is it commercial?€¦ · commercial vehicle, in connection with registration requirements, is any...

50
sponsored by Is it Commercial? ('8&$7,21352*5$0

Upload: others

Post on 25-Aug-2020

7 views

Category:

Documents


0 download

TRANSCRIPT

Page 1: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

sponsored by

Is it Commercial?

Page 2: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

1

COMMERCIAL MOTOR VEHICLE DEFINITION

There are both state and federal laws and regulations that define the term “commercial vehicle.” In addition, the insurance industry and the Registry of Motor Vehicles have their own rules and regulations that define commercial motor vehicles.This session will help you help your client determine which regulations apply to your client’s business operations.

Page 3: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

2

COMMERCIAL MOTOR VEHICLE DEFINITION

The Federal Regulation:The Federal Motor Carrier Safety Act defines Commercial Motor Vehicle (CMV) as follows:Commercial Motor Vehicle means any self-propelled or towed motor vehicle used on a highway in interstate commerce to transport passengers or property when the vehicle –

COMMERCIAL MOTOR VEHICLE DEFINITION

The Federal Regulation:1. Has a gross vehicle weight rating or gross combination

weight rating, or gross vehicle weight or gross combination weight, of 4,536 kg (10,001 pounds) or more, whichever is greater; or

Page 4: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

3

COMMERCIAL MOTOR VEHICLE DEFINITION

The Federal Regulation:2. Is designed or used to transport more than 8 passengers

(including the driver) for compensation; or

COMMERCIAL MOTOR VEHICLE DEFINITION

The Federal Regulation:3. Is designed or used to transport more than 15

passengers, including the driver, and is not used to transport passengers for compensation; or

Page 5: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

4

COMMERCIAL MOTOR VEHICLE DEFINITION

The Federal Regulation:4. Is used in transporting material found by the Secretary of

Transportation to be hazardous under 49 U.S.C. 5103 and transported in a quantity requiring placarding under regulations prescribed by the Secretary under 49 CFR, subtitle B, chapter I, subchapter C.

COMMERCIAL MOTOR VEHICLE DEFINITIONThe RMV Commercial Plate Definition540 CMR 2.05Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car, motorcycle, trailer, semi-trailer, auto home, house trailer, taxicab, ambulance, hearse, livery vehicle, bus, school bus, or school pupil transport vehicle. The following are examples of commercial vehicles requiring commercial registration plates:

Page 6: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

5

COMMERCIAL MOTOR VEHICLE DEFINITIONThe RMV Commercial Plate Definition(a) Any vehicle which has a vehicle weight, or curb weight, of more

than six thousand pounds, as per the manufacturer’s description of said vehicle, unless such vehicle is a sport utility vehicle or passenger van, or a pickup truck or cargo van meeting the definition of private passenger vehicle;

(b) Any vehicle which has five or more wheels on the ground;(c) Any pickup truck or cargo van, owned by a partnership, trust or

corporation unless such vehicle meets the definition of private passenger motor vehicle, provided that transportation to or storage for use at a personal project for which no compensation is received shall not be considered in connection with a "job site";

COMMERCIAL MOTOR VEHICLE DEFINITIONThe RMV Commercial Plate Definition(d) Any pickup truck or cargo van, if on the bed of the vehicle tools,

supplies, materials or equipment are transported to or from a job site, or are stored for use at a job site; provided that transportation to or storage for use at a personal project for which no compensation is received shall not be considered in connection with the “job site”,

(e) Any vehicle, if on the roof or sides of the vehicle, tools, supplies, materials or equipment are transported to or from a job site, or are stored for use at a job site; provided that transportation to or storage for use at a personal project for which no compensation is received shall not be deemed in connection with a “job site”;

Page 7: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

6

COMMERCIAL MOTOR VEHICLE DEFINITIONThe RMV Commercial Plate Definition(f) A vehicle which has business advertisements or business

markings thereon; provided however that markings limited to the name, address, telephone number, and logo of any corporation whose personal property is exempt from taxation under G.L. Chapter 59, §5, Clause Third or Tenth shall not be considered business advertisements or business markings for purposes of 540 CMR 2.05;

(g) A vehicle used for hire to plow;

COMMERCIAL MOTOR VEHICLE DEFINITIONThe RMV Commercial Plate Definition(h) A vehicle used for hire to transport or store goods, wares or

merchandise, provided that if the vehicle is owned by an individual, has a maximum load carrying capacity of 1,000 pounds or less, and is so used on only a part-time basis, such vehicle shall not be deemed a commercial vehicle under 540 CMR 2.05(3)-commercial vehicle (h). “Part-time basis” shall mean that not more than 40% of the total usage of the vehicle is devoted to the transporting or storing of goods, wares or merchandise;

Page 8: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

7

COMMERCIAL MOTOR VEHICLE DEFINITIONThe RMV Commercial Plate Definition(i) A vehicle used to transport or store goods, wares or merchandise

intended for sale in the ordinary course of the vehicle operator’s or owner’s business, provided that if the vehicle is owned by an individual, has a maximum load carrying capacity of 1,000 pounds or less, and is so used on only a part-time basis, such vehicle shall not be deemed a commercial vehicle under 540 CMR 2.05(3)-commercial vehicle (i). “Part-time basis” shall mean that not more than forty percent of the total usage of the vehicle is devoted to the transporting or storing of goods, wares or merchandise.

COMMERCIAL MOTOR VEHICLE DEFINITIONInternational Registration Plan “IRP”Apportionable Vehicle, is any motor vehicle which qualifies for registration under the International Registration Plan ["IRP"] authorized by M.G.L. c. 90, s.2, and which the Commonwealth joined effective January 1, 1994, as that Plan may be amended from time to time.

Page 9: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

8

COMMERCIAL MOTOR VEHICLE DEFINITIONInternational Registration Plan “IRP”

What is the IRP?The International Registration Plan (IRP) is a registration reciprocity agreement among states of the United States, the District of Columbia and provinces of Canada. IRP is an optional program for licensing commercial vehicles traveling in two or more IRP jurisdictions. A jurisdiction may be a state or a Canadian province. There are more than fifty Current IRP Jurisdiction Members.

Note: Massachusetts has license plate reciprocity with all IRP jurisdictions.

COMMERCIAL MOTOR VEHICLE DEFINITIONInternational Registration Plan “IRP”

What is the IRP?The International Registration Plan (IRP) is a registration reciprocity agreement among states of the United States, the District of Columbia and provinces of Canada. IRP is an optional program for licensing commercial vehicles traveling in two or more IRP jurisdictions. A jurisdiction may be a state or a Canadian province. There are more than fifty Current IRP Jurisdiction Members.

Note: Massachusetts has license plate reciprocity with all IRP jurisdictions.

Page 10: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

9

COMMERCIAL MOTOR VEHICLE DEFINITION

COMMERCIAL MOTOR VEHICLE DEFINITIONAll member IRP jurisdictions are required to comply with the following three basic concepts of the Plan:

1. Issuance of an apportioned license plate.2. Issuance of a single registration or cab card.3. Allow intrastate and interstate movement.Under the IRP, an interstate carrier files an application with the jurisdiction in which he/she is based. That jurisdiction is known as the base jurisdiction. The IRP agreement allows the base jurisdiction to collect the registration fees for the other IRP jurisdictions. These fees are based upon mileage and weight information submitted by the carrier.

Page 11: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

10

COMMERCIAL MOTOR VEHICLE DEFINITIONThe base jurisdiction issues a set of apportioned plates and cab card for each vehicle. The set of apportioned plates and cab card are the only license plate credentials necessary to operate a vehicle in member IRP jurisdictions. The cab card lists all the IRP jurisdictions and corresponding weights that the carrier has requested.

COMMERCIAL MOTOR VEHICLE DEFINITIONAn IRP Apportioned Registration Does NOT:

Exempt a carrier from the payment of motor fuel taxes in any state.Exempt a carrier from obtaining operating authority from a state where the apportioned vehicle operates.Exempt a carrier from the payment of Federal Heavy Vehicle Use Tax (IRS Form No. 2290).Permit a carrier to exceed maximum height, length, width, and axle limitations.Permit the violation of “bridge laws.”

Page 12: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

11

COMMERCIAL MOTOR VEHICLE DEFINITIONHow Fees are DeterminedNote: The Processing Center cannot determine your licensing fees until your completed application has been received and it has been processed.The cost of your apportioned registration will depend upon the percentage of miles traveled in each IRP jurisdiction as well as the registered combined gross weight of the vehicle. The following is a simplified example of how the registration fee for a vehicle based in Massachusetts might be apportioned. The operator of this unit travels in Massachusetts, New York, Vermont, and Maine. He travels 25,000 miles in each state for a grand total of 100,000 miles at year end. The operator has a registered combined gross weight of 80,000 pounds in each state. The license fee would be computed as follows:

COMMERCIAL MOTOR VEHICLE DEFINITIONHow Fees are Determined

In this example, Massachusetts would collect a total of $1199.63 from the carrier. Of this total, Massachusetts would keep only $300.00. The remaining money would be sent to the other states.

Page 13: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

12

COMMERCIAL MOTOR VEHICLE DEFINITIONWho Should Obtain IRP Registration?You may proportionally register your vehicle(s) if you travel in Massachusetts and at least one other IRP jurisdiction and the vehicle is used, maintained, or designed primarily for the transportation of property, or used for the transportation of persons for hire, and is a power unit:

With a gross weight in excess of 26,000 pounds; orWith three or more axles regardless of weight; orThat hauls another unit and the weight of such combination exceeds 26,000 pounds

COMMERCIAL MOTOR VEHICLE DEFINITIONNote: If you choose not to obtain IRP credentials and your vehicle(s) meets or exceed the criteria above, you will have to secure trip permits for each vehicle in other IRP jurisdictions that you enter.Other Vehicles That Should Be ApportionedVehicles used for the transportation of persons for hire (i.e., buses, livery vehicles, etc.) Vehicles, or combination thereof, having a gross vehicle weight of 26,000 pounds or less and two-axle vehicles and buses/livery vehicles used in transportation of chartered parties may be registered with apportioned plates at the option of the registrant.

Page 14: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

13

COMMERCIAL MOTOR VEHICLE DEFINITIONIRP Exempt Vehicles

The following types of vehicles are exempt from IRP:Government-owned vehiclesBuses/livery vehicles used exclusively for chartered parties (see the Glossary for a definition of Chartered Party)Vehicles displaying a restricted plate - Dealer, Repair, Transporter, Farm, Owner ContractorCity pick-up and delivery vehiclesRecreational vehicles

COMMERCIAL MOTOR VEHICLE DEFINITIONApplications for Apportioned registrations can be processed at the IRP Processing Centers located in Quincy, Milford,Lawrence or Springfield.Mass DOT – RMV Division, IRP Section25 Newport Avenue Extension, Quincy, MA 02171 Office Location: 4th Floor Hours: Monday – Friday – 9:00 AM to 5:00 PMTelephone: 857-368-8120 - Fax Number: 857-368-0824Lawrence Branch Office73 Winthrop Street, Lawrence, MA 01843 Hours: Monday – Friday - 9:00 AM to 5:00 PM

Page 15: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

14

COMMERCIAL MOTOR VEHICLE DEFINITIONMilford Branch Office14 Beach Street, Milford, MA 01757 Hours: Monday – Friday - 9:00 AM to 5:00 PMSpringfield Branch Office165 Liberty Street, Springfield, MA 01103 Hours: Monday – Friday - 8:30 AM to 5:00 PM

COMMERCIAL MOTOR VEHICLE DEFINITIONCompanies that operate commercial vehicles transporting passengers or hauling cargo in interstate commerce must be registered with the Federal Motor Carrier Safety Administration (FMCSA) and must have a USDOT Number. Also, commercial intrastate hazardous material carriers who haul quantities requiring a safety permit must register for a USDOT Number. The USDOT Number serves as a unique identifier when collecting and monitoring a company’s safety information acquired during audits, compliance reviews, crash investigations, and inspections.

Page 16: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

15

COMMERCIAL MOTOR VEHICLE DEFINITIONDuring the 2010 renewal period, the Massachusetts RMV began collecting and validating USDOT numbers.Beginning with the 2011 renewal period, the safety fitness of each carrier was checked prior to issuing vehicle registrations. Those motor carriers that have been prohibited from operating in interstate commerce by the Federal Motor Carrier Safety Administration may have their ability to register vehicles denied by the jurisdiction. This collection of updated information will improve the census and operational data on interstate motor carriers nationwide.

COMMERCIAL MOTOR VEHICLE DEFINITIONWhat is PRISM?The Performance and Registration Information Systems Management (PRISM) program was developed to meet the challenge of reducing the number of commercial vehicle crashes of a rapidly expanding interstate carrier population. It has increased the efficiency and effectiveness of federal and state safety efforts through a more accurate process for targeting the highest-risk carriers, which allows for a more efficient allocation of scarce resources for compliance reviews and roadside inspections.

Page 17: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

16

COMMERCIAL MOTOR VEHICLE DEFINITIONWhat is PRISM?PRISM links the commercial vehicle registration process to motor carrier safety to achieve two purposes:

Determine the safety fitness of the motor carrier prior to issuing license plates.Influence the carrier to improve its safety performance through an improvement process and, where necessary, the application of registration sanctions.

COMMERCIAL MOTOR VEHICLE DEFINITIONWhat is PRISM?Under the Performance and Registration Information Systems Management (PRISM) program, an IRP account applicant must have a valid USDOT number that is unique to their IRP account. Multiple accounts may not be opened using the same USDOT number, and an applicant may not open an account using a USDOT other than their own. For example, if an applicant is working for a company that has an existing IRP account, that company must add the applicant’s vehicle to their account, unless the applicant chooses to open an account using their own USDOT number.

Page 18: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

17

COMMERCIAL MOTOR VEHICLE DEFINITIONWhat is PRISM?If in the process of renewing your account it is determined that you fall into one of these situations you will be asked how you would like to proceed: 1) Register your vehicle in another account; 2) Obtain your own USDOT number to maintain your account; or 3) Change your account to a registrant only account.

COMMERCIAL MOTOR VEHICLE DEFINITIONWhat is PRISM?OverviewThe PRISM program includes two major processes - the Commercial Vehicle Registration Process and Enforcement, which work in parallel to identify motor carriers and hold them responsible for the safety of their operation. The performance of unsafe carriers is improved through a comprehensive system of identification, education, awareness, data gathering, safety monitoring and treatment.

Page 19: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

18

INSURANCE POLICY ELIGIBILITYAIB/CAR Commercial Policy EligibilityRule 51. This section applies to all trucks, including pickup, panel and van types, truck-tractors, trailers and semi-trailers except for the following:A. Autos used for public transportation. Refer to the public

transportation sectionB. Autos leased or rented to others by leasing or rental concerns.

Refer to the leasing or rental concerns rule in the Special Types Section.

C. Individually owned pickups, panel trucks or vans. Refer to the Private Passenger Automobile Insurance Manual

INSURANCE POLICY ELIGIBILITYAIB/CAR Commercial Policy Eligibility

D. Self-propelled vehicles with the following types of permanently attached equipment. Refer to the special or mobile equipment rule.1. Equipment designed primarily for:

a. Snow removalb. Road maintenance, but not construction or resurfacing;c. Street cleaning;

2. Cherry pickers and similar devices mounted on automobile or truck chassis and used to raise or lower workers.

3. Air compressors, pumps and generators, including spraying, welding, building, cleaning, geophysical exploration, lighting and well servicing equipment.

Page 20: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

19

INSURANCE POLICY ELIGIBILITYSo, from an insurance perspective, a commercial vehicle is anything that ISN’T a private passenger auto.This section of the Commercial Policy Eligibility tells us we must first determine if a vehicle meets the private passenger definition. C. Individually owned pickups, panel trucks or vans. Refer to the Private Passenger Automobile Insurance Manual.

Note: Any vehicle owned by a legal business entity(corporation, partnership, commercial trust) must be insured on a Business Auto Policy.

INSURANCE POLICY ELIGIBILITYSo, from an insurance perspective, a commercial vehicle is anything that ISN’T a private passenger auto.This section of the Commercial Policy Eligibility tells us we must first determine if a vehicle meets the private passenger definition. C. Individually owned pickups, panel trucks or vans. Refer to the Private Passenger Automobile Insurance Manual.

Note: Any vehicle owned by a legal business entity(corporation, partnership, commercial trust) must be insured on a Business Auto Policy.

Page 21: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

20

INSURANCE POLICY ELIGIBILITYPrivate Passenger Policy Eligibility (MAIP Version):Rule 27. Private Passenger DefinitionA private passenger automobile for insurance purposes is:

A. A motor vehicle of the private passenger or station wagon type that is owned or leased under contract for a continuous period of at least twelve months by one or more individuals, excluding (1) partnerships, (2) corporations, (3) unincorporated business associations, and (4) other legal business entities with a federal employer identification number, and is not used as a public or livery conveyance nor rented to others.

INSURANCE POLICY ELIGIBILITYPrivate Passenger Policy Eligibility (MAIP Version):A private passenger automobile for insurance purposes is:

A vehicle which meets the conditions of Rule 31, regarding the transportation of fellow employees, students or others for consideration, is included in this definition, provided such vehicle is not registered for carrying passengers for hire.

Page 22: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

21

INSURANCE POLICY ELIGIBILITYPrivate Passenger Policy Eligibility (MAIP Version):A private passenger automobile for insurance purposes is:

B. A motor vehicle that is a pick-up or van, that is owned or leased under contract for a continuous period of at least 12 months by one or more individuals excluding (1) partnerships, (2) corporations, (3) unincorporated business associations, and (4) other legal business entities with a federal employer identification number, and1. has a gross vehicle weight rating of less than 10,000 pounds or has a

vehicle rating group assigned to it by the Automobile Insurers Bureau of MA (AIB), and

2. is not used for the delivery or transportation of goods or materials unless such use is incidental to the insured’s business of installing, maintaining or repairing furnishings or equipment.

INSURANCE POLICY ELIGIBILITYPrivate Passenger Policy Eligibility (MAIP Version):A private passenger automobile for insurance purposes is:

C. Gross Vehicle Weight Rating means the value specified by the manufacturer as the loaded weight of a single vehicle.

D. An eligible vehicle under this rule whose title has been transferred to a trust may be insured under a policy issued by assignment through the MAIP, subject to the following requirements:The grantor of the trust must be an individual or lawfully married individuals residing in the same household, and must be the only insured(s) named in Item 1 of the Coverage Selections Page.

Page 23: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

22

INSURANCE POLICY ELIGIBILITYPrivate Passenger Policy Eligibility (MAIP Version):A private passenger automobile for insurance purposes is:

All vehicle(s) insured under the policy must be owned by the trust.A vehicle owned by a trust in which the grantor is a partnership or corporation must be written under a commercial auto policy.

INSURANCE POLICY ELIGIBILITYPrivate Passenger Policy Eligibility (MAIP Version):A private passenger automobile for insurance purposes is:

If a motor vehicle is leased as described in the foregoing paragraphs, and the lessee is obtaining the insurance, the policy must be issued to the lessee as named insured and Endorsement

M-0070-S, “Coverage For Anyone Renting An Auto To You,” must be attached to the policy.

Page 24: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

23

INSURANCE POLICY ELIGIBILITYPrivate Passenger Policy Eligibility (MAIP Version):Under managed competition, companies are permitted to file their own rules and rates. The following companies have filed their own MAP policy eligibility requirements. They include: Bankers Standard, Esurance, GEICO, IDS Property, LM General Insurance Company, Occidental, Progressive and Privilege Underwriters Reciprocal Exchange (PURE)LM.

SAFETY INSPECTIONCommercial Vehicle Inspection Regulation:Several years ago, Massachusetts implemented a new inspection program for commercial vehicles, trailers and converter dollies. It is the equivalent of the annual Federal Motor Carrier Safety Administration (FMCSA) “DOT” inspection, but it will be required of all vehicles classified as “commercial motor vehicles” under the MA inspection regulation.

Page 25: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

24

SAFETY INSPECTIONCommercial Vehicle Inspection Regulation:Commercial Motor Vehicle shall mean any motor vehicle which is not a private passenger motor vehicle, antique motor car, motorcycle, auto home, house trailer, taxicab, ambulance, hearse, livery vehicle, or school pupil transport vehicle. A commercial motor vehicle shall include the following vehicles:(a) The vehicle has a gross vehicle weight rating or gross combination

weight rating of 10,001 or more pounds; or(b) The vehicle is designed to transport more than 15 passengers,

including the driver; or

SAFETY INSPECTIONCommercial Vehicle Inspection Regulation:

c. The vehicle is used in the transportation of hazardous materials in a quantity requiring placarding in accordance with the Hazardous Materials Regulations of the United States Department of Transportation. Any commercial motor vehicle that singularly has a gross vehicle weight rating of 10,001 pounds or less and is designed to meet emissions standards, shall be submitted for an emissions inspection in addition to all applicable safety inspection requirements; or

d. A single, full or semi trailer, used in commerce, with a manufacturer's gross vehicle weight rating over 3,000 lbs; or

Page 26: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

25

SAFETY INSPECTIONCommercial Vehicle Inspection Regulation:

(e) Any vehicle which has a vehicle weight, or curb weight, of more than six thousand pounds, as per the manufacturer's description of said vehicle, unless such vehicle is a sport utility vehicle or passenger van, or a pickup truck or cargo van meeting the definition of private passenger vehicle; or

(f) Any vehicle which has five or more wheels on the ground

SAFETY INSPECTIONCommercial Vehicle Inspection Regulation:The following explains the various inspection station classes and the vehicles those stations will inspect: Station Class License types indicate what type of vehicle the station can inspect. Be sure and check to make sure the inspection station you choose is equipped to inspect your type of vehicle.

Class A. Conducts non-commercial light duty gas and diesel inspections of vehicles 10,000 lbs (GVWR) or less.Class B. Conducts commercial and non-commercial light and medium duty gas and diesel inspections of vehicles 26,000 lbs. (GVWR) or less, including light-duty pole or pull trailers only.

Page 27: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

26

SAFETY INSPECTIONCommercial Vehicle Inspection Regulation:

Class C. Conducts all commercial medium and heavy duty inspectionsof vehicles over 10,000 lbs. (GVWR), including all trailers, semi-trailers and converter dollies.Class D. Conducts all commercial and non-commercial light, mediumand heavy duty inspections of all vehicles including all trailers, semi-trailers and converter dollies.Class E. Conducts heavy duty commercial inspection of vehicles over 26,000 lbs. (GVWR), including all trailers, semi-trailers and converter dollies.Class F. Conducts mobile inspections for commercial vehicles of all fuel types and weights, including all trailers, semi-trailers and converter dollies, owned or leased by a fleet.

SAFETY INSPECTIONCommercial Vehicle Inspection Regulation:

Fees:Non-Commercial Inspection $35.00Commercial Inspection $35.00

plus the market hourly shoprate charged by the stationfor the time spent performingthe inspection

Page 28: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

27

Page 29: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

28

CASE STUDIESQuestion …1. I have an insured who is a plumber. He recently traded in his Ford

cargo van for a Chevy Cutaway Van. The cutaway van is under 10,000 pounds and is individually owned. But, my insured is my neighbor, and no way is it personal lines. I submitted it to my commercial CAR carrier, and they sent it back saying it was under 10,000 pounds and individually owned. Then, I sent it to MAIP carrier, and they sent it back, too. I already stamped it up with my commercial carrier’s stamp, and the vehicle is registered. Here is a picture of the vehicle. What do I do?

CASE STUDIESAnswer …

1. You’re right. No way is this personal lines. While I realize that GM refers to it as a (Cutaway) Van, the only remnants of a van are the cab and the chassis. Once a van has been substantially changed, it is no longer considered a van. The same is true of a truck. If you had a pickup truck which you had retrofitted with a dump body or a wrecker body, it is no longer a pickup truck and no longer eligible for a personal auto policy.

Page 30: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

29

CASE STUDIESAnswer …1. So, as far as this vehicle is concerned:

A. It is NOT a commercial motor vehicle under the provisions of the Federal Motor Carrier Safety Regulations – because it has a GVWR of 10,000 pounds or less.

B. It IS a commercial motor vehicle under the Registry of Motor Vehicles plate definitions because it is:

(b) Any vehicle which has five or more wheels on the ground; and

CASE STUDIESAnswer …

(h) A vehicle used to transport or store goods, wares or merchandise intended for sale in the ordinary course of the vehicle operator’s or owner’s business, provided that if the vehicle is owned by an individual, has a maximum load carrying capacity of 1,000 pounds or less, and is so used on only a part-time basis, such vehicle shall not be deemed a commercial vehicle under this paragraph (i). “Part-time basis” shall mean that not more than forty percent of the total usage of the vehicle is devoted to the transporting or storing of good, wares or merchandise; and

C. It is NOT eligible for a personal auto policy because it is NOT a van. It IS a commercial vehicle and must be insured as such.

Page 31: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

30

CASE STUDIESAnswer …

I also feel that I must say that your commercial carrier should NOT have just returned the application and deposit. For the company to say that the law gives them the right to refuse to issue a policy in certain circumstances is ridiculous. You ARE the company by virtue of your contract to write insurance for them. You have binding authority, and you DID write the policy. Whether you were right or wrong in taking the application and stamping the registration is NOT the issue. The issue is that you bound the company in good faith, and the company has no choice but to issue legal notice of cancellation. And YOU were right!

CASE STUDIESQuestion …2. One of our insureds, who is a landscaper driving a truck with a

GVWR over 10,000 pounds, has been stopped and ticketed. It appears that if a vehicle is over this weight that there are DOT and signage regulations with which he must comply. Also, we have noticed several dealers completing the GVWR on the RMV-1 as 10,000 pounds, yet the actual Certificate of Origin indicates 11,200 pounds. Do you know of these regulations? How can we obtain a copy? Please advise.

Page 32: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

31

CASE STUDIESAnswer …2. The Federal Motor Carrier Safety Act (FMCSA) requires that any

vehicle over 10,000 pounds GVWR involved in interstatecommerce is a “commercial vehicle.” Some of the provisions of the FMCSA require DOT numbers, signage, a commercial driver’s license (CDL), medical cards, random alcohol and substance testing, etc. depending on vehicle size, weight and usage. Unless you want to become an “expert” on the regulations, I would suggest that you not try to advise your client on these issues, since fines for non-compliance are HUGE. You might want to suggest that your client consult a specialist on compliance.

CASE STUDIESAnswer …2. There are two such companies in Massachusetts:

Fleet Safety Services, Inc. http://fleet-safety.com12 Harvard Street - Worcester, MA 01609Phone: 800-215-2490Fax: 508-831-7611

The Transportation Advisor, Inc.http://transportationadvisor.comP.O. Box 558 - Palmer MA 01069Local: 413-283-8385Toll Free: 800-608-8890

Page 33: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

32

CASE STUDIESAnswer …2. That said, it looks like:

A. If these landscapers are operating in Massachusetts as well as any other state, it IS a commercial motor vehicle under the provisions of the Federal Motor Carrier Safety Regulations – because it has a GVWR of more than 10,000 pounds. This means that the vehicles must have DOT numbers, vehicle markings, and medical cards for all drivers – at the very least! In addition:

CASE STUDIESAnswer …

1. a CDL license and random alcohol and substance testing COULD be required if the landscaper is carrying any hazardous materials or substances; and

2. Driver logs COULD be required if the driver is traveling over a one (49 CFR 395) hundred (100) air mile radius from his/her base of operation crossing state lines.

You may find the Commercial Motor Vehicle chart available at http://www.massagent.com/info/mcchart2014.pdf helpful. It highlights the various compliance issues for vehicles with a GVWR of 10,001 pounds to 26,000 pounds and for vehicles weighing over 26,000 pounds.

Page 34: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

33

CASE STUDIESAnswer …

It’s also important to note that Massachusetts has adopted the Federal Motor Carrier Safety Regulations. Code of Massachusetts Regulations-540 CMR Registry of Motor Vehicles14.00: Motor Safety and Hazardous Material Transportation14.01: Purpose540 CMR 14.00 is adopted by the Registrar of Motor Vehicles pursuant to M.G.L. c. 90, s. 31, to establish rules and regulations governing the use and operation of certain motor vehicles, trailers and commercial motor vehicles, and motor carrier safety and the transportation of hazardous materials by motor carriers in both intrastate and interstate

CASE STUDIESAnswer …

commerce upon the public ways of the Commonwealth of Massachusetts. 540 CMR 14.00 is adopted to reduce the number and severity of accidents and hazardous materials incidents involving commercial vehicles, consistent with the Federal Motor Carrier Safety Regulations and the Federal Hazardous Materials Regulations issued by the United States Department of Transportation.

So … Most of the Federal Motor Carrier Safety Regulations also apply to commercial vehicles involved in intrastate commerce.

Page 35: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

34

CASE STUDIESAnswer …

One last thing … the dealer may think he is doing your client a favor by “fibbing” on the GVWR of the vehicle. I assure you that it’s NO favor. Since MA has adopted the Federal Motor Carrier Safety Regulations as its own, any vehicle with commercial plates would be subject to the periodic “weigh stations” set up on some of our highways.He would be “bagged big-time” for not having the vehicle registered for the GVWR of the manufacturer and not complying with 540 CMR 14.00. And, if he’s involved in interstate commerce with that vehicle, he’d find out VERY quickly that the federal inspectors have NO sense of humor!

CASE STUDIESAnswer …3. Your customer purchased a new crew cab pickup truck to tow a horse

trailer to take his daughter’s horse to dressage events. The truck has dual rear wheels and a GVWR of 10,600 lbs. The pickup truck has symbol 18 assigned to it. What does he need? a. He needs a personal policy and personal plates.b. He needs a personal policy and commercial plates.c. He needs a commercial policy and commercial plates.

Page 36: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

35

CASE STUDIESAnswer …3. Your customer purchased a new crew cab pickup truck to tow a horse

trailer to take his daughter’s horse to dressage events. The truck has dual rear wheels and a GVWR of 10,600 lbs. The pickup truck has symbol 18 assigned to it. What does he need? a. He needs a personal policy and personal plates.b. He needs a personal policy and commercial plates.c. He needs a commercial policy and commercial plates.BUT … because the truck is over 10,000 lbs., it also needs a commercial vehicle inspection at a cost of $35 plus the standard shop rate for the time it takes to conduct the inspection!

CASE STUDIESQuestion …4. I was hoping you could help answer my question. A client just called

as his commercial vehicle was being towed from 395 because he did not have a DOT number. He is not a trucker, he is a contractor doing business here in MA - can you fill me in on the requirements to display a DOT#?

Page 37: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

36

CASE STUDIESAnswer …4. Was he stopped in CT or MA? Even if he is not a trucker, if his vehicle

has a GVWR 10,001 lbs. or more and is used in interstate commerce, he is subject to the Federal Motor Vehicle Safety Regulations. He does not have to be “for hire” to transport property. He could be just carrying his tools, equipment and supplies to do a job.If he is operating just in MA (never does jobs or travels out-of-state), he would not be subject to the federal regulations … but, MA has adopted MOST of the federal regulations as MA regulations. Here is the MA definition of commercial motor vehicle:

CASE STUDIESAnswer …4. (1) 540 CMR 14.00 applies to:

(a) motor carriers operating commercial motor vehicles and persons who drive commercial motor vehicles as, for, or on behalf of motor carriers, upon the ways of the Commonwealth.

(b) all motor carriers and shippers transporting hazardous materials, under the Hazardous Materials Regulations of the United States Department of Transportation, Parts 171 through 179 of Title 49, Code of Federal Regulations, by motor vehicles upon the ways of the Commonwealth

(c) common and contract carriers by motor vehicle, and private carriers of property and passengers by motor vehicle.

Page 38: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

37

CASE STUDIESAnswer …

(2) (a) As used in 540 CMR 14.00, “commercial motor vehicle” shall mean:

a motor vehicle with a gross vehicle weight rating or gross combination weight rating of 10,001 pounds or more used for the transportation of property, ora motor vehicle designed to transport more than 15 passengers, including the driver, ora motor vehicle used in the transportation of hazardous materials in a quantity requiring placarding under the Federal Hazardous Materials Transportation Act (49 U.S.C. App.1801-1813).

CASE STUDIESAnswer …

(b) It is the intent that the term “commercial motor vehicle” as used in 540 CMR 14.00 shall have the same meaning as in Part 390.5 of Title 49, Code of Federal Regulations, as it may be amended, and to the extent there is a conflict between the two at any time, the definition in 49 CFR Part 390.5 shall control.

14.03: Adoption and Incorporation of Federal Regulations as State RegulationsSubject only to the specific exceptions and limitations expressly stated in 540 CMR 14.00, the Federal Motor Carrier Safety Regulations, Parts 382, 390 through 397 of Title 49, Subchapter B of Chapter III, Code of Federal Regulations, and the highway related portions of the Federal

Page 39: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

38

CASE STUDIESAnswer …Hazardous Materials Regulations, Parts 171 through 179 of Title 49, Subchapter C of Chapter I, Code of Federal Regulations, as they may be amended, are incorporated by reference as the regulations of the Registry of Motor Vehicles governing motor carrier safety and the transportation of hazardous materials upon the ways of the Commonwealth of Massachusetts in both intrastate and interstate commerce.Since this is a compliance issue for your client which is unrelated to insurance, the advice regarding the compliance consultants – Fleet Safety Services and The Transportation Advisor – is good advice.

CASE STUDIESQuestion …5. A client has an F-250 on a personal auto policy. He purchased a

dump trailer which he is going to pull with his F-250. His auto carrier says that it is not covered under his personal auto policy because the GVWR is 12,000 lbs. (shipping weight of this trailer is 3,200 lbs.). The carrier is stating it should go under a Commercial auto policy. He does not have a Commercial policy, and the use of this dump trailer is personal use – using to haul firewood for personal use. He will not be going on the highway … just up and down his street. In other words, I will not be able to cover him – what can he do? What can I do??

Page 40: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

39

CASE STUDIESAnswer …5. If the company uses the MAP … I don’t see where it is not covered …

at least for liability ... There is no weight limit on trailers … it is a “design” limitation:

6. Trailer – means a vehicle designed to be pulled by a private passenger auto, motorcycle, pick-up truck, van, or similar vehicle and designed for use on public roads. This includes a farm wagon or a farm implement.

Remember, this trailer is NOT being used for business.

CASE STUDIESAnswer …5. The MAIP manual defines a pickup truck as:

B. A motor vehicle that is a pick-up or van, that is owned or leased under contract for a continuous period of at least 12 months by one or more individuals, excluding (1) partnerships, (2) corporations, (3) unincorporated business associations, and (4) other legal business entities with a federal employer identification number, and

Page 41: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

40

CASE STUDIESAnswer …5. The MAIP manual defines a pickup truck as:

1. A motor vehicle that is a pick-up or van, that is owned or leased has a gross vehicle weight rating of less than 10,000 pounds or has a rating symbol assigned to it by Automobile Insurers Bureau of MA (AIB), and

2. is not used for the delivery or transportation of goods or materials unless such use is incidental to the insured’s business of installing, maintaining or repairing furnishings or equipment.

CASE STUDIESAnswer …5. The MAIP manual defines a pickup truck as

As far as I know the F-250 has a ISO physical damage rating symbol assigned … and since you said the vehicle is under the MAP … then it is a “pickup” … Trailer … is not restricted … could be a dump trailer … if it is designed to be pulled by a pickup truck. Pickup truck is NOT defined IN the MAP … only in the company and/or MAIP manual.

Page 42: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

41

CASE STUDIESAnswer …5. The MAIP manual defines a pickup truck as:

Now … if the company has an ELIGIBILITY issue about adding the trailer … That might be a problem … but the definition of YOUR AUTO in the MAP states:Your Auto – means:A. The vehicle or vehicles described on the Coverage Selections Page. B. Any auto while used as a temporary substitute for the described auto while that auto is out of normal use because of a breakdown, repair, servicing, loss or destruction. But the term “your auto” does not include a substitute vehicle owned by you or your spouse.

CASE STUDIESAnswer …5. The MAIP manual defines a pickup truck as:

C. A private passenger auto, trailer, motorcycle, pick-up truck, van or similar vehicle, to which you take title or lease as a permanent replacement for a described auto or as an additional auto. We provide coverage for an additional auto only if you ask us to insure it within seven days after you take title or the effective date of the lease. If a replacement or additional auto is a pick-up truck, van or similar vehicle, it must not be used for the delivery or transportation of goods or materials unless such use is incidental to your business of installing, maintaining or repairing furnishings or equipment.

Page 43: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

42

CASE STUDIESAnswer …5. The MAIP manual defines a pickup truck as:

Under Parts 1, 2, 3, 4, 5 and 6 the term “your auto” also includes any trailer not described on the Coverage Selections Page as covered under those Parts.

Liability would be free … if their manual says otherwise … that is interesting … the policy says it is covered ... but I suppose in managed competition … they could say you can’t add it for coll/comp.

CASE STUDIESQuestion …6. Your client has an unregistered bobcat skid steer

at a store parking lot for plowing. If he hits a vehicle or building or person while he is using it in the store parking lot to plow, is that liability covered under his general liability policy? Or does he have to have it registered and the liability for one of those type losses be automobile? The registry said he couldn’t register it because it doesn’t have a steering wheel, so it can’t be added to an auto policy.

Page 44: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

43

CASE STUDIESAnswer …6. Donna McKenna: According to my contact at the RMV, a

bobcat (skid steer) can be registered with commercial plates or snow plow plates if it’s used for plowing. In fact, if it’s used in a parking lot where the public has a right of access, it should be registered. Parking lots are really not considered private property.Irene Morrill: The 2004, 2007, 2013 CGL; 2006, 2010, 2010 BOP and the 2006, 2010 and 2013 BAP states that the definition of auto is:“Auto" means:a. A land motor vehicle, trailer or semitrailer designed for travel on public

roads, including any attached machinery or equipment; or

CASE STUDIESAnswer …6. b. Any other land vehicle that is subject to a compulsory or

financial responsibility law or other motor vehicle insurance law in the state where it is licensed orprincipally garaged.

However, “auto” does not include “mobile equipment.”

So, according to the RMV, it IS subject to motor vehicle registration … thus financial responsibility and is NOT mobile equipment … but is “auto” when doing this … so BAP is needed … the proper symbol is 19.

Page 45: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

44

CASE STUDIESAnswer …6. Symbol 19

19 Mobile Equipment Subject To Compulsory Or Financial Responsibility Or Other Motor Vehicle Insurance Law Only

Only those "autos" that are land vehicles and that would qualify under the definition of "mobile equipment" under this policy if they were not subject to a compulsory or financial responsibility law or other motor vehicle insurance law where they are licensed or principally garaged.

CASE STUDIESQuestion …7. The same client also has a backhoe at another parking

lot location for plowing. The client would like to register the backhoe, but he bought it at an action inNH and it doesn’t have a title or anything. It weighs 15,000 lbs.So, he contacted the owner of the backhoe, and that person never titled it or registered it either … but he does have the certificate of origin from when he bought it. So, our client said his lawyer said if he had the certificate of origin from the original owner and a bill of sale, he could register it. Is this correct?

Page 46: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

10/22/2014

45

CASE STUDIESAnswer …7. Donna McKenna: I’m going to have to check on this

one. Is the owner from NH and has it always been inNH? If it has always been in NH, even though it wasnever registered, I believe it should have been titled. The NH title law requires vehicles under 15 years of age to be titled. If the owner was the original purchaser, he may be able to title it if need be and then sign the title over to your client. Again, a vehicle used for plowing in a parking lot to which the public has a right of access should be registered and insured.Irene Morrill: Same answer for me … too.

THANKS FOR ATTENDING!Remember we are just a phone call or email away!

You may reach me by phone at 800.972.9312 or 508.634.2900 or email at [email protected]

Page 47: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

Priv

ate

Pass

enge

r Pla

te D

efin

ition

Priv

ate

Pass

enge

r Ins

uran

ce D

efin

ition

Page 48: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

Co

mm

erci

al

Pla

te D

efin

itio

n

C

omm

erci

al V

ehic

le, i

n co

nnec

tion

wit

h re

gist

rati

on r

equi

rem

ents

, is

any

mot

or v

ehic

le w

hich

is n

ot a

pri

vate

pas

seng

er m

otor

veh

icle

, ant

ique

m

otor

car

, mot

orcy

cle,

tra

iler,

sem

i-tra

iler,

aut

o ho

me,

hou

se t

raile

r,

taxi

cab,

am

bula

nce,

hea

rse,

live

ry v

ehic

le, b

us, s

choo

l bus

, or

scho

ol

pupi

l tra

nspo

rt v

ehic

le. T

he f

ollo

win

g ar

e ex

ampl

es o

f co

mm

erci

al

vehi

cles

req

uiri

ng c

omm

erci

al r

egis

trat

ion

plat

es:

(a)

Any

veh

icle

whi

ch h

as a

veh

icle

wei

ght,

or

curb

wei

ght,

of

mor

e th

an s

ix

thou

sand

pou

nds,

as

per

the

man

ufac

ture

r’s d

escr

ipti

on o

f sa

id v

ehic

le, u

nles

s su

ch v

ehic

le is

a s

port

uti

lity

vehi

cle

or p

asse

nger

van

, or

a pi

ckup

tru

ck o

r ca

rgo

van

mee

ting

the

def

init

ion

of p

riva

te p

asse

nger

veh

icle

; (b

) A

ny v

ehic

le w

hich

has

five

or

mor

e w

heel

s on

the

gro

und;

(c

) A

ny p

icku

p tr

uck

or c

argo

van

, ow

ned

by a

par

tner

ship

, tru

st o

r co

rpor

atio

n un

less

suc

h ve

hicl

e m

eets

the

def

init

ion

of p

riva

te p

asse

nger

mot

or v

ehic

le;

(d)

Any

pic

kup

truc

k or

car

go v

an, i

f on

the

bed

of t

he v

ehic

le t

ools

, sup

plie

s,

mat

eria

ls o

r eq

uipm

ent

are

tran

spor

ted

to o

r fr

om a

job

site

, or

are

stor

ed f

or u

se

at a

job

site

; pro

vide

d th

at t

rans

port

atio

n to

or

stor

age

for

use

at a

per

sona

l

proj

ect

for

whi

ch n

o co

mpe

nsat

ion

is r

ecei

ved

shal

l not

be

cons

ider

ed in

co

nnec

tion

wit

h th

e “j

ob s

ite”

; (e

) A

ny v

ehic

le, i

f on

the

roof

or

side

s of

the

veh

icle

, too

ls, s

uppl

ies,

mat

eria

ls o

r eq

uipm

ent

are

tran

spor

ted

to o

r fr

om a

job

site

, or

are

stor

ed fo

r us

e at

a jo

b si

te;

prov

ided

tha

t tr

ansp

orta

tion

to

or s

tora

ge fo

r us

e at

a p

erso

nal p

roje

ct fo

r w

hich

no

com

pens

atio

n is

rec

eive

d sh

all n

ot b

e de

emed

in c

onne

ctio

n w

ith

a “j

ob s

ite”

; (f

) A

veh

icle

whi

ch h

as b

usin

ess

adve

rtis

emen

ts o

r bu

sine

ss m

arki

ngs

ther

eon;

pr

ovid

ed h

owev

er t

hat

mar

king

s lim

ited

to

the

nam

e, a

ddre

ss, t

elep

hone

nu

mbe

r, a

nd lo

go o

f any

cor

pora

tion

who

se p

erso

nal p

rope

rty

is e

xem

pt f

rom

ta

xati

on u

nder

G.L

. Cha

pter

59,

§5,

Cla

use

Thir

d or

Ten

th s

hall

not

be

cons

ider

ed b

usin

ess

adve

rtis

emen

ts o

r bu

sine

ss m

arki

ngs

for

purp

oses

of

540

CM

R 2

.05;

(g

) A

veh

icle

use

d fo

r hi

re t

o pl

ow;

(h)

A v

ehic

le u

sed

for

hire

to

tran

spor

t or

sto

re g

oods

, war

es o

r m

erch

andi

se,

prov

ided

tha

t if

the

vehi

cle

is o

wne

d by

an

indi

vidu

al, h

as a

max

imum

load

ca

rryi

ng c

apac

ity

of 1

,000

pou

nds

or le

ss, a

nd is

so

used

on

only

a p

art-

tim

e

basi

s, s

uch

vehi

cle

shal

l not

be

deem

ed a

com

mer

cial

veh

icle

und

er 5

40 C

MR

2.

05(3

)-co

mm

erci

al v

ehic

le (

h). “

Part

-tim

e ba

sis”

sha

ll m

ean

that

not

mor

e th

an

40%

of

the

tota

l usa

ge o

f the

veh

icle

is d

evot

ed t

o th

e tr

ansp

orti

ng o

r st

orin

g of

go

ods,

war

es o

r m

erch

andi

se.

(i)

A v

ehic

le u

sed

to t

rans

port

or

stor

e go

ods,

war

es o

r m

erch

andi

se in

tend

ed

for

sale

in t

he o

rdin

ary

cour

se o

f the

veh

icle

ope

rato

r’s o

r ow

ner’s

bus

ines

s,

prov

ided

tha

t if

the

vehi

cle

is o

wne

d by

an

indi

vidu

al, h

as a

max

imum

load

ca

rryi

ng c

apac

ity

of 1

,000

pou

nds

or le

ss, a

nd is

so

used

on

only

a p

art-

tim

e

basi

s, s

uch

vehi

cle

shal

l not

be

deem

ed a

com

mer

cial

veh

icle

und

er 5

40 C

MR

2.

05(3

)-co

mm

erci

al v

ehic

le (

i). “

Part

-tim

e ba

sis”

sha

ll m

ean

that

not

mor

e th

an

fort

y pe

rcen

t of

the

tot

al u

sage

of

the

vehi

cle

is d

evot

ed t

o th

e tr

ansp

orti

ng o

r st

orin

g of

goo

ds, w

ares

or

mer

chan

dise

So

urce

540

CM

R 2

.05

Co

mm

erci

al

Po

licy

Eli

gib

ilit

y Th

is s

ecti

on a

pplie

s to

all

truc

ks, i

nclu

ding

pic

kup,

pan

el a

nd v

an t

ypes

, tr

uck-

trac

tors

, tra

ilers

and

sem

itra

ilers

exc

ept

for

the

follo

win

g:

A.

Aut

os u

sed

for

publ

ic t

rans

port

atio

n. R

efer

to

the

publ

ic

tr

ansp

orta

tion

sec

tion

. B

. A

utos

leas

ed o

r re

nted

to

othe

rs b

y le

asin

g or

ren

tal

conc

erns

. Ref

er

to

the

leas

ing

or r

enta

l con

cern

s ru

le in

th

e Sp

ecia

l Typ

es S

ecti

on.

C.

Indi

vidu

ally

ow

ned

pick

ups,

pan

el t

ruck

s or

van

s.

R

efer

to

the

Priv

ate

Pass

enge

r A

utom

obile

Ins

uran

ce M

anua

l. D

. Se

lf-p

rope

lled

vehi

cles

wit

h th

e fo

llow

ing

type

s of

perm

anen

tly

atta

ched

equ

ipm

ent.

Ref

er t

o th

e sp

ecia

l or

mob

ile e

quip

men

t ru

le.

1.

Eq

uipm

ent

desi

gned

pri

mar

ily fo

r:

a.

Snow

rem

oval

b.

R

oad

mai

nten

ance

, but

not

con

stru

ctio

n or

res

urfa

cing

;

c.

St

reet

cle

anin

g;

2.

C

herr

y pi

cker

s an

d si

mila

r de

vice

s m

ount

ed o

n au

tom

obile

or

truc

k ch

assi

s an

d us

ed t

o ra

ise

of lo

wer

wor

kers

.

3.

Air

com

pres

sors

, pum

ps a

nd g

ener

ator

s, in

clud

ing

spra

ying

,

wel

ding

, bui

ldin

g cl

eani

ng, g

eoph

ysic

al

expl

orat

ion,

ligh

ting

and

wel

l ser

vici

ng e

quip

men

t.

Sour

ce:

M

assa

chus

etts

Com

mer

cial

Aut

omob

ile

Insu

ranc

e M

anua

l

Page 49: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

Com

mer

cial

Mot

or V

ehic

les

Defi

nitio

n: C

omm

erci

al m

otor

veh

icle

mea

ns a

ny s

elf-p

rope

lled

or to

wed

mot

or v

ehic

le u

sed

on a

hig

hway

in in

ters

tate

com

mer

ce to

tran

spor

t pa

ssen

gers

or p

rope

rty

whe

n th

e ve

hicl

e --

(

1)

Has

a g

ross

veh

icle

wei

ght r

atin

g or

gro

ss c

ombi

natio

n w

eigh

t rat

ing,

or g

ross

veh

icle

wei

ght o

r gro

ss c

ombi

natio

n w

eigh

t, of

4,5

36 k

g (1

0,00

1 po

unds

) or m

ore,

w

hich

ever

is g

reat

er; o

r (

2)

Is d

esig

ned

or u

sed

to tr

ansp

ort m

ore

than

8 p

asse

nger

s (in

clud

ing

the

driv

er) f

or c

ompe

nsat

ion;

or

(3)

Is

des

igne

d or

use

d to

tran

spor

t mor

e th

an 1

5 pa

ssen

gers

, inc

ludi

ng th

e dr

iver

, and

is n

ot u

sed

to tr

ansp

ort p

asse

nger

s fo

r com

pens

atio

n; o

r (

4)

Is u

sed

in tr

ansp

ortin

g m

ater

ial f

ound

by

the

Secr

etar

y of

Tra

nspo

rtat

ion

to b

e ha

zard

ous

unde

r 49

U.S

.C. 5

103

and

tran

spor

ted

in a

qua

ntity

requ

iring

pla

card

ing

un

der r

egul

atio

ns p

resc

ribed

by

the

Secr

etar

y un

der 4

9 CF

R, s

ubtit

le B

, cha

pter

I, s

ubch

apte

r C.

Vehi

cles

wit

h a

GV

WR

of 1

0,00

1—26

,000

lbs

DO

T Re

gist

ratio

n

Requ

ired

Com

mer

cial

Driv

er L

icen

se

N

ot R

equi

red*

Vehi

cle

Mar

king

s

Requ

ired—

In a

dditi

on to

lega

l

na

me

and

USD

OT

#, th

ere

are

new

sp

ecia

l mar

king

s re

quire

men

ts fo

r tru

cks

mak

ing

deliv

erie

s an

d pa

rkin

g in

pu

blic

are

as in

NYC

— th

e ve

hicl

e m

ust h

ave

the

owne

r’s n

ame

in

addi

tion

to th

e le

ssee

’s

Spec

ial S

afet

y Eq

uipm

ent a

nd

N

ew M

A C

omm

erci

al V

ehic

le

Insp

ectio

ns

In

spec

tion

requ

ired

in li

eu o

f

Fede

ral A

nnua

l Ins

pect

ion

with

copy

of i

nspe

ctio

n re

port

in v

ehic

le

Med

ical

Cer

tifica

te &

Re

quire

d to

be

carr

ied

by d

river

Val

id

Driv

er’s

Lice

nse

Subs

tanc

e &

Alc

ohol

Test

ing

Not

Req

uire

d*

Fina

ncia

l Res

pons

ibili

ty

Re

quire

d of

for-

hire

mot

or c

arrie

rs

tr

ansp

ortin

g pr

oper

ty in

ters

tate

Se

e 49

CFR

387

*Exc

eptio

ns: V

ehic

les

carr

ying

pla

card

able

am

ount

s of

haz

ardo

us

mat

eria

ls a

nd v

ehic

les

carr

ying

16

pass

enge

rs (i

nclu

ding

driv

er)

Vehi

cles

wit

h a

GV

WR

of 2

6,00

1 lb

s or

hig

her

DO

T Re

gist

ratio

n

Re

quire

d

Com

mer

cial

Driv

er L

icen

se

Re

quire

d w

ith a

ppro

pria

te li

cens

e

cl

ass

for v

ehic

le s

ize

and

wei

ght

Vehi

ce M

arki

ngs

Requ

ired

- In

addi

tion

to le

gal n

ame

and

USD

OO

T#, t

here

are

new

spe

cial

m

arki

ngs

requ

irem

ents

for t

ruck

s m

akin

g de

liver

ies

and

park

ing

in p

ublic

ar

eas

in N

YC --

the

vehi

cle

mus

t hav

e th

e ow

ner’s

nam

e in

add

ition

to th

e le

s-se

e’s

Spec

ial S

afet

y Eq

uipm

ent a

nd

N

ew M

A C

omm

erci

al V

ehic

leIn

spec

tions

Insp

ectio

n re

quire

d in

lieu

of

Fe

dera

l Ann

ual I

nspe

ctio

n w

ith

co

py o

f ins

pect

ion

repo

rt in

veh

icle

Med

ical

Cer

tifica

te &

Re

quire

d to

be

carr

ied

by d

river

Driv

er’s

Lice

nse

Subs

tanc

e &

Alc

ohol

Test

ing

Re

quire

d - i

nclu

ding

sci

entifi

cally

base

d ra

ndom

test

ing

plus

test

ing

for

pr

e-em

ploy

men

t, po

st-a

ccid

ent a

nd

ot

her s

ituat

ions

Fina

ncia

l Res

pons

ibili

ty

Re

quire

d of

for-

hire

mot

or c

arrie

rs

tr

ansp

ortin

g pr

oper

ty in

ters

tate

Se

e 49

CFR

387

2014

Edi

tion

Page 50: Is it Commercial?€¦ · Commercial Vehicle, in connection with registration requirements, is any motor vehicle which is not a private passenger motor vehicle, antique motor car,

Hou

rs o

f Ser

vice

Rul

es

PRO

PERT

Y-CA

RRYI

NG

DRI

VER

11-H

our D

rivin

g Li

mit

May

driv

e a

max

imum

of 1

1 ho

urs

afte

r 10

cons

ecut

ive

hour

s off

dut

y.

14-H

our L

imit

May

not

driv

e be

yond

the

14th

con

secu

tive

hour

aft

er c

omin

g on

dut

y,

follo

win

g 10

con

secu

tive

hour

s off

dut

y. O

ff-du

ty ti

me

does

not

ext

end

the

14-h

our p

erio

d.

Rest

Bre

aks

May

driv

e on

ly if

8 h

ours

or l

ess

have

pas

sed

sinc

e en

d of

driv

er’s

last

off-

duty

or

sle

eper

ber

th p

erio

d of

at l

east

30

min

utes

. Doe

s no

t app

ly to

driv

ers

usin

g ei

ther

of t

he s

hort

-hau

l exc

eptio

ns in

395

.1(e

). [4

9 CF

R 39

7.5

man

dato

ry “i

n at

tend

ance

” tim

e m

ay b

e in

clud

ed in

bre

ak if

no

othe

r dut

ies

perf

orm

ed]

60/7

0-H

our L

imit

May

not

driv

e af

ter 6

0/70

hou

rs o

n du

ty in

7/8

con

secu

tive

days

. A d

river

m

ay re

star

t a 7

/8 c

onse

cutiv

e da

y pe

riod

afte

r tak

ing

34 o

r mor

e co

nsec

utiv

e ho

urs

off d

uty.

Mus

t inc

lude

two

perio

ds fr

om 1

a.m

. to

5 a.

m. h

ome

term

inal

tim

e, a

nd m

ay o

nly

be u

sed

once

per

wee

k, o

r 168

hou

rs, m

easu

red

from

the

begi

nnin

g of

the

prev

ious

rest

art.

Slee

per B

erth

Pro

visi

onD

river

s us

ing

the

slee

per b

erth

pro

visi

on m

ust t

ake

at le

ast 8

con

secu

tive

hour

s in

the

slee

per b

erth

, plu

s a

sepa

rate

2 c

onse

cutiv

e ho

urs

eith

er in

the

slee

per b

erth

, off

duty

, or a

ny c

ombi

natio

n of

the

two.

PASS

ENG

ER-C

ARR

YIN

G D

RIVE

RS

10-H

our D

rivin

g Li

mit

May

driv

e a

max

imum

of 1

0 ho

urs

afte

r 8 c

onse

cutiv

e ho

urs

off d

uty.

15-H

our L

imit

May

not

driv

e af

ter h

avin

g be

en o

n du

ty fo

r 15

hour

s, fo

llow

ing

8 co

nsec

utiv

eho

urs

off d

uty.

Off-

duty

tim

e is

not

incl

uded

in th

e 15

-hou

r per

iod.

60/7

0-H

our L

imit

May

not

driv

e af

ter 6

0/70

hou

rs o

n du

ty in

7/8

con

secu

tive

days

.

Slee

per B

erth

Pro

visi

onD

river

s us

ing

a sl

eepe

r ber

th m

ust t

ake

at le

ast 8

hou

rs in

the

slee

per b

erth

, an

d m

ay s

plit

the

slee

per b

erth

tim

e in

to tw

o pe

riods

pro

vide

d ne

ither

is le

ss

than

2 h

ours

.