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Independent contracting with $1 million insurance

Discussion in 'The Newbies Paradise' started by bossladyofleisure, Apr 6, 2018.

  1. bossladyofleisure
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    bossladyofleisure New Recruit Driver

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    Hello all everyone!

    I am in the process of buying a van to work as a contractor for an established company.
    Being that I will be hauling hazmat, I must obtain $1 million liability insurance on top of full coverage for the new van.
    I am currently awaiting quote information before I sign off on the van. I would like to haul hazmat to get the better paying loads. However...I've read on other forums that that insurance could easily exceed $20k premium annually.

    Basically, I'm up in arms wondering if my overhead would be feasible vs just simply hauling non-haz.

    For those of you who started your own expediting, did you start off immediately hauling hazmat or did you haul non-haz for a while then upgraded?

    I just don't want to dive in headfirst into unforseen debt.
     
  2. FlyingVan
    Barefooter

    FlyingVan Moderator Staff Member Owner/Operator

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    If you haul freight for reputable companies you need 1 million primary liability insurance even for regular freight. If you lease on with the big companies directly, most of them will pay for primary liability, also for cargo insurance.

    If you go independent, or lease on with small companies, you will need to pay for all insurance, primary liability, cargo, and physical damage. Depending where you live, your age, your driving record and your cresit score, you could be paying as high as 10k a year for all this.

    Not to mention that these small companies can go bust far easier than a bigger one and you won't get paid at all. It happened to a few people on here.

    Best thing for you to do is to get your CDL and drive a straight truck for a fleet owner for a few months then buy your own. If you still insist on getting a van, lease on with one of the big companies and leaen the ropes first. And prepare to sit a lot.

    Sent from my LG-H918 using Tapatalk
     
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    • Winsly

      Winsly New Recruit Researching

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      Get ur Twic car it cames with hazmatt
       
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    • Winsly

      Winsly New Recruit Researching

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      Card
       
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    • Worn Out Manager
      Amused

      Worn Out Manager Veteran Expediter Owner/Operator US Air Force

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      Dear Winsly, please don't give advice until you understand the the business.

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    • Worn Out Manager
      Amused

      Worn Out Manager Veteran Expediter Owner/Operator US Air Force

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      From what others have said, Hazmat is no longer a guarantee of better paying load and several good carriers avoid Hazmat.

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    • Treadmill
      Caffeine Fix

      Treadmill Veteran Expediter Owner/Operator

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      I quit doing hazmat loads because the rates started falling and are roughly now only slightly higher than regular freight. Not worth the aggravation and safety IMO.
       
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    • Turtle
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      Turtle Administrator Staff Member Owner/Operator

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      Ah, the good old days when HAZMAT paid serious money. Nowadays it pays diddly squat. I dropped my endorsement 3 years ago .Haven't regretted it once.
       
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    • bossladyofleisure
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      bossladyofleisure New Recruit Driver

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      OOOOOOOOOOOOOOOOOOOOH WOW!!

      Sheesh guys...thank you sooo much for responding. My search is still ongoing for a van. I was seriously about to buy a ProMaster, but I've read nearly 300+ reviews that the reliability of those are horrid. I've read nearly 100+ reviews of the Ford Transits and the Fords are preferred over the Rams. I've been wondering why there were so many Rams available than Transits. I'm scheduled to go look at a Ford in the morn with 75K miles for $24k, 2015. Enterprise are also selling some but I've read reviews that dealing with them is tricky just as anywhere else.
      Now I am considering short leasing vans so I won't end up stuck paying on a van I'll have issues out of unexpectedly.

      I am disheartened to read the hazmat loads aren't paying as much anymore. I wish I were into this eons ago.

      My emotions are all over the place because I have no help in this matter and I'm scared :censoredsign:less. I don't want to do the wrong thing. I know there are risks to anything in life and sometimes you just have to go for it and it'll be what it's gonna be.
       
    • Moot
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      Moot Veteran Expediter Owner/Operator

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      Were're here for you. Keep reading and asking questions.
       
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    • TheHardinsI

      TheHardinsI Seasoned Expediter

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      We have had a Couple of Sprinter Van's and now drive a ProMaster it's a 2016, 3500, 118" wheelbase bought it new and have 230,000 on it no troubles.. We also lease to a Company been there 11 years. Have wondered about going on our own as we are getting towards retirement and would like to be home more. Best of Wishes

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    • akkshole

      akkshole Veteran Expediter Owner/Operator US Air Force

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      118" wheelbase??? Most transits are 148, promaster 159 and Mercedes at 170. 118 is short wheelbase. I have the 159 wheelbase promaster and can sometimes fit 3 pallets if properly loaded but lose all bed space to do so. Listed cargo length on a non ext 159 wheelbase is 140 inches...but if freight is any more than 20 inches high u either lose seat/leg room or lose cargo length. 140 is generous measurement for non extended for cargo length.

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    • RoadTime
      Paranoid

      RoadTime Veteran Expediter Owner/Operator

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      I wish I would have got out eons ago :rolleyes:
       
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    • Worn Out Manager
      Amused

      Worn Out Manager Veteran Expediter Owner/Operator US Air Force

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      Then what would you do? Work at Family Dollar and have some grouchy old Canadian for a boss?

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    • TheHardinsI

      TheHardinsI Seasoned Expediter

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      I'm not sure where my thoughts was that day. But yes your right 159 inches... Yes we loose all space. We dont often get 3 pallets and honestly dont like getting 3.. that and the space upfront are the 2 things we would change about our Pro Master if possible.. sorry about the error and thanks for letting me know

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    • TheHardinsI

      TheHardinsI Seasoned Expediter

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      As I said not sure where I was that day. But yes ours is 159" also 3 pallets takes up all room.. It would be nice if they would place the seats closer to the doors so you had that room between the seats. But other than that I have no complaints on Our ProMaster has more Power than our Diesel Sprinter ever had.

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