[GMAN]

Some brokers carry insurance that supplements the carrier's insurance. You might check to see if the broker had any additional insurance on the cargo. It is a gray area when the broker puts a load on the truck that they know will exceed the insurance coverage. I had a load from a broker where the value of the cargo exceeded $1 million. The broker had insurance in place that covered anything over and above my insurance policy. Due to the type of cargo, there was little chance of a claim, but it was good to have the coverage, just in case. The broker used their insurance rather than having to pay for my getting a temporary policy that would cover the product.

[merrick4]

Hi GMAN, yes I'm going to look into supplementary insurance myself. This broker was Transplace so they are big enough. I just don't like how everyone is acting. The adjusters for my insurance company seem like they are working for Transplace, the insurance company just seem not to care (I don't understand that). So they want to play, I'll play. In the end I might have to pay, but again they are now only claiming for the $100,000 which tells me they did something wrong. The BOLS never had the value of the freight. So I'll deal with the lawyer and learn a little. Nobody is ever in a hurry to pay us, why should I be in a hurry to pay them. Besides they already froze $24,000 which we just wrote off.

Had an accident last night, never trust anything until I see it but it seems like the other party admitted he fell asleep at the wheel. We are firing this guy anyway, he's been here two weeks and done nothing but complain.

We are thinking of opening up another terminal somewhere as we have plenty of freight around the country, well more mid-west and South East. We don't go out West much and avoid the East Coast. The logistics of hiring drivers out of another state and finding a place to park is going to be a process. We'd like to find a big enough Ryder where we can park some trucks.

Also we have the benefit of being able to offer Florida residents a job where they are in and out of Florida all year round. We won't have such an edge out there. It's a process...

[merrick4]

Insurance renewal time. I am starting to understand these rates a bit more. First for the trucks and trailers from Ryder I pay them as part of my bill. Then the non owned Ryder trailers is through an outside Ryder program. I won't explain how it's set up but I have had it good. Now I am paying market rates for the non-Ryder equipment and my annual premium just jumped $47,000. I am basically in the worst place to insure vehicles (South Florida, with New York being second I'm told). I called my agent for the Intermodal company and went over a scenario if I pulled all insurance and got my own for all trucks and trailers on the market. He is in Georgia. Basically the rates I pay for the trucks are so low he said he would be doing me a disservice to even quote me. For example for a new truck I am paying (off the top of my head) about $439 a month for liability and Comp and Collision. On the trailers I am paying just $87 per trailer.

I am moving along with the intermodal business. We have customers, insurance all set up and now the chassis is the next thing. I signed up for one of those pools but come to find out they only serve two lines. So it looks like I am just going to buy one to start out. Again we already have work. Besides that I hear the key is to know the Longshoreman so I will work on that so these trucks aren't sitting.

We have outgrown our phone system and now I also have to figure out what to do next. We have 4 lines and I walk into the office it is non stop. I call in sometimes and it's busy. I know nothing of this stuff which just makes it harder. I am also now working on getting health insurance for everyone. I never dreamed things would have gotten to this size, and yet we are still a small company relatively. I am going to hire a couple more for the office and if all keeps going the way it's going should be up to 50 trucks by the end of the year. Unfortunately I need to have my other hip done next month, but at least I know what to expect and even now I can run around quicker then most. I just want to get it fixed now so I don't need a hip replacement later in life.

[Shteven60]

Hi Merrick4, this is off topic. I read your 2007 posts when you started out and I wonder if you have any advice for me 7 years later. Would you do it again or did it just become a case of "buying a job." Are the conditions for Owner Operator Authority much changed since you began or basically the same. When you started lots of folks gave you the names of good loadboards and companies/brokers; can you post a similar list? Can I start with a reliable old tractor and dry van and keep the truck rolling as I get experience? Can you recommend a good insurance company or two? You see, a lot of the same questions you had, especially "Can I do this without losing my shirt or falling on my face." My kids are grown so I have some freedom to try. What do think? Sorry bout typos, using Android with fat fingers.

[GMAN]

You sure have a lot going on, Merrick. I wish you well with the hip. I think the biggest challenge in any business is finding the right people. As you have found out, running a business is a constant learning experience. I just filled out the paperwork to renew my insurance. After the last couple of years, I just hope that my rates don't go up again. I moved my business to a different insurance company with Northland's last rate increase last year. There were no claims and good mvr and safety scores. Just greed. I have begun shopping my insurance with other companies. I find it helps to keep my insurance company more honest by telling them you are shopping rates.

[merrick4]

Hi GMAN, yep a lot going on to say the least. The other night I took the phones for the first time and so much has changed I had a hell of a night. A rip off tow company took a drivers truck and then AGAIN, the Hialeah mafia struck and stole another trailer out of the yard full of meat. I can't put this one in insurance as I will never get insurance again so that's a $100,000 hit. But that's it. I'm getting my own yard and until then am going to hire a security company. It's ridiculous, we have cameras etc as it is; gated fence with key pad, but these people are just thieves down here.

I found a good lot, went there with my relator today and will go to the bank tomorrow. I mean at every turn I have to figure things out on my own. The tow truck company started being mouthy on the phone and telling me that no signs need to be posted. I pulled up the municipal code and started reading it to him. He shut up. I just have the weight of the world sometimes on me. I am 42 and most of the office are half my age and yet computers go down I have to fix them. I was close to pulling the plug the other day but it's hard to do. We have a good company. We have good accounts and just picked up another huge account down here in Florida. I have hard working office staff and you are always going to have your bad apple but the drivers are pretty good. I might hire a private investigator; usually these things are inside jobs but so many people park in that yard. Also we have the best equipment.

I can't believe you moved with Northland, I know you were with them for so long. They are putting people out of business left and right (the insurance companies) and the government with regulations that they have no idea what they are doing. I mean common sense dictated that you can't push all the trucks on the road in peak traffic hours with these new restart provisions and now the police are coming out against it. Well what can you do? Thanks for the well wishes on the hip. It should be fine. The technology is getting better and better. Up until recently I was doing yoga, cycling, lifting weights and swimming and that was after the last surgery. I am still wicked fit and look and feel much younger then 42.

[merrick4]

Originally Posted by Shteven60

Hi Merrick4, this is off topic. I read your 2007 posts when you started out and I wonder if you have any advice for me 7 years later. Would you do it again or did it just become a case of "buying a job." Are the conditions for Owner Operator Authority much changed since you began or basically the same. When you started lots of folks gave you the names of good loadboards and companies/brokers; can you post a similar list? Can I start with a reliable old tractor and dry van and keep the truck rolling as I get experience? Can you recommend a good insurance company or two? You see, a lot of the same questions you had, especially "Can I do this without losing my shirt or falling on my face." My kids are grown so I have some freedom to try. What do think? Sorry bout typos, using Android with fat fingers.

Hello. This is a very tough question to answer. I don't know if I would do it again. If I did I would do things a bit differently. I had no idea what I was doing and was just and sometimes still am just winging it. If I did buy myself a job, it's a well paying job. I have been smart with the money. I could be driving a Jaguar but I drive a car worth less then most of the drivers have. And I would say a big YES as to the conditions for the owner operator. I don't see how an owner operator can survive in this environment. But it's a big country and I guess if people find a niche or a good lane. Also it all depends on what you want in life. I never did like trucking. Well let me rephrase that, I truly enjoyed my time seeing the country. It was an awesome experience. I am from little Massachusetts and actually not far from Boston so even Springfield seemed far to me. Imagine me standing in Montana or South Dakota?

As for your question about reliable old tractor, I started with one with a warranty still and a new reefer. I don't know and anything about dry vans though that's my next move I think. Honestly the best advise has come from GMAN in my opinion. Start with capital, reserve money etc. I have no idea how these people get into these lease purchase plans. I started when they were handing out credit cards like water. So even the reefer I put on a 0% credit card. I had at one point about $200,000 in credit card debt at either no interest or exceedingly low. But I got nervous and paid it all back. I could do it again but I wouldn't. As an established business I can just get a line of credit.


I am not mechanically inclined so an old tractor might suit you but it wouldn't suit me. I have a very intense personality and am constantly doing research on everything. This has helped me immensely in this business. Everyone around me says my mind goes 5 times faster then most. And I say that not trying to sound obnoxious. It's just what they say. In fact they have always told me that and I never liked it. I am a very plain spoken person, very non-assuming and a lot of the new drivers think I'm just another driver when I'm in the office.

I'm sorry if I went off topic but it's a hard question. I don't know you, where you are from, what your goals are in life. As for falling on your face, well failure is a good lesson. Everyone falls on their face, you just need to get back up and try again. As for losing your shirt, well watch your numbers and don't chase. By that I mean people go to the casinos, lose money and chase and chase trying to get it back. I live next to a casino and never go. But I buy lotto twice a week and when I always buy among the tickets a $10 scratch off. If I win I collect my money and move on. I don't chase. You have to know when to cut your losses. As for a good insurance agent I really like the one I found in GA


Interline Risk. Agent is Robert. Guy is wicked honest.

Phone: 912-330-5250

Toll Free: 877-578-1516

FAX: 912-335-5741
Email: [email protected]

[Driver of the Year]

Merrick, it's always an inside job! I would suggest fifth wheel locks on your loaded trailers! Another feature is a GPS that tracks where the trailer was and everywhere that trailer passed, business camaras will capture the semi and faces of the thief's!

[merrick4]

Not down here in South America, I mean South Florida. I asked the cops about the traffic cameras and they claim not to have access to those. Fingerprints take up to a year. In short the cops don't care. Well at night we have an armed guard. I went to check on him last night and he looks trigger happy. I told him who I was and he wanted my license before he would talk to me. I was more than happy to comply.

I put everything through insurance and actually though two of the claims won't hit until next year I did have this theft and my rates for cargo insurance didn't go up that much. Well Ryder came back with close to $100,000 in premium and I got it for I think it was $62,000 with a good company. I just have two agents now which is a pain.

[GMAN]

Just about everyone is seeing increases this year. In fact, most have gotten increases for the last two or three years. I spoke with one insurance company and he told me that most new authorities are paying around $10-12,000. Man, that would be a killer starting out. Back when I hauled cars my premium was around $8,200, but that was with $250,000 cargo. It was a lot of money. I need to make a decision on my insurance this week. It still looks like my current agent will give the best rate and with my current insurance company. I am still waiting on a couple more quotes, but I don't want to have a lapse in coverage and I only have a couple of weeks until my current policy expires.