If you’re embarking on the journey of starting your own trucking business, congratulations and thank you! The shortage of truck drivers is evident, and entering this field offers freedom on the open road, making it a potential lifelong career choice. Here are the crucial steps every new venture trucker needs to understand:
Step 1: Determine your Business Classification and Name Before seeking a quote, you must decide on your business classification. Choose between options such as LLC, Partnership, Sole Proprietor, or Corporation based on what aligns best with your goals. This classification will be required for your insurance policy. Additionally, select a name for your business and ensure its availability.
Step 2: Obtain Your Trucking Authority Establishing your authority is a pivotal step. Trucking authority refers to the permission granted by the government to transport freight for compensation. There are specialized companies that can assist you with the setup process. It’s advisable to apply for your authority early, as the entire procedure can take up to 7 weeks.
Step 3: Register with the FMCSA and Obtain a USDOT Number To operate a commercial vehicle involved in interstate passenger transportation or cargo hauling, you must register with the Federal Motor Carrier Safety Administration (FMCSA) and obtain a USDOT number.
Step 4: Get Adequate Insurance Coverage While insuring a new venture can be challenging, there are carriers willing to take the risk. Typically, the limited experience in driving trucks is a factor, but as you gain more experience, more options will become available. Our agency works with numerous companies that can provide you with a quote within one business day, so let us assist you in getting started.
Our agents can guide you in selecting the necessary coverage options for your trucking business, which may include:
- Cargo Insurance: Provides coverage when you are responsible for lost or damaged cargo due to fire, collision, or other incidents.
- Truck General Liability: Essential for for-hire truckers, this coverage protects against liability claims.
- Non-Trucking Liability: Covers your liability when using the vehicle for non-trucking activities, such as personal errands.
- Trailer Interchange: Offers physical damage coverage for the trailers you pull under a trailer interchange agreement.
- Physical Damage: Provides collision and comprehensive coverage for your truck if it is damaged in an accident, stolen, vandalized, or catches fire.
Numerous other coverage options exist, and the specific needs of each business may vary. Consult with your agent to determine the appropriate coverage options for your trucking business. As truck insurance specialists, our agency is committed to helping you establish your business and get on the road to a successful trucking career. We look forward to assisting you in this exciting endeavor.
