Tips for Starting a Transporting Business

The trucking/transport industry is a promising business venture, seeing as its demand essentially grows in proportion to the advancement of a particular community or city. Indeed, the more progressive a place is, the more it needs to have materials and merchandise hauled away to a new location to be sold and distributed. Here are some things you need to know if you want to engage in this business:

First, you have to know what type of trucking operation you want to run. A sub-contracted system means giving out jobs to drivers not of your employ. This helps you cut down on start-up costs, but you have little to no control over your drivers. A privately-owned business, on the other hand, gives you total control over your operations, but will need more start-up capital.

Next, find out all the necessary requirements, certifications, and other documents to officially and legally start your business. For instance, you need to know about the Federal Motor Carrier Authority number, as well as the International Fuel Tax Agreement Decal and the Heavy Use Tax form. Such documents are required for you to comply with regulations referring to the heavy use of national roads.

You'll also need to invest in the right equipment before you hope to begin your transport business, especially if you will employ your own drivers. Look into different types of trucks to perform various jobs, like flatbeds for oversized transports or a refrigerated one for transporting food and other frozen items.

Raising Trucking Insurance: Necessity or Additional Headache?

A proposal has been made to raise the minimum of trucking insurance from $750,000 to $1 million. For members of the trucking industry, a comprehensive insurance is required to cover the possible liabilities truckers may face while out on the road. Whether it's protection from damage, loss or injury, having insurance can help both drivers and owners from facing financial losses, as well as protect the general public from reckless truck drivers. While the Trucking Alliance believes that the minimum must be raised to help with settlements for uninsured liabilities, both the OOIDA and ATA believe that it's an unnecessary expense and could make truckers bigger targets for personal injury law firms. With the Federal Motor Carrier Safety Administration (FMSCA) still analyzing the proposal as well as the studies made by the 3 groups, all truckers are advised to maintain their current policies and drive safely.

http://c2cservices.com/blog/industry-news/fmcsa-analyzes-possibility-of-raising-trucking-insurance-minimum-ooid-and-ata-think-otherwise/

The Importance of MC Authority and Other Permits to a Trucking Business

Trucking is a lucrative business that can generate a lot of profit for everyone involved, making many people interested in joining the industry. However, not anyone can just start a trucking business without getting the necessary permits for it. The most important permit needed for a trucking business is a motor carrier or MC authority. It's a designated number issued by the US Department of Transportation which acts as a license as well as a carrier insurance for the protection not just for the business owner, but also the public. Depending on the type of materials a truck carries, other permits may also be required before a trucking business can head out on the road. Apart from legal matters and the ability to cross state and country lines, carrier permits can also help people in the trucking industry to gain the trust of existing clients and attract potential new ones.

http://c2cservices.com/blog/industry-news/get-an-mc-authority-for-your-planned-trucking-business-less-the-hassle/

Why You'll Need Commercial Truck Insurance

If you have recently started a logistics and transportation company, you are going to need a truck insurance before you can begin accepting customers. A truck insurance functions like a car insurance; even the steps to obtain either one are remarkably similar. However, unlike car insurance premiums, truck insurance policies have much higher premiums.

Trucks are much larger than cars, after all, and are much heavier since they are designed to tow loads and trailers. If a Lincoln car rear-ends an Escalade SUV, for instance, the damage is more likely to result in minor injury or auto repair. The same can't be said if a commercial truck rear-ends a Lincoln or an Escalade, as you certainly wouldn't want to pay for the ensuing expenses out of your own pocket.

Commercial truck insurance terms vary from state to state, so it is therefore ideal to get help from reputable consultants who can tell you which one best fits your business requirements. Among other things, you need to look into liability coverage. If your driver happens to have caused an accident, you wouldn't need to worry as your insurance company will pay for the injured party's medical expenses as well as the cost of damage to property.