Understanding Trucking Endorsements

All right, let's go over endorsements on the trucking side here. So basically, there's like kind of three ways to make endorsements. You got direct carriers through an underwriter. You've got brokerage, and then you got direct carriers to assist them. Okay, so let's go through direct care with a system because this is the easiest one. I type in trash for trash out crew. Okay, let's see here. Progressive and GEICO are very finicky when it comes to adding drivers, adding vehicles. You could add a clean driver and it will go up a lot. You add another clean driver and it might go down. You can remove a bad driver and it can go down an insane amount. Or it can go down a little bit. It's so weird. It's so weird. I don't like the way progressive rates. Progressive is a very heavy on the credit. So who the name insured is makes a big deal. Now, this is quoting stuff, but just letting you guys know on commercial, on, you know, endorsements, it could be the same thing too. It also be really tough. And the reason I say is for like renewals and such. But yeah, that's a little bit how this stuff goes. I award a policy and it dropped from 48 to 21,000 based off of three things.

Okay.

Now they had $2 million in liability limits. I went in there and just said, I'm like, why do you guys have this? She's like, well, my agent told me I needed it. But you're hauling grain for one. I don't even know why. You have federal filing, so you probably could go with 100, 300 if you really wanted to. Now, Grant, she had filing, so she couldn't. But she's hauling grain, and she told me she's only hauling grain. So really she'd be an exempt carrier. And she's barely going to other states, so whatever. That drops it down a little bit. It's actually not as expensive as you think. Usually a million, call it 10,000, say it's 10,000. For example, 2 million might be 14,000. So I'll save a little bit money. The raise does make a big deal. So I dropped the race from 500 to 200 because her agent put at 500. Who knows why? Right? And the last thing was I was really specific with the class code. Being specific, we know helps. It can help with geico. It does help a lot. Progressive for sure. Especially on the agricultural hauler one, they're hauling grain. Don't put them as a four hire trucker. And then. And Then put feed as the deal. I put it as an agricultural hauler because that's a super low risk class coat. Now you say for our trucking, hauling sand and gravel. If I'm a sand and gravel hauler, like, that's still. That's not exactly a low risk deal. So it's probably not going to make that big of a difference. Well, it's agricultural hauler for hauling livestock or not.

Not life. I'm sorry, not livestock.

Grain and stuff like that.

That's incredibly cheap.

Grain, feed, hay. Holy crap. So we did the same thing with this gal. This gal renewed, as you can see with the lapse. So next time we go quarter, we know that she has a lap. She's not had continuous insurance, and except for four days ago, she renewed 43. We took off two drivers who are both very, very young. So the age of the driver made a big difference. Right. And progressive will take anybody, but it's gonna be extremely expensive. And we took off her personal vehicle because the personal vehicle should not be in the policy. Let's see, you got the drivers on here. Ooh, they had two drivers. So we see the drivers. So I can edit and remove those guys. Edit this stuff. I removed their filings. But let's talk about if there were filings, Ken. If there were filings on this deal, which there were. I aoward this account and some. Some agent who was inexperienced with the MCS. One of the MCS 90 had put federal filings on this account when they had federal filings. You cannot. This is like the biggest thing with trucking. You cannot remove a vehicle without just. Just because, right? They're like, oh, my vehicle's in the shop. Please take it off. That will not happen. That you cannot. You cannot just remove those. To remove a vehicle from a policy with an MCS90, okay, you have to have some sort of proof that the vehicle is no longer. No longer under that dot. So if an owner rapper is leased onto that dot, there should be a lease agreement because he's leasing onto the authority. There'd be a lease termination saying he's no longer part of that dot. If you're leasing the truck, there'd be a lease termination with the VIN and everything on it showing you return that truck and you're no longer leasing that truck. If you sold the truck, there needs to be proof the vehicle has been sold with a bill of sale of that vehicle. Again, these have the van and everything on it. If it is in the shop. And it's gonna be more than like, hey, my, my vehicle is just in the shop for like a week or two and it's gonna be in there for maybe months or whatever the case is. There needs to be some sort of proof that that thing is not able to be driving again. I'll get into why we do all this. So they either need to turn on the tags of that vehicle to the state and provide the proof that they turn on the tags or the DOT can provide a non op saying this vehicle is just like totaled. It's dawn, there's no driving it. So that would be the last. That would be the other option I think the last. This is a very iffy option. This is a if maybe right. I had a client whose truck got totaled. The claim had been drug out by like crazy from Night Specialty. Well we need the proof that it's a total loss from the insurance company so that it can't be driven anymore. In that situation if the claims be drug out like there's no tomorrow you sometimes again sometimes they will accept pictures of the vehicle showing this things in like bits and pieces. If it's like if it looks like it's still able to run. Yeah, they're not going to take those pictures. But if this thing's got the just engine smashed. Yeah, it's probably not your driver. It's missing wheels or something. It's probably not you driving and it's got to be a total loss. It's not like oh I'm missing a wheel. I'm gonna bring to the shop and be good. It's this thing's destroyed. It's going to the scrap yard. Okay. You cannot remove a truck without federal filings. I just want to stress that again trailers are pretty easy. So it depends on the carrier if you can move trailers or not without. Without some sort of proof there derivers Progressive might make you sign exclusion form. Progress may do this or GEICA might do the same thing. Depends on if you quote a driver on a policy and run his MVR and do not add them the insurance. Like Progressive and Geico, a lot of the direct guys depends on the carriers. They might have you sign an exclusion form to say this driver is not gonna be added or he is going to be added. Canal just lets me take off drivers no freaking problem. But that's what I've been told about Progress and that's what I've seen from Progressive. Changing limits obviously can't go below the limits that the FMCSA requires. So if you know they have an MCS90, they can't go below 750 and they probably don't want to go below. They don't want to go below a million because they're not gonna get any freaking loads. And we don't want to be selling people at 750 anyway. Like I gotta, if I got an agricultural hauler, the grain elevators that are giving these guys grain, I really don't care. They're like, show me an ID card or something. You know, you typically they're pretty, pretty lax on it, but we don't want to put people instead of 50. Honestly a million is fairly low anyway for anybody. So those are the biggest points of the commercial endorsements on that side. You know, sometimes on the renewals you're gonna have to go in here and see. Okay, I just said on my payments, most time they do not just automatically pay withdrawal the payment. Like they don't personal lines for the renewal. They have to go in there manually make a payment. And so we want to be communicating with the insured. So, you know, that's how you do progressive here. You can go in here and change coverages. The nitty gritty stuff's just fine. If they're moving state states, they're moving the change in the name of the insured or you for some reason have to change the effective date, the policy probably has to be rewritten. So then they're going to transfer funds, but they're probably bailing their down payments. Like when I had a guy move from South Dakota, Tennessee, for example, his monthly payment was called four grand. Down payment with Progressive was seven grand. So he'd make $3,000 to the down payment. They transfer the $4,000 because he had just made his payment. It's prorated, obviously made three grand and then boom. Started his new policy in Tennessee, but.

Had to be rewritten.

Had to get a new deck page and everything. I know I had to call Progressive for it and that stuff. I'm going to recap this just because even though I said in the certificate video, if you're going to need a 30 day cancellation notice or a really long additional name. Sure. Or a really long lost pe, it's not going to fit in the box. Call the carrier, get that stuff added and they'll have to manually add it on their side. So that's how you do Progressive. All sorts of stuff there. You can hop into documents and get your ID cards and stuff like that for a reason. They don't have the full policy document here. I can never find it. It's a pain. So if you're doing that you might have to call the carrier or just go to the policy contracts and the progressive portal and see that here's. I can see their payments. You see there's a. There's a policy change done. This is what the renewal was and then remaining balance total payment. They made a payment where I'm surprised it's not updated but change looks like it's now $16,000. 167 or whatever. Yeah, all this stuff policy activity. Let's see the forms. Make a scheduled payment be receipts, all sorts of stuff electronic bill. So yeah there's there is the direct carrier side on the that stuff. I'll show you guys cab here real quick. So let's say we got well soulful solutions. Not a good option here. Let's hop into cab. Okay so I've got a carrot.

This is sales so I'm gonna go to new search.

I type in the cook trucking. Okay So I can see his dealer here is night specialty minimum 750 if I want to see if he's got a authority or not. See if it's minimum coverage is boom right here. Insurance requirements minimum 750 insert the file is 750. How does he's authority authority history. He got his common carrier authority back in 2013. Here is the MCS150. This is a form that they fill out but these guys common carry authority.

And you can see the MC number right here. This is the docket number.

So that'd be his MC number doc number could also be the state filing. So there's that. So now let's go to a commercial lines. Let's go.

It's like a direct carrier. Whoops.

Whoops. Go to 10 for 10 for midterm.

So if you got something to AFC email. Well the first thing we're going to do we're going to go to the portal. I'm going to look at 10:4 and I'm gonna see okay service. We got a service email. Oh an endorsement. So I want to make endorsement email midterm.

Right.

So then I've got this stuff here. So you see I just go started all endorsements and I said remove vehicle Joe's harvesting and their policy number. Right. And then I really should be putting the effective date in there too but I specified it at the email so that's fine. But at very least put policy number name insured into what you're doing in the in the subject line. Hey team, sorry about this. Please remove this vehicle. She goes can you please provide a bill of sale. Right. Well, I'm like in my mind well again knowing this stuff. So this is a fiscal damage only policy. You see APD auto physical damage and these guys are not filings. So you got to know your stuff here before I go ask the insured for a bill sale. So I said hi Jessica, I don't have that because this account doesn't have filings and 10:4 is just a PD. What would you need a bill sale on something like this account for? Sorry, no bill sales required on physical damage only. We'll get that quote shortly. Hunter, you are correct to look at this. Only APD boom annual premium will decrease.

To docusign has been sent to the insured.

And so some of these carriers or some of these like MGAs or carriers like Ten4 will send a docusign to the insured. They need to docusign it to finalize the the endorsement. And then they're going to update all this stuff and then you can see the updated policy right here.

Awesome. Thank you. And they just alerted me.

Hey. She called, I said hey. Yep, please do this stuff. Add these ones. I need the, I need the limit remove. I just asked for the VIN. Typically want to do the whole VIN but I, I mean it's scheduled unit 36, last fourth of VIN. It's a tempting trailer. They understand what they're doing. I approved this undocument for everything because she still unsigned it. Awesome. Even signed. We received the docusign. Boom. We got all this. I'm a copy and paste this email to see that we've received the completed documentation. They removed, they added and they did all this. And then it's, it's good to go. So then you can see in there. I can document. I documented it. And then I'm going to do is I'm going to go to insured items. Let me go to vehicles. And I know the insured can see this stuff. So I'm going to update this so the insured knows what vehicles and drivers on the policy. So I'm going to update it here and I'm going to update the drivers. So again the insured knows what vehicles and drivers on the policy. So that way I'm not looking through all the notes here going, okay, we moved this one, we added this one. Where are they at now? You know, so it's, it's a pain. They're like, oh hey, is Michael in the policy? Let me go double check here. Oh yeah, yeah, we got Michael.

Perfect.

So we want to make sure this stuff is updated. So us and the insured know exactly what's going on. It's going to help our E and O exposure. Now if you forget to do this that's going to be a problem. So don't forget to update the vehicles and drivers and. And yeah and then these guys have direct billing so they're just gonna update the billing for the insured. I think it'll show us it here too following months. Perfect. So we know what the monthly payments are going to be from here now as well. Now let's finally get into a commercial lines 1. So let's say I'm going to do a endorsement for canal. Well, who are we using for the canal policy? So you'll go look in now, search and see who canal is through. Which. Which canal? Which canal MGA this is through. I feel like I'm blind here. Canal.

Here we go.

We're usually using fopm so this is submissions for quotes accounting or accounting. I don't know why I said accounting. Contacts. See endorsements. Endorsements at first light and if we're doing drivers be both of them. So I'm gonna go look up endorsements so you guys can see the past one. So I'm going to go email endorsements here. Right. So hey team, careful carriers just sold this Freightliner. Here's the VIN number. Can you Please remove this effective 4 9. So that was, that was an email to them and then once it's done, blah blah blah. So the insured has the river policy.

Five trusting year.

Maybe I'm looking maybe you drivers. I'll show you guys an example here. So said hey team, add driver again here please add Lazy J. He's we didn't know the years of experience because these guys require minimum of two years of experience and they rate differently on the experience. Hey can you please add Josh a Lazy J to a Lazy J live. So it's eight years of experience. Here's policy number and everything. Current driver list should show this. So I just wanted to say that to make sure that we're good so you don't need to send in the driver's license. But I had it so no reason not to send it. And then we want to send in an MVR if we have it again. So I, I pulled the MVR because he wants to know if they're good to be added and he asked me and pull mvrs. So it just depends on the carriers. Some make you pull an nvr. Some make. Some don't really care. They'll pull it for you Fleets you definitely want to pull in VRs. If you got a direct company you don't need to pull an M.B.R. something like this. A non fleet Canal policy just kind of depends on what they, what they.

Want to do there.

So I'm going to show you guys what I've received. This is so strange. I haven't, I'm not seeing my emails here. Hey find the endorsement. So this is one right here. Say endorse the account, add a driver. Here's the full list. Added this driver. Let's keep you in the loop. I've uploaded the endorsement to now Certs and then like this one, I mean really we got like well now we have one vehicle cuz they sold one of them but we have six drivers. So next time I talk to Emerly I'm to ask her like hey do you really like who like what are the drivers supposed to list on the policy? And I'm going to remove the other people so we want to make sure that stuff's good. And here's an endorsement. So we wanted to add this guy 20 years cel experience. Okay perfect. As endorsement's been added copy paste this email, throw the documentation or the whole email chain. So we added, we deleted these guys and then we added Michael and then she said and invoice. So I'm going to see this actually changes. Total premium for change. So this is business auto. So nothing changed there. Deductible total premium for change. There's literally nothing. So I don't have to update anything here with the pfa. Let's say Canal did not add drivers and elite drivers for free. Canal, okay these guys do but let's say they don't. I'm going to go and I'm going to figure out where his PFA is at. Pretty much everything is through Ascend right now and I'm going to go update the Ascend policy. He's going to make his payment for the difference and then on some of these carriers are going to ask for proof of the payment before they make that change effective. So I'm going to hop into Ascend, I'm going to endorse the policy and I'll show you guys how to do.

That here real quick.

So this is a pretty simple deal. I'm going to go to actions, I'm going to click endorse, increase or reduce premium and fill up the steps and it's going to send out a probably a PFA signature for them assigned where there's going to be some sort of confirmation that the that the PFA has been updated or the endorsements premium's been added, boom, I'm going to collect that, send it to the company. So that way if they do need proof of oh payment, it's been, it's been updated and they're good to go. And same deal from Progressive all applies to this stuff. So yeah, that's how you do the basics of removing and, and adding vehicles.

And everything on those lines.

A trickier situation I went through in the past was, let's see here, Garrett had a livestock policy through the Hartford. He goes, ham, sir, hauling reefer and hazardous fertilizer. So I'm going to go read that.

Policy here real quick.

Or I can email the underwriter and say, hey, Hartford, cover anything besides, besides livestock on their policy. And she goes, no, it does not. But I've read the policy and you really should know the policy if you're.

Selling it or if you're, if you're.

A CSR managing it. So I know the policy only does cover livestock and, and small agricultural commodities like grain feed and hay, stuff like that. So I don't assign will work. So what I'm going to do is I'm going to camp or once I have a new policy in place, I'm going to cancel the Hartford. And obviously before I do that, I got to find another policy. So I'm going to try to not have them have five different policies. So at the time I threw the, I threw the cargo to Hartford because they had a better lifestyle product. So then I just asked Canal if they would do the whole package on that stuff. And I obviously want to make sure the same limits and everything. Canal took about a week to endorse the policy. They might need some loss runs to endorse it because you're adding online. So you have the loss runs endorse the policy. He made the payment once policy is in effect, I canceled the Hartford and then obviously updated now certs and documented the whole works there again document, document, document. With all the, with people making a lot of changes, there's a big E and O risk. I don't like people who make a lot of changes. So every once in a while say, hey, you know, if it's not progressive, where I can just go in there and automatically see they get proof what's being added, all sort of stuff. I like to just, I just say, hey, Canal doesn't love a lot of changes. So I know finding drivers is tough, but I just want you to know if you keep adding and removing drivers at this rate, you might have a tough time by insurance. So just try to be a little more precautionary on it and maybe wait until you know for a fact this driver's showing up to work. And Adam, you know, because we can keep the effective date if we. The effect date of 4 12, for example, and, and we get confirmation the 15th, like it's still covered 412, but again, you're taking a risk there if it doesn't go through. So just be careful of stuff. But just letting you guys know of something like that. So they say do that. Knowing the carriers, the big deal. So the next step here you guys are going to see knowing carriers and industry. And industry. So you can help with knowing the carry appetites. There's a lot in the portal here for the carriers. So go look through that stuff. Make sure you know the carrier. So you know they're underwriting guidelines. We're not saying, hey, can we add this driver? And they're gonna be like, oh, how many years CEO experience do you have? Oh, you just got a seal yesterday. Well, no, no, we can't add them. And then you tell the driver, and then you tell the owner, oh yeah, yeah, we'll add them. Well, now he's hired them and he's pissed because they won't take them. So you got to know that you gotta understand the carriers. Commercial lines, we do a lot through Midwest Center Mutual. It's very similar to 104 to send in an email their request to change. Otherwise if it's direct carrier, like, like progressive, almost. Pretty basic stuff, right? So you just got to understand the carrier. You understand the laws around it. And yeah, people start doing other class codes, something like that. You understand what's covered on the policy. Make the carrier aware, make sure, make sure the policy is covering their new work. Otherwise move them and make sure the new carrier has them. So that's endorsements right there. Yeah, that's endorsements. So let's call her quits there.