Workers' Compensation

OnMyOwn · Nov 20, 2014

I am a little puzzled about this subject so I am looking for the input of other carriers, small or large, or even O/O.
I do not believe, but please prove me wrong, that any carrier out there is providing workers' compensation for their drivers. The cost of WC for trucking industry is anywhere north of 20% of income. No driver can afford to pay 20% of their pay, not with the rates we are working today. The carriers definitely cannot afford. An asset based carrier makes less per truck than the hired driver.
So please explain how do you work with brokers requiring WC? What is the workaround, cause I'm pretty sure there is one, and have not been able to figure it out OnMyOwn

crich · Nov 20, 2014

some will have a wavier you can sign saying your exempt. you may also qualify to be self insured
in your state. I don't know what stat you are an employer in but in IL it cost $500 for the application fee and they work off a point system I don't remember all of it but its based on a point system from 3 category
1 assets to liabilities
2 capital and retained earnings to sale
3 capital and retained earnings to long term debt

the points from each category are added up and if you score 9 out of the 18 possible points then you should be approved upon furnishing the appropriate security. basically a 200k bond will work after 3 years no security is required.

Opel2010 · Nov 21, 2014

What's the difference between WC and Occupational?

Turtle · Nov 21, 2014

Opel2010 said:
What's the difference between WC and Occupational?

WC is for employees, while Occupational is for employers and business owners such as independent contractors.

gwconover · Dec 15, 2014

Not sure if this is true.... BUT... I was told that I am covered under WC while under load, from loading to unloading. Anyone heard this b4?

fastman_1 · Dec 15, 2014

gwconover said:
Not sure if this is true.... BUT... I was told that I am covered under WC while under load, from loading to unloading. Anyone heard this b4?

I believe it depends on your state, in Ohio to be covered you have to pay into it.

GrassHopperr · Dec 15, 2014

I own a painting business incorporated in Illinois. My workman's comp covers everyone who's on my payroll, not me tho.

Turtle · Dec 15, 2014

Wokerman's comp is generally for employees only. Business owners, including self-employed independent contractors, will usually need to purchase their own Occupational Accident insurance. You can get it on your own or you can get it through your carrier through a weekly payroll deduction. Occ Acc, as it is known, covers you for accidents only while you are under dispatch, meaning from the time you accept a load until the time you deliver the load. If you have an accident when not under dispatch you are not covered.

On Nov 18 I had an accident at my delivery while the second skid was being unloaded from my Sprinter. I fell and shattered the distal end of the radius and ulna. A few minutes later we got the second skid off the van, the receiver signed the paperwork, and I sent my Proof Of Delivery over the QC.

Because the accident happened before I sent the POD, I was still under dispatch and was thus covered under the Occ Acc policy. If I had fallen after I had sent my POD I would not have been covered.

BobWolf · Dec 15, 2014

First find out what your home state requires for your situation. If you are totally independent with NO EMPLOYEES, NO CONTRACTORS, NO LUMPERS OR LABOR OF ANY SORT, in most states you don't have to carry W/C insurance.

Bob Wolf.