by CoryDeanSmith.com

COPYRIGHT © 2011 Cherie Kuranko ~ ”InkSpot”

All Rights Reserved.

During the winter months construction businesses grind to a halt. Weather conditions are generally the reason for this seasonal slow down for most construction and dump trucking type businesses. The downturn in the economy has only served to amplify the problems owner-operators of small construction businesses have when dealing with insurance expenses–no money coming in and a lot of money going out to keep vehicles and equipment insured.

However, there is a way to greatly reduce your insurance costs, though your insurance agent won’t be calling you up to let you in on this secret. 

Most business owners don’t realize you have the option of placing unused vehicles and other heavy equipment on comprehensive insurance. Comprehensive insurance generally protects your vehicles and equipment from theft, fire, vandalism and acts of God/nature; such as flood, hail and tree blowdowns. Insurance companies may vary on their comprehensive coverage so be sure to ask to see the specifics of your own policy.

Comprehensive insurance, sometimes called “storage insurance,” will keep your vehicles and equipment covered during the winter months while they are sitting in the yard. Why pay for full coverage on vehicles or equipment that aren’t being used? Even if you have already paid the full premium for the year, by placing them on comprehensive coverage the insurance company will pro-rate and reimburse you for the unused portion you previously paid.

Some insurance companies start barking a bit if you frequently pull coverage and add it back on. It is best to wait until you have reached a point where you are fairly certain you won’t be working for at least a month or more and then make the call to avoid this problem.

As an example; coverage on a dump truck, pup trailer, ramp trailer run us about ,000.00 per year. When shifted to comprehensive coverage only, the price went down to about 0.00 for the year. Now, that is a savings worth looking into and it could help carry your business through slow winters and down economies until work picks up again.

Most businesses also carry general liability insurance. Some smaller companies can’t afford this and drop it during the winter months, but be sure to consider all the risks you place your company (and the owner’s assets if the company is a sole proprietor) before making a final decision on whether to keep your general liability insurance or not. In my opinion, general liability insurance is worth the cost of keeping even during slow times to protect your investment as it isn’t nearly as expensive as the insurance on your vehicles and equipment. Ask your agent to break down the costs of your insurance so you know how much general liability costs per year.

Small business owners have to use every angle they can to stay competitive and in operation. Reducing your insurance costs is a smart way to stay afloat and significantly save on unnecessary expenses.

IMPORTANT NOTE: While vehicles and equipment are on comprehensive they are not insured to be used or driven. Do not forget to put your vehicles or equipment back on full insurance coverage BEFORE you return to work.

WA State Licensing/Tonnage Tip: For semi-truck operators. It may vary by the state you live in, but in Washington State you may purchase tonnage by the month and therefore you don’t have to buy license/tonnage for the months you are not working. You may also reduce your tonnage if you know the job you will be working on is a solo job, therefore saving the additional tonnage paid to pull the pup trailer.

FEDERAL HEAVY VEHICLE USE TAX TIP: Owners of dump trucks and log trucks pay 0.00 annually per truck to renew their heavy vehicle use tax. Be sure to look into suspending a truck if it is anticipated it will be driven 5,000 miles or less (7,500 miles or less on agricultural vehicles) for the upcoming year you are paying tax.

What’s interesting about this tax is you do NOT get a rebate if you pay the tax in full and the truck ends up sitting for part of the year. However, if you claim it as suspended when you file you will pay zero in tax on it, though you must then refile the form and pay the tax if it is driven over 5,000 miles during the upcoming year. Be honest as an audit will no doubt be more expensive than trying to cheat the system. 

Even when filing for a suspension you will receive the stamped heavy vehicle use form back from the IRS and then use it as proof it was filed to purchase licensing and tonnage for the truck. So, only pay this tax when you have to–when you have actually driven 5,001 miles or more.

By using these insurance and other tips you have much better odds of reducing expenses and weathering the storms of both mother nature and the current economy.

COPYRIGHT © 2011 Cherie Kuranko ~ ”InkSpot”

All Rights Reserved.

The ALP-45DP #4500 is at 2:39 and at 6:14 but watch whole video for more rail equipment! I board a Hoboken bound NJ Transit train at Newark Broad Street. Shortly after departing we see the buildings in Newark and as we continue we meet up with ALP-46A #4635 pulling a comet salad to New York Penn Station. ALP-46A #4635 blasts it’s horn a few times for an Acela Express that is going to Washington DC Union Station. So as we continue ALP-46A #4635 catches up to us. As we enter the yard we then pass by a bunch of equipment then ALP-44M #4425 which has not been moved. We then pass by a ACES train followed by a bunch of multilevel and Arrow III EMU cars. Right after that I catch the brand new ALP-45DP #4500 coupled to multilevel cab car #7021 sitting with it’s pantograph up! I was glad to catch this unique dual-mode engine and since the pantograph is up I think they will be testing soon! I do have to say the ALP-45DP is a huge and a very long engine! As we continue away from the ALP-45DP we continue to see more equipment sitting around the yard waiting for service or work. A nice mix of equipment was out there today almost all types of NJ Transit and some Metro-North locomotives! I then move to the other side to look at Secaucus where I see a NJ Transit ALP-46 pushing only 5 cars! That could have been an ALP-44 train. I also happened to meet ERIELACKU34CH on this train! While returning again we see a huge mix of NJ Transit and Metro-North equipment that is sitting waiting for …

Question by youtoo: are yard and exercise equipment considered household items?
would a tractor, a tredmill and patio furniture be considered household items?

In a Will, the term household items was used. Are a tractor, a treadmill and jewlery legally household items?

Best answer:

Answer by exbuilder
I should preface my answer by informing you that I am not a lawyer and my answer is based on experience. It should not be construed as legal advice. A quick call to your attorney would yield a definitive answer.

In general, any untitled property in an estate can be considered “household goods”. Expensive jewelry can be considered household goods as can a treadmill and patio furniture. Automobiles, most boats, most motorcycles, some ATV’s, and the like are usually titled property. If the tractor you mention is licensed, or has an “Owner’s Title”, it is titled property. In other words, if the property in question is registered, licensed, and usually taxed by a governmental entity, it is considered “titled property”. A change in ownership usually means a trip to the county courthouse to convey the title to the property to a new owner of record.

I assume that the tractor you mention is a lawn tractor since you mention yard equipment in your opening sentence. They are usually considered household items.

Again, a quick call to your family attorney, or the estate attorney of record, should get you a quick and definitive answer. This is always good advice because probate laws vary from state to state.

Good luck with your search for information.

What do you think? Answer below!