We get requests from non emergency medical transportation providers for what it takes to get insurance coverage. Normally, the requests come from new start ups looking to enter the business. This makes sense because those with years or even decades of experience generally know the ropes pretty well. I say pretty well because it’s rare for me to talk with even NEMT industry veterans without providing education and information they didn’t know previously.
Considering how many business owners I talk to on any given day, if I wasn’t picking up and learning from them and able to share something would be wrong.
What information do I need to submit to receive an insurance proposal for my NEMT business?
Interestingly enough, each transportation business is unique and depending on the size, length of business experience, location, previous losses, moving violations of drivers, and property to be covered, the questions could be relatively few, or highly complex.
You should expect to provide the motor vehicle reports for all current and soon-to-be NEMT drivers
A loss run report spanning at least the last three years (sometimes five), or since you been in business as appropriate if the business hasn’t been operating that long. The DEC pages from previous policies are very helpful, albeit not usually required.
VIN numbers for all the vehicles, along with their value and special equipment added (think wheel chair ramp etc….)
One way radius of operation. In other words, how far away do you go from “home port.”
Name of the entity operating.
Name of all officers and owners.
Can I use more than one agent? For example, get some of the coverage here and some of my coverage somewhere else?
Generally, we won’t write only some of the business. This is more for your protection, despite the loss of some commissions by turning down business. This policy isn’t meant to “punish” or force someone to give us all their business. It’s meant to protect our clients so if something happens that falls between two policies, the client isn’t faced with two agents pointing their finger at the other agent and claiming “it’s their fault.” The exception to the rule is when we believe we will at some point (usually at renewal) write all the business, and we have a very high comfort level with the client. In other words, we have to trust the client is highly experienced and understands the greater risk in having multiple agents. After all, in our opinion, having multiple agents is akin to having more than one medical doctor and none of them are talking to the other. One other exception is we offer Quickbooks at a discount. You don’t have to have any other product from us to get your accounting software from us.
How long between the time all the information is provided and an insurance quote proposal is available?
Once everything is received (which often doesn’t happen on the first try), it generally takes one or two days for smaller easy to quote non emergency medical transportation business insurance quotes, and the time window generally increases as the scope of the operation increases. A fleet of 20 may take a week to fully process. Often, we can have a proposal to a start up within one or two business days after receipt of all required information.
How much does non emergency medical transportation insurance premium cost a year?
Many many many variables come into play. As a rule, bigger cities have higher all around costs. Some states are relatively expensive (Michigan for example), and some are relatively cheaper (Wisconsin for example). I find it interesting that two states, side by side represent one of the most expensive and the cheapest in the country.
Another factor is does your vehicle have a wheelchair ramp/lift. Sometimes, depending on the state, having the added equipment LOWERS the cost, albeit usually it raises your cost.
Your NEMT operation can gain economies of scale once you exceed 10 units and over three years in business.