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[8 Hour Day]

You are incorrect. Fedex insures every ground truck while it is under dispatch. They are liable, which is why they have strict standards to be approved as a driver. Try again.

Um... maybe in your neck of the woods, but here, the contract owners are responsible for insurance for their vehicles and insuring them. Some of these guys are running around in unmarked personal pick up trucks, SUVs, and rental trucks that don't even have FedEx logos. The guy who has the territory my Brown route is on hires three kids to run the area most of the year, but bumps it up to five around Christmas. That's when he's running crap in his own SUV & rentals.

As for "strict standards..." HA! That's laughable. I rank these guys somewhere between Laser Ship and a USPS cover driver.

 

[It will be fine]

Um... maybe in your neck of the woods, but here, the contract owners are responsible for insurance for their vehicles and insuring them. Some of these guys are running around in unmarked personal pick up trucks, SUVs, and rental trucks that don't even have FedEx logos. The guy who has the territory my Brown route is on hires three kids to run the area most of the year, but bumps it up to five around Christmas. That's when he's running crap in his own SUV & rentals.

As for "strict standards..." HA! That's laughable. I rank these guys somewhere between Laser Ship and a USPS cover driver.

You don't know what you are talking about. Fedex insures every ground truck. Contractors need insurance for the vehicle while they are not under dispatch, while they are transporting fedex packages they are insured by fedex.
The standards are mostly determined by the dot and I imagine they are similar to what brown requires except most of our guys require prior commercial driving experience.

 

[OrioN]

I've seen what 8 hour day experienced in his neck of the woods. That hub turns a blind eye when it comes to getting the boxes out of there... until someone gets into an accident.

 

[8 Hour Day]

You don't know what you are talking about. Fedex insures every ground truck. Contractors need insurance for the vehicle while they are not under dispatch, while they are transporting fedex packages they are insured by fedex.
The standards are mostly determined by the dot and I imagine they are similar to what brown requires except most of our guys require prior commercial driving experience.

I think you need to look into this a bit more. The vast majority of FedEx Ground trucks are, in fact, insured by the same company (I forget which one, but I'm sure El Goog can help you). However, the contractor is the one paying for said insurance. The contractor is the one liable. Perhaps it varies in some states, but where I am, FedEx isn't insuring crap.

 

[It will be fine]

I think you need to look into this a bit more. The vast majority of FedEx Ground trucks are, in fact, insured by the same company (I forget which one, but I'm sure El Goog can help you). However, the contractor is the one paying for said insurance. The contractor is the one liable. Perhaps it varies in some states, but where I am, FedEx isn't insuring crap.

Just stop. You are wrong. I am a contractor, fedex insures every truck that transports its packages.

 

[8 Hour Day]

Just stop. You are wrong. I am a contractor, fedex insures every truck that transports its packages.

All I can imagine is that it works differently in different states. The guys here buy & pay for their own insurance. There are "deals" offered through FedEx, but they're not required to take them. The guy in my area delivers in his freakin' Honda Pilot when the crap hits the fan, afterall.

I'm going by what he says... and I can't imagine a situation where FedEx is paying for the insurance of some contractor's personal vehicle.

 

[bbsam]

All I can imagine is that it works differently in different states. The guys here buy & pay for their own insurance. There are "deals" offered through FedEx, but they're not required to take them. The guy in my area delivers in his freakin' Honda Pilot when the crap hits the fan, afterall.

I'm going by what he says... and I can't imagine a situation where FedEx is paying for the insurance of some contractor's personal vehicle.

No. As long as packages are on the truck, X has liability for damage to other vehicles and property.

 

[bbsam]

I'm going by what he says... and I can't imagine a situation where FedEx is paying for the insurance of some contractor's personal vehicle.

In that case, if the Honda Pilot is not an approved vehicle, he is violating his agreement and if X did pay any claim caused by him in the vehicle, they would quickly terminate his agreement afterwards. More likely they would deny any liability and terminate him.

 

[8 Hour Day]

In that case, if the Honda Pilot is not an approved vehicle, he is violating his agreement and if X did pay any claim caused by him in the vehicle, they would quickly terminate his agreement afterwards. More likely they would deny any liability and terminate him.

No doubt...

The whole reason FedEx has gone with the contractor model is the combo of lower labor cost & lower liability. Your post just backs that up... In the heat of a rush or Christmas, the contractor realizes he needs more people, so instead of doing what Express or Brown has to do (hire folks, rent trucks) FedEx Ground doesn't have to do anything. The contractor does. When HE cuts corners, which is what he has to do, FedEx washes their hands of it.

It's brilliant... provided you haven't any morals.

 

[STFXG]

He can drive his personal vehicle as long as he writes up a rental agreement between himself and his business.

 

[bacha29]

The only experience I had with the matter was a minor but at fault accident I had using the first van I had. The insurer who at the time provided coverage for nearly all contractors had to pay the claim less the deductible The individual contractor of course had to pay the premium. In this case I was on duty with company boxes on board. The other wreck came as off duty as I was bringing the same van (empty) back up to the terminal after service and was rear ended. The insurer paid the claim then subrogated against the other guy's insurer. As for using personal vehicles to dump boxes either on duty or afterward the regional safety director said in no uncertain terms we were not to do that.Easy to explain. If that car is in a wreck and is not registered with the insurer as a Fedex leased vehicle he's not going to pay for the loss or damage to the box. Under the old IC model the vehicle with the company brand on it was considered by X to be leased from the contractor. Using the fleet insurance (marsh/protective), the vehicle, freight, and operator were covered during duty operations but only the vehicle was covered during off duty hours. At least during my time and my state Fedex never directly insured anything. All it did was to assist in directing the contractor to Marsh/Protective but it never paid the premiums. Simply deducted them from the settlement.

 

[FedGT]

Here is the most straight forward statement you can get on the insurance matter.

Contractor insures NON-trucking liability (meaning vehicles are covered while not transporting packages at FedEx) and also workers comp both most go through Marsh and get raped on premiums.

Fedex covers liability of trucks while they are out and delivering packages. Which is why if they catch you hiding an accident they will terminate you and also why they rip you a new one when you do what they say they want and report it.

 

[bbsam]

He can drive his personal vehicle as long as he writes up a rental agreement between himself and his business.

Incorrect. Your contract specifies that only X specified companies can be rented from.

 

[STFXG]

Incorrect. Your contract specifies that only X specified companies can be rented from.

Not what we've been told or I remember reading. I'll flip through and see if it's different in the IC contract. We have guys that do it all the time. Rent trucks from their other businesses, or self, and run them as rentals.

 

[bbsam]

Not what we've been told or I remember reading. I'll flip through and see if it's different in the IC contract. We have guys that do it all the time. Rent trucks from their other businesses, or self, and run them as rentals.

I did the same for a while and then they put an end to it.

 

[bacha29]

I think the moral of the story is to have enough spare trucks of your own on hand that are listed on X's inventory then find your own best source for your insurance needs but keep in mind that your contract with whoever it may be will still have to meet X's minimum coverage requirements. However as long as X's operating authority numbers are on the side of it and the X assigned unit number is stamped on it X will still have the final say regarding the matter.

 

[instiches]

Incorrect. Your contract specifies that only X specified companies can be rented from.

Hmm, never seen this spelled out in the IC contract and ISP contract. Just that there is a 30 day limit on rentals.

 

[bbsam]

Hmm, never seen this spelled out in the IC contract and ISP contract. Just that there is a 30 day limit on rentals.

I would love to be wrong.

 

[instiches]

I would love to be wrong.

What is the benefit to you as far as renting vehicles to yourself? Would there be anything required other than a "rental agreement"?

 

[bbsam]

What is the benefit to you as far as renting vehicles to yourself? Would there be anything required other than a "rental agreement"?

i wouldn't be subject to their particularly anal ideas about "rust on rims" or "paint scratched" etc.