Category: insurance premiums

Ready For a Change? Here’s How To Get Your Own Authority Right Now

Posted on December 18, 2019 by - factoring, freight load board, insurance premiums

We know 2019 hasn’t been very kind to trucking.

But right now might just be the perfect time to get your own authority.

For instance, freight prices are holding steady and used truck prices are low right now.

But if you’re looking to become an independent owner-operator, you’re going to need a lot more than just your own equipment. 

Here are all the things you’ll need to become an owner-operator truck driver that you probably hadn’t considered.

Truck Registration

You’re going to need a lot of registration to get your own authority. Here are two of the most important ones:

USDOT Number:

Issued by the FMCSA (Federal Motor Carrier Safety Administration), USDOT Numbers are required for vehicles that haul cargo or transport passengers interstate and that meet one or more of the following requirements:

  • Has a gross or combined weight of 10,001 lbs or more
  • Transports 8 or more passengers for compensation
  • Transports 15 or more passengers not for compensation
  • Transports hazardous materials.

The USDOT Number serves as your identification during inspections, compliance reviews and more.

MC Number: 

The MC Number serves as your interstate authority, or your right to travel between states. In addition to your USDOT Number, you may be required to obtain one or more types of authority through the FMCSA based upon your business and the type of cargo you carry.

The type of authority obtained will determine the type and level of insurance coverage needed.

For a full list of registration requirements, check out this blog.

Trucking insurance

That’s right. You’re going to be the one coughing up the premium for insurance. Not only is it important to protect yourself in case of an accident, but insurance is also required legally.

There are a number of different coverage options available, so be sure to do your research to find the right kind from the best provider.

Find a good load board

As an independent owner-operator, you’ve got to find business for yourself. Finding a solid load board where you can bid on profitable, convenient loads is very important.

Our top pick for a load board is DAT. They have a simple and easy to use marketplace where you can choose from over 235 million loads posted per year.

Factoring

Factoring can be a huge asset to small trucking operations. In many instances, final settlements from completed loads can take weeks or months to receive. 

Factoring companies help by giving you the money upfront and then bearing the responsibility of tracking down the settlement from your clients. This can help you keep the bills paid on time.

Use a good TMS

You need a centralized location where you can track all of your loads, expenses, and maintenance.

That’s where TruckLogics Trucking Management Software (TMS) comes in. With their web-based software, you can enter and track records from anywhere, even your cell phone.

Some of their great features include automated check calls, expense tracking, invoicing and billing, IFTA compliance, and business reports.

The best part is you can get a 15-day free trial. There’s no obligation and no credit card information required.

Out With The OLD And In With The ELD

Posted on March 19, 2019 by - AOBRDS, DOT, Driver safety improvement, ELD features, Federal Motor Carrier Safety Administration, FMCSA, HOS, Hours of Service, insurance premiums, Ray Martinez

Since 2017, the ELD mandate has been in effect. In December 2017 fleet owner’s with Automatic On-Board Recording Devices (AOBRDs) installed were given an extension to make the switch from AOBRDs to ELDs up until December 2019. With the new year in full swing the December 16, 2019 expiration date is quickly approaching.

At the 2019 Omnitracs annual user conference, head of the Federal Motor Carrier Safety Administration, Ray Martinez, urged drivers and company representatives to “prepare for this transition, if you have not done so already.”

The most strategic way to avoid procrastination when choosing an ELD is being in the know of what major differences stand between AOBRDs and ELDs.

Key Differences Between AOBRDs and ELDs

For many in the transportation business, the most proposed question that has been asked is, “why?”. The main reason behind the switch is to ensure companies are following the hours-of-service (HOS) law, which controls how much a driver can work in a day, aimed at preventing accidents and harassment of drivers. If someone has yet to make the switch from an AOBRD to a compliant ELD and are waiting to the last minute, the following differences in the two devices may be incentives to make the switch earlier.

Recording Metrics: AOBRDs does a lot of basic recording such as; location, date and time, mileage, engine hours and drive times, as well as duty status. ELDs record the same metrics plus information on the driver/user, motor carrier and vehicle including; log in and log out, engine on and off and also malfunctions.

Locations: When it comes to location AOBRDs allows users to record the change of location during each change of duty status and can be entered manually. With ELDs the location is automatically recorded every 60 minutes, whenever the engine is on or off when there is a change in duty status at the beginning and end of yard moves.

Edit History: AOBRDs record who makes edits and when and does not readily display edit history. ELDs require annotations when edits are made, with automatic events they can not be changed – only annotated and it readily displays edit history to DOT inspectors.

Driving Time: The driving time can only be edited when attributed to the wrong driver with AOBRDs and with ELDs that time cannot be edited.

Benefits of Making the Switch

The most recognizable benefit of the switch from AOBRDs to ELDs is compliance, but outside of ensuring that the trucking industry steers clear of harassment complaints the FMCSA wants to make the job of transporters a lot easier.

Low IFTA Audit Risk

The new ELD technology is driver-friendly when it comes to automatically calculating IFTA reports. The process of filing IFTA reports at the end of each quarter can be burdensome, and the overload of stress can cause human error. With this feature, the risk of facing an IFTA audit is reduced significantly.

Safety Improvement

By notifying drivers and management of malfunction issues and even identifying unsafe driving behaviors, ELDs do a great job at protecting all drivers on the road. According to FMCSA, ELDs help prevents roughly 562 injuries each year.

Lower Insurance Rates

Because of the increase in safety ELDs provide, insurance companies are happy to offer lower
insurance premiums to ELD users. By ensuring drivers stick to HOS regulations ELDs are eliminating the main cause of driver fatigue, which is reported to be at fault for 86% of truck-passenger crashes.

Safer Roads + Fewer Accidents = Lower Truck Insurance

Make Filing 2019 IFTA Reports Simple

If you have not made the switch from paper filing and other unconventional IFTA report filing methods, generate your quarterly fuel tax reports with a FREE account before the first quarter report deadline.

Sign-Up Today!