Legal Status Of A Courier Company

For a courier company, the liability that they face if they have untrustworthy employees is huge

. This is why in most cases your Los Angeles courier service is going to be taking very significant measures to ensure that they are only employing extremely trustworthy employees. This is going to include a thorough employee screening process, such as checking the criminal records and credit reports of any of their prospective employees. Beyond the screening process, most courier companies also are going to have their employees, as required by the law in many locations, to take classes which are mandated by the DOT to ensure that they are as safe and responsible on the road as possible.

The next thing that is involved in the legal status of a courier is the insurance they carry. The law requires any courier company to carry certain types of insurance on all of the vehicles in their fleet. First of all, they are going to require basis minimum vehicle insurance, the same is required on any private or commercial vehicle. However, most courier companies are going to carry far more than that on their fleet. Not only will they usually take insurance that covers up to the maximum values allowed, but they will usually take all of the supplemental insurance available in their state as well to protect themselves against as many scenarios as possible.

There is another type of insurance which is also involved in the legal status of a courier company. This is something that is simply called courier insurance, and is unique to the transportation industry. This is a separate type of insurance that isn't covering the vehicles themselves, but is instead covering the goods that the couriers are transporting for their clients.

If you can see that your courier is maintaining proper insurance but you still have further questions about their legal status, you can use another trick to help learn about their legality. Many couriers operate with partnership agreements they form with other courier companies. When you're dealing with a large national company, you know they're going to have to be legal to operate, and these concerns usually arise with smaller companies. However, if they have agreements or partnerships with larger companies like FedEx, you can trust their legal status as well; being sure that the legal status will have been checked by the lawyers at the larger company before they would agree to any kind of partnership.

by: Paul McDuffy

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