Postal Letter

I'm starting a courier/delivery business. Do I need to get insurance or be bonded before soliciting business?

Starting a courier/delivery business. Will be most specific to pharmaceutical and parts companies.

Public Comments

1. I only know about auto insurance. Your personal auto policy won't cover this. Call an independent agent to find out about a commercial auto policy - they should also help you with the business insurance.
2. stay smart and get bonded so that your clients know your real and honest, as well get ins.to protect yourself. good luck
3. Of course you do. Why would a business trust expensive things to someone just because they were cute?
4. You might want to do some basic market research first. Find out if there is a need for your type of service. Interview prospective Clients - auto parts, pharmacies, lawyers/realestate offices. If you can pre-determine it will be profitable for you (Revenue exceeding Your Costs), go to Step 2 and get insurance etc... as prescribed by your Legal Advisor. Good Fortune to You.
5. You need to work for a number of courier companies before you even start thinking about this biz. Your start up costs are outstanding. Advertisements Licenses Insurances on vehicles & on you, Bonding, Insurance on freight no matter what it is . Criminal background checks Dmv checks
6. The only way you would know if you “need” to be insured and bonded would be to check with your state government department that oversee businesses. They determine the requirements for licensing. Some industries require a bond to be submitted with their license application. An example is that most mortgage brokers need to submit a bond with their initial license application submission and a with their annual renewals. This type of bond ensures they conform with the laws and regulations of that state related to the statutes of that industry. This type of bond is considered a license bond. Check with an insurance agent to see if bailees insurance is what you need. Bailees Insurance is if your business involves keeping customers items, this can cover loss to those items while they are in your possession. If you hire people you might want to consider obtaining employee dishonesty coverage. This covers you, the owner, in case one of your employees seals from you. This could be added to you business owner’s policy as a rider. Or it can be written as a seperate Employee Dishonest Bond.