner-operator is hauling for the insured under their authority, is inspection data going to be reflected on the CAB report?

Data for inspections is captured under the Department of Transportation number for both the company the diver is operating under at the time of inspection as well as the driver’s own record. This kind of information is kept stored in a separate database so confusion is limited. Driver data is typically only available to individual drivers and their potential employers.

Regarding trucking insurance, what underwriting actions are taken when CAB motions that an insured or applicant shares a phone or email address with multiple carriers?

Something like having a shared number or email address, or even physical address, doesn’t necessarily mean shared ownership, but this is something that will be deemed as needing to be looked at. Usually, a common reason behind shared contact information is when a permitting office lists their number and address instead of the trucking company’s information.

Another reason behind sharing a number or address is when smaller operations share an office of dispatch. The CAB will look at ownership and make sure it’s separate and that there is no shared use of drivers or equipment.

What’s more, there may be outdated information listed with the FMCSA, which needs to be updated on a biannual basis.

Understanding underwriting risk factors is important for motor carriers in gaining motor truck cargo insurance. It’s vital to address any anticipated concerns at the time of submission as anything looked over or missed may bring about a more limited chance of gaining insurance.

About Western Truck Insurance Services

Western Truck Insurance Services is a commercial truck insurance agency with roots dating back to 1954. We have evolved into a highly respected, professionally managed, truck and transportation insurance brokerage. The hallmark of our organization is our desire to provide unparalleled service. We go way beyond what you expect to receive from an insurance brokerage. Equipped with state of the art automation, Western Truck Insurance can provide you with lightning fast truck insurance quotes, customer service, Insurance certificates, and coverage changes.

When Do Trucking Operations Need Hazmat Insurance?

Trucking operations already have enough risk on their plate when it comes to making sure to keep liabilities low. Lost or stolen cargo, disrupted schedules, mechanical issues, damaged goods, and more are all in a day’s work for trucking professionals from road to road. But what if you’re handling hazardous materials that need their own special care? Transporting this kind of cargo brings the need to not only drive and transport cargo with more care but to cover the greater risk and environmental issues those loads pose with more specialized truck insurance.

The Occupational Safety and Health Administration (OSHA), Environmental Protection Agency (EPA), and Department of Transportation (DOT) all work together to keep regulations around transporting hazardous materials tight and strictly observed. And with more than 1.5 billion tons of hazardous materials being moved back and forth each year either by truck, train, boat, or aircraft, there’s risk coming from all angles. For trucking companies, specifically, there is special truck insurance that can cover this kind of operation to keep everyone safe on the road.

What are hazardous materials?

Hazardous materials are substances that can be poisonous, flammable or explosive, causing harm to the environment and communities that come in contact with them. Hazardous materials on trucks include items such as radioactive materials, gases, flammable solids, organic peroxides, poisons, combustible liquids, and more.

Also, items that don’t seem as hazardous or harmful as those listed above are considered hazardous as well. These items include adhesives, paint, and fertilizers.

Insurance Requirements and Penalties

Special truck insurance coverage is required in order to haul explosives and other hazardous materials since there is an inherent danger built in. Hazardous materials truckers are required by law to carry between $1 and $5 million in hazmat insurance coverage depending on the cargo that’s being hauled around.

With that in mind, an emphasis is put not only having insurance to cover the trucker and trucking operation in the event of an incident but on staying in line with regulation. If there is a failure to comply with truck insurance needed or other hazmat regulations, then you could face major fines or even jail time. Plus, with hazmat violations on your trucking record, insurance policies will end up being much higher.

What Does Hazmat Insurance Cover?

A hazmat truck insurance policy covers liability for things like site clean up, loading and unloading incidents, in-transit accidents, contamination, and pollution clean up, medical payments and personal injury claims, and lost income or downtime. Trucking Companies usually consider umbrella, or excess liability, coverage on top of existing, or primary, liability policies.

Hazmat/Hazardous Insurance Rates

There are a number of issues that can influence the amount of money that trucking companies have to pay for a hazmat/hazardous truck insurance policy. If there are previous hazmat violations, the insurance rate will likely be higher. To keep insurance rates low, make sure that all hazmat regulations are followed. Additional price influencers include having any gaps in coverage, the type and quantity of hazmat carried, as well as previous accidents or a poor driving record.

About Western Truck Insurance Services

Western Truck Insurance Services is a commercial truck insurance agency with roots dating back to 1954. We have evolved into a highly respected, professionally managed, truck and transportation insurance brokerage. The hallmark of our organization is our desire to provide unparalleled service. We go way beyond what you expect to receive from an insurance brokerage. Equipped with state of the art automation, Western Truck Insurance can provide you with lightning fast truck insurance quotes, customer service, Insurance certificates, and coverage changes.

What to Know About the Necessary Commercial Vehicle Licensing Requirements

Every state has requirements for commercial transportation licensing that helps to keep trucking companies and freight forwarders regulated on the roads. Truckers, public livery, freight forwarders, and others all have some form of governmental licensing requirements, which means that trucking companies are bound to certain guidelines to keep them safe.

If a trucking company does not follow the requirements, they would be opening themselves to serious Federal and State fines which will effectively put them out of business. Here is a quick overview of some of the basic requirements for trucking and freight companies when it comes to licensing and permit requirements.

Interstate Trucking and Intrastate Trucking

There are plenty of differences between intrastate and interstate trucking and the professionals who drive those distinct routes. And regulation between the two is no different.

Trucking professionals who are hauling for hire with interstate travel are required by law to apply for a permit with the Department of Transportation and FMCSA. In doing this, truckers will also need the information (DOT & MC #’s) marked on their vehicles.

Intrastate truckers are required, depending upon State rules, to apply for a permit with their respective state. Each state has its own unique criteria, but most states have adopted the Federal guidelines when it comes to truck insurance issues. Trucking companies need to have truck insurance in place in order to meet the guidelines.

Many States are  using the DOT inspections for interstate carriers to monitor the safety and truck insurance aspects of the intrastate truckers. For truckers doing both intrastate and interstate shipments, a state and federal permit would be needed to operate.

Public Livery Operators

Public livery operators, such as bus drivers, limo drivers and taxi operators, are regulated in the same way as truckers are above. These types of drivers are treated differently as their operations are completely different and may be under more intense monitoring than trucking professionals. There are higher requirements for auto liability insurance than for truckers.

Freight Forwarders

Freight forwarders have a specific requirement to obtain a freight forwarder permit from the DOT and FMCSA if they are moving freight interstate or internationally. There are various bonds that may be required, which depends on what activities are being performed.

Regardless of interstate or intrastate, trucking or public livery, requirements are there to keep driving professionals, their companies and the general public safe, not to mention complete the services and tasks at hand for clients. It’s important to know the basics of what’s expected and to consult with the right truck insurance provider to help with understanding the requirements.

About Western Truck Insurance Services

Western Truck Insurance Services is a commercial truck insurance agency with roots dating back to 1954. We have evolved into a highly respected, professionally managed, truck and transportation insurance brokerage. The hallmark of our organization is our desire to provide unparalleled service. We go way beyond what you expect to receive from an insurance brokerage. Equipped with state of the art automation, Western Truck Insurance can provide you with lightning fast truck insurance quotes, customer service, Insurance certificates, and coverage changes.