Here is the scoop. I am 59 (60 in a month) and in good health. My regular profession is still in the dumps (building materials sales, estimating, purchasing, installations and so on). I got my CDL class A back over a year ago. I did 10 months with Werner. I got hooked up with a local driving job. The boss there wanted everything done FAST, FAST, FAST! without regard to the limits of his equipment, or the safety of others. I have had my plus 5 points for over twenty years, and only 1 accident which did not involve any injury,and the property damage was under $2,000.00. Nothing else in the negative column.
The trucking companies want 1 year or a recent (new) driving school grad. Nothing inbetween. Werner will not rehire me because of that jackass that made up a bunch of false reasons to fire me. You got to love these right to work states!
I have considered going the owner operator route. I am a good driver, mechanically inclined, I am well funded and would probably pay cash for the truck. I have an excellent credit rating, and have never paid a cent in finance charges my whole life, with the exception of my mortgage. My plan is to go the owner operator route and sign on with a trucking company at least until I get square with the independent load contracting biz. Who knows, I may just like working under the control of that trucking company, and continue on. So, here are my questions:
(1) Do owner operators working for a trucking firm have the same 1 year (or more) restrictions as are imposed on the drivers alone?
(2) Who would be paying the insurance, permits, and other stuff?
(3) If the insurance is to be my burden, just how rediculous is the premiun for a less than 1 year driver. How long until it eases up? How much of a difference does the value of the truck play in the picture.
I was expecting to make truck driving a retirement alternative anyway, and pack up my wife and see the country. One truck stop at a time.

 

1: Pretty much.

2: The Carrier should have a decent insurance program, if they are reputable......but don't hold your breath.

3: a) The Carrier's "Liability" insurability is tied to their Safety Record. If a carrier has expensive insurance (for an O/O), you should be walking away from the recruiter's office giggling hysterically!
b) If it was expensive at the recruiter's desk...why would you want to be there?
c) Just as with your 4-wheeler, Tractor insurance is "Value" based. If you buy a $75,000 tractor, then the insurance will cost more than a $27,000 tractor. IF you do the O/O thing, you want your own comprehensive insurance, seperate from the company you lease into and their "Liability" insurance.

addendum to a) As an O/O, if the "Carrier" requires that you provide "Cargo Insurance", refer to the last sentence to answer a) and walk away giggling hysterically.

Doing the O/O route as a retirement alternative is done by a lot of married couples. Some even share the driving duties. IF you decide to pull the trigger on this, make certain you buy a truck with room for two. A comfortable truck is hard to beat. A mechanicly sound truck that is comfortable is ideal.

The carrier you lease on with is what decides your fortunes. The economy sucks big time right now, and break even is the name of the game right now. Where you want to run, and how much you are willing to do, as well as your driving ability, will decide what carrier you sign on with. In your situation...I would suggest SWIFT, JBHUNT, KNIGHT TRANSPORTATION, or similar as a starting point. Get time in with them, and you learn the industry, as well as gain the experience to move, if you so decide.

I know true "O/O's" at all, as well as at Schneider National, who swear by the company they are with.


Never ever do the Lease Operator...IF you can avoid it. Rookies seldom come out ahead with those deals. Veteran's are hard pressed to come out ahead on those deals.

 

Typically, most carriers furnish liability and cargo insurance. The owner operator is usually required to furnish either bobtail or unladen liability insurance. Premium for those should run between about $40-80/month. The owner operator will also be required to either have workers comp or an occupational accident policy. I would opt for the occupational accident policy since it is cheaper and is usually easier to collect on if you need it. OOIDA has a policy that runs about $140/month. You may also be required to have comprehensive or collision insurance. Those premiums are based upon the "stated value" of your equipment. Rates seem to average from about 2 1/2 -4 1/2% of the stated value. Some carriers offer this type of insurance. When I have been leased to another carrier I preferred to have my own insurance. However, some carriers do offer a discount for their owner operators. Some of the major carriers are requiring owner operators to pay a fee for cargo insurance. I know of one that charges about $5/per load to the truck or owner operator. You will need to decide whether this is a route that you wish to take.

Some carriers furnish base plates and permits. Others want the owner operator to supply their own. The advantage to getting them through a company is that you don't usually have to pay all the money up front. They will finance them for you and take a specific amount out of your weekly settlement. Base plates and permits can range from about $1,600 to $2,200.

One other thing that most carriers require is a cash bond. This can range from $500-2,000 and can be taken out in weekly installments. I think that most carriers require no more than a $1,000 bond. The bond is returned in about 6 weeks after leaving the carrier as long as there are no claims. The bond is in case you owe the company money or have had a cargo claim.

Requirements for owner operators is normally the same as with company drivers. I have seen some who would recruit an owner operator with as little as 6 months experience. Most want 1-2 years experience. As long as you can demonstrate at least that much recent experience and have a clean MVR and criminal history you should not have any problems getting on with a carrier.

One decision you will need to make is whether you want to lease to a carrier who pays mileage or percentage. Your options may be somewhat limited due to your lack of experience. Once you gain a full year or two and maintain a good MVR and work history you should be able to lease on with pretty much anyone you wish.

 

That's pretty much the same if you going to lease your truck. Chances are that no reputable company will sign you. Got to clean this mess first. Unless you wanna get your own numbers.