I'm getting to the point I have too much work and am thinking about leasing a O/O on to me. how exactally does that work? I was thinking, they pay their bobtail, plates and IFTA and I pick up the rest is that right?

You would need them or you to pay the primary liability also, plus a trialer interchange insurance, so they could pull any of your trailers.

Talk to your insurance agent, they can explain it better.......good luck tho......one rainy day, if you know what I mean

Unless the owner operator has his own IFTA account, you will be responsible for paying the IFTA to the state. However, you can collect that money from him from each settlement. If he wishes to use his own IFTA account, there is a form that you will need to fill out to give your state. He should have bobtail insurance for times when he will not be pulling a trailer. You should have him sign a lease agreement that clearly spells out the relationship and what is expected from each party. You can get what should be included in the fmcsa website. Or, you could get a copy of a sample lease agreement from OOIDA, if you are a member. You are responsible for paying the liability and cargo insurance and will need to add him to your policy, whether he pays the premium or not. Most carriers do not collect the premiums from an owner operator who leases to them, but some do. Since he will be running under your operating authority, his base plates or cab card will need to have your company name as the carrier, even if he already has his own base plate. OOIDA would be a good source to talk with to make sure you cover everything. If you decide to proceed with leasing on an owner operator you may want to get software that will help with your bookkeeping. I am not trying to sell you software, but I have been using Trucknpro software for a number of years. The Biz Manager program will allow you to print out settlement reports for him and do the IFTA by his truck number to keep things separate. You may already have a program to do all of that, but it makes life much easier. At one time I ran multiple trucks off of a spreadsheet, but it was time consuming. Most carriers also collect a performance bond from owner operators, but that is an individual choice. Good luck.

yeah.. I thought of that..

I got some guys leased on with me,here is our deal
we do it 2 ways
they run under their own authority or mine
when theirs ,they get 85% plus fuel surcharge.They pay 150 a week for trailer if they don`t have one.
I furnish fuel card and ways(cash,or credit etc) to help them fix their truck on the road if they need help also.They furnish their own plates,drug testing,insurance.1,000,000 liability and 100,000 cargo along with their own ucr and 2290

under my authority they get 75 % and fuel surcharge.Same deal with the trailer.
I pay insurance but they pay it back monthly in 10 payments.They do their own ucr and 2290

you might want to consider the thread i started about a buddy getting busted on a low weight bridge.If he was running under your authority you would have a big bill to pay,under theirs,it`s on them.When you lease a truck on under your authority you are taking a big chance.Something to think about

i was thinking the same way too. but if they run under their authority whos name goes on the truck? I was thinking of paying like 85% mainy because of the tolls where I go.

The guys I have are trip leased and their name is on the door
they carry a copy of the agreement with them,and most of the guys I get my work from are aware of how we operate and have copies of all our insurance