Trucking: authority, fuel surcharges, road trucking


Question
how much does it usually cost to get your authority. insurance, etc.  and when you get a load does that price usually include the fuel ser-charge or do you get more $$ for that.

Answer
Laura, start here for everything you need to know about getting your authority.
http://www.fmcsa.dot.gov/registration-licensing/NewEntrant-faq.asp
All new entrant motor carriers must complete an application package consisting of a MCS-150, and a MCS-150A. This application may be completed online at http://safer.fmcsa.dot.gov or by contacting our headquarters office at (800) 832-5660 and requesting an application mail. For-hire motor carriers must complete an OP-1, or OP-1(P), the BOC-3, and pay a $300.00 filing fee. Private, and exempt for-hire carriers will not be required to pay any fee. Once the application package is completed, the carrier will be granted new entrant registration (USDOT Number).
You will need to get quotes from insurance companies. Start here but look at others:
http://www.ooida.com/Benefits/truck_insurance/Truck_Insurance.html
Fuel surcharges are common in the over the road trucking business but there is no one standard.  Fuel surcharges generally are intended to cover the excess over what is called the peg or price of fuel that should already be calculated into your base rates.  For years the peg has been around 1.15 to 1.22 with everything over that covered by the surcharge.  Some shipper have recently tried to move the peg up since we are not likely to ever see fuel that low again.  Fuel surcharges can be based on cents per mile or percent of rate.  In some cases particularly spot market rates and local cartage rates are often quoted as "all in" which means no additional fuel surcharge.  But those rates are generally short term sometimes for one load only.  The surcharges are important whenever you contracts for longer periods such as a year so you are covered no matter what fuel prices do.

Hop this helps a little.
Jim