Jd Seller, Jon F MN, owner operators

I got my insurance bill for the Mack Saturday. Im paying a little over a $1000 a year for a non commercial/ag/private use policy. My tag on the truck is also ag only. I bought the truck and trailers for my personal use, moving my combine, excavator, grain, fert, etc. Due to grain prices, and giving up some rented farms my farming will be cut way back in 17, and maybe longer. I am pondering getting a commercial insurance policy, and tag, and trying to make a dollar. Mostly for Dad. He is retired, and with farming scaled back he gets bored, and being retired he could always use a little walking money, but mostly to keep him occupied. I have a 30ft coal bucket, and a 50 ton detach lowboy. Im thinking of moving equipment locally, and hauling grain from the river at Louisville, to the local feed stores(150mi each way). I own the truck, and trailers, so they don't have to stay hot to make a payment, but in my mind its worse for something to just sit than to use it. What do you guys think? Fools errand, or potential? Worst case i can go back to the ag only and just move my stuff. What can I look to spend on insurance? What kind of coverage do I need? Thanks for any advice you guys can give! If you would rather shoot a email, [email protected]

That is not really my area as Dart does all my comercial insurance and such so I have no idea what that should cost. I do know that grain hauling is a tough business with pots of competition so rates are low. I wouod look into more work with the lowboy as that wiol certainly pay more. But hauling grain will return some too since you already have the truck. Can your dad pass a dot physical? Something to think about before you get too far in. Also next year I think electronic logs are going to be manditory for everyone, so that is a cost too.

Insurance wise you will need 1 mill, 1 million and 100k cargo as a basic policy. As far as a good idea that is a loaded question. I figure that I need to clear 1500 a day for 4 day's a week to cover my costs anything over that is a bonus. If you do decided to go forward Don't Let someone else dictate your prices or your profit.

Only your insurance guy knows what a commercial policy would cost. I'd ask him first, maybe shop it around a little, then look at your costs vs anticipated revenues and make your decision then.

If you are going to run interstate, you will have to get a DOT number, but maybe you already have one. Also you will have to get IFTA , or what ever they have now, Maybe you already have that too.
I suggest that you join OOIDA (Owner Operator Independent Driver Association), you can get a lot of info and help from them. Insurance info you will have to get from the insurance agent, diffeerent state to state, person to person.
Good luck.

The whole commercial insurance, IFTA, and License to run commercially will run you roughly $5000 a year. Tags and IFTA being around $2000 of that. The commercial insurance with the liability and cargo coverage will run $3000-3500 per truck. Getting a DOT number and Motor carrier authority will cost about $750 one time. You also have the once each year Federal Heavy truck tax of $500. Then you have the electronic log issue coming this next year.

These costs are one of the reasons WE cut back to farm tags and do ZERO hauling for anyone else. I have the DOT number and county plates.

If you want to haul machinery you will need more like a 250,000 for cargo. Nothing costs just a 100,000 anymore. And with a 50 ton detach you will not be hauling without permits much those can make a haul pretty cheap after those in some states.
my insurance is about 7500.00 a year for a million liability and 500,000.00 cargo. You can get riders for loads if they are over your insurance limit. What a pain though and some brokers will not load you if you don't have at least 250,000.00 cargo now.
As for the log book thing if your truck is a 1999 or older you will not have to do the electronic logs yet. There is an exemption for them. The membership at ooida would be well worth the cost of 45.00 per year or you can go loner termes for less per year. They can get you set up with the authority and all for less than most places will. Yes I am a member and have been for about 20 years now. No I don't get anything for advocating them. 1 800 444 5791 good people and will do collections for free as a service to members if you can't get paid for loads.

We call grain community service work.

Everyone wants to load you til you're popping rivets then complain about how much you charged for the load.