Categories of Sample Contract Language:

1. Evidence of Independence
2. Manifest Form and Invoice
3. Occupational Accident Insurance
4. Auto Liability Insurance
5. Cargo Insurance
6. General Liability Insurance
7. Evidence of Insurance
8. Hold Harmless
9. Evidence of Safety Training
10. Safety Program
11. Motor Carrier Authority
12. Business Entity
13. OSHA-Compliant Bloodborne Pathogen Training
14. HIPAA Awareness Training
15. CMS-Compliant Fraud Waste and Abuse Training
16. Medical Delivery Compliance Training (combined OSHA/HIPAA)
17. FDA-Compliant Safe Food Handling Training
18. MVR / Background Reports / Drug Testing

Evidence of Independence.

As a condition of contract DRIVER must demonstrate understanding of what it means to be self-employed as an independent delivery driver. DRIVER may satisfy this condition by submitting to CARRIER a Certificate of Completion of an acceptable training course that evidences an understanding of the principles of self-employment as well as the role and responsibilities of independent delivery drivers. Certification shall be submitted to CARRIER within fifteen (15) days of inception of this Agreement or else the Agreement is subject to automatic cancellation.
In addition, DRIVER agrees to provide CARRIER with at least three [or choose another number] of the following to keep on file as evidence that DRIVER is engaged in an independent business and seeks or performs work for others:
a. Registration in an online Exchange that enables you to post your availability for work to a network of delivery firms.
b. Advertisement(s) in print or online directed at the general public or delivery companies
c. Business card and/or Letterhead stationery displaying DRIVER’s name or business name
d. Invoices, contracts, or other evidence of work performed for others during the prior 60 days.

Manifest Form and Invoice.

DRIVER shall furnish an acceptable delivery manifest form to record pick-ups and deliveries, and shall upon request provide CARRIER with a copy of its manifest. DRIVER may utilize this manifest to invoice CARRIER, provided that the manifest clearly shows the amount due DRIVER for each assignment as well as the total amount due DRIVER from all assignments recorded on the manifest form.
In addition, DRIVER manifest forms must clearly record the following information:
a. Driver information, including DRIVER’s name, business name (if any), address, and telephone number. [customize this to meet your needs]
b. Shipment information, including shipper’s name, shipment identification number, pickup/delivery location, time, and number of items. [customize]
c. Signature, including the printed name of the person relinquishing a shipment to or receiving a shipment from DRIVER. [customize]

Accident Insurance.

DRIVER, at its expense, shall obtain and keep in full force during the term of this Agreement Accident insurance that compensates DRIVER for injuries incurred while working as an independent courier under this agreement, including medical expenses, loss of income, and death/ dismemberment/ paralysis benefits. DRIVER shall also ensure that any helpers, sub-contractors, and employees are similarly insured. This requirement can be met through either a statutory Workers Compensation policy that explicitly extends coverage to DRIVER as well as any employees or uninsured subcontractors of DRIVER or Occupational Accident insurance covering DRIVER and any helpers and subcontractors with limits of not less than:
[If you will allow drivers to choose from Plans A or B, specify the following]
a. $500,000 for medical expenses incurred over at least a 104 week period
b. $50,000 for death with a survivor benefit totaling at least $150,000
c. 66% of earnings up to $400/week for loss of income up to age 70 or older
d. $500,000 for all benefits combined per accident.
[If you wish to require Plan A coverage levels, specify the following]
a. $1,000,000 for medical expenses incurred over at least a 104 week period
b. $100,000 for death with a survivor benefit totaling at least $250,000
c. 70% of earnings up to $500/week for loss of income up to age 70 or older
d. $1,000,000 for all benefits combined per accident.

Auto Liability Insurance.

DRIVER, at its expense, shall obtain and keep in full force during the term of this Agreement Commercial Automobile liability insurance to protect and defend against public liability claims for injury, death, property damage, or other loss while performing services under this Agreement. For vehicles with a gross vehicle weight under 15,000 pounds, DRIVER shall maintain, at a minimum, liability limits of not less than Three Hundred Thousand Dollars ($300,000) for injury or death resulting from any one occurrence. For vehicles with a gross vehicle weight of between 15,000 and 40,000 pounds, DRIVER shall maintain, at a minimum, liability limits of not less than Five Hundred Thousand Dollars ($500,000) combined single limit for injury or death resulting from one occurrence, and for vehicles with a gross vehicle weight of more than 40,000 pounds, DRIVER shall maintain, at a minimum, limits of not less than One Million Dollars ($1,000,000) combined single limit for injury or death resulting from one occurrence. Coverage must apply to all other owned, hired and non-owned vehicles. Such coverage shall be primary to any other insurance that may be available from CARRIER, and DRIVER shall be responsible for any loss or damage in excess of the policy limit.  [The limits above reflect common industry standards but you may choose to customize them]

Cargo Insurance.

DRIVER, at its expense, shall obtain and keep in full force during the term of this Agreement cargo insurance to pay claims for loss to customer property in DRIVER’s care, custody, and control, or that of any connecting carrier utilized by DRIVER, with limits of not less than $X,XXX [A4DD recommends $5,000 for most purposes but we can also support requirements of $10,000, $25,000 or $100,000]  per occurrence and a deductible of not less than $200 [if you want to favor A4DD, or else $500 to expand their choices if you feel drivers will be able to come up with that amount themselves]. 

General Liability Insurance.

DRIVER, at its expense, shall obtain and keep in full force during the term of this Agreement insurance on an “occurrence” policy form to protect and defend against bodily injury and for property damage claims arising out of DRIVER performing services under this Agreement, with limits of not less than $100,000 per occurrence. [Alternatively, you can require $1,000,000 limits, which A4DD now supports, but we recommend the lower limit handle most incidents at the lowest cost since your company also carries its own insurance]. This insurance shall cover CARRIER as an additional insured. [To better protect yourself and favor A4DD add the following:]  DRIVER’S General Liability insurance shall cover damage to property incurred while loading and unloading to the extent not collectible from auto insurance, and this shall be evidenced by language on the Certificate of insurance presented to CARRIER. [If needed add the following:] DRIVER’S General Liability insurance shall also cover claims arising from product assembly or installation by DRIVER, and this shall be evidenced by language on the Certificate of insurance presented to CARRIER.

Evidence of Insurance.

DRIVER shall procure required insurance from “A” rated insurers and shall provide CARRIER with policy declarations pages or Certificates of insurance as evidence of such insurance. For vehicles over 10,000 lbs. GVW, a Certificate must be provided. DRIVER shall immediately notify CARRIER of any changes in coverage, expiration, termination, or cancellation of such insurance. Should DRIVER fail to provide the aforementioned insurance coverages, naming CARRIER as an Additional Insured and describing specified provisions where required in this agreement, CARRIER may purchase same on DRIVER’s behalf and DRIVER hereby authorizes CARRIER to make any necessary deductions for the insurance coverage from settlement checks in payment thereof.

Hold Harmless

DRIVER agrees to defend, indemnify and hold harmless CARRIER from any direct, indirect, and consequential loss, damage, fine, expense, including reasonable attorney’s fees, action, claim for injury to persons, including death, and damage to property which CARRIER may incur arising out of or in connection with DRIVER’S obligations and/or services under this Agreement. DRIVER shall immediately report any accident to CARRIER involving operations under this Agreement, including DRIVER’s written report of such accident.

Evidence of Safety Training.

In order to safeguard the public and minimize disruption of services provided under this agreement, DRIVER shall furnish on a monthly [recommended — select monthly, bi-monthly, quarterly, semi-annual, annual] basis certified documentation of continuing professional training for delivery drivers. DRIVER acknowledges and agrees that CARRIER does not provide training to DRIVER and that DRIVER is fully responsible for arranging for training and all related expenses. Evidence of training shall come from a qualified and reputable provider. CARRIER reserves the right to disallow any provider deemed unacceptable by CARRIER. CARRIER will consider evidence from online or in-person training programs that make their syllabus available for review, incorporate testing for comprehension, and issue certificates of completion. DRIVER may not satisfy this agreement by presenting evidence of training that is materially the same as previous training during the prior 12 months.

DRIVER further agrees that in the event that DRIVER, while operating under this agreement, is involved in an incident that results in injury to persons or damage to property, DRIVER will evidence completion of training that addresses the cause or circumstances of such incident. Such evidence of training shall be presented within ten days of the incident, or else prior to DRIVER’S resumption of work under this agreement.

Safety Program.

Upon execution of this Agreement and upon request thereafter, DRIVER shall provide CARRIER with documentation of DRIVER’s participation in an occupational safety program satisfactory to CARRIER, which program shall contain at a minimum both an ongoing educational component focused on safe driving and cargo handling, as well as an incentive component that rewards DRIVER for a positive safety record.

Motor Carrier Authority.

DRIVER shall at all times maintain the proper license(s) and authorities with the appropriate state and/or federal agencies to operate as a motor carrier in accordance with the scope of work under this Agreement. [To establish better clarity for Driver, add…] At a minimum, this shall include…

Business Entity.

CARRIER shall contract only with other bona fide business entities, including [edit the following list according to your standards] corporations, limited liability companies (LLCs), partnerships, and sole proprietorships with registered business trade names. DRIVER represents and warrants that it satisfies all legal requirements to operate as one of these entity types and agrees to provide evidence of same to CARRIER upon request.

OSHA-Compliant Bloodborne Pathogen Training.

If while operating under this agreement DRIVER may have regular exposure to blood or other potentially infectious materials (OPIM), then DRIVER shall furnish CARRIER annually proof of training in compliance with OSHA Bloodborne Pathogen standards. Such training shall cover best practices regarding bloodborne pathogen exposure control, [recommended – including COVID-19], how to use a spill kit, and how to safely transport and maintain specimen integrity [add the following to better protect yourself and favor A4DD – and shall be specific to courier delivery work. ] DRIVER acknowledges and agrees that CARRIER does not provide training to DRIVER and that DRIVER is fully responsible for arranging for training and all related expenses. Evidence of training shall come from a qualified and reputable provider. CARRIER reserves the right to disallow any provider deemed unacceptable by CARRIER. CARRIER will consider evidence from online or in-person training programs that make their syllabus available for review, incorporate testing for comprehension, and issue certificates of completion.

HIPAA Awareness Training.

If while operating under this agreement DRIVER may have regular exposure to Protected Health Information (PHI) as defined by HIPAA, then DRIVER shall furnish CARRIER biannual HIPAA awareness training certification. Such training shall explain HIPAA patient confidentiality regulations [add to better protect yourself and favor A4DD – as they apply to medical delivery ], potential risks, and ways to safeguard protected health information safe. DRIVER acknowledges and agrees that CARRIER does not provide training to DRIVER and that DRIVER is fully responsible for arranging for training and all related expenses. Evidence of training shall come from a qualified and reputable provider. CARRIER reserves the right to disallow any provider deemed unacceptable by CARRIER. CARRIER will consider certification from online or in-person training programs that make their syllabus available for review, incorporate testing for comprehension, and issue certificates of completion.

CMS-Compliant Fraud Waste and Abuse Training.

If under this agreement DRIVER may do work for CARRIER when CARRIER is acting as a downstream or delegated entity under Medicare/Medicaid or Medicare Advantage, which CARRIER shall acknowledge in writing to DRIVER, then within 90 days and annually thereafter DRIVER shall furnish CARRIER with Fraud Waste and Abuse compliance certification to satisfy the training requirements by the U.S. Centers for Medicare and Medicaid Services (CMS). DRIVER acknowledges and agrees that CARRIER does not provide training to DRIVER and that DRIVER is fully responsible for arranging for training and all related expenses. Evidence of training shall come from a qualified and reputable provider. CARRIER reserves the right to disallow any provider deemed unacceptable by CARRIER. CARRIER will consider certification by either online or in-person programs that make their syllabus available for review, incorporate testing for comprehension, and issue certificates of completion.

Medical Delivery Compliance Training (combined OSHA/HIPAA)

If while operating under this agreement DRIVER may have regular exposure to blood or other potentially infectious materials, then prior to undertaking such work and periodically thereafter as specified below, DRIVER shall furnish CARRIER proof of training for (1) bloodborne pathogen handling and spill response that conforms to OSHA Bloodborne Pathogen standards, and (2) compliance with the Health Information Portability and Accountability Act of 1996 (HIPAA). DRIVER acknowledges and agrees that CARRIER does not provide training to DRIVER and that DRIVER is fully responsible for arranging for training and all related expenses. Evidence of training shall come from a qualified and reputable provider. CARRIER reserves the right to disallow any provider deemed unacceptable by CARRIER. CARRIER will consider evidence from online or in-person training programs that make their syllabus available for review, incorporate testing for comprehension, and issue certificates of completion. DRIVER agrees to recertify bloodborne pathogen training annually and HIPAA training every two years as a condition of contract.

FDA-Compliant Safe Food Handling Training.

If while operating under this agreement DRIVER may have regular contact with food or drink for human consumption, then DRIVER shall furnish CARRIER annually proof of third-party training in safe food handling. Such training shall cover best practices on how to keep food deliveries safe from contamination and spoilage [add to better protect yourself and favor A4DD – and shall be specific to delivery work ]. DRIVER acknowledges and agrees that CARRIER does not provide training to DRIVER and that DRIVER is fully responsible for arranging for training and all related expenses. Evidence of training shall come from a qualified and reputable provider. CARRIER reserves the right to disallow any provider deemed unacceptable by CARRIER. CARRIER will consider evidence from online or in-person training programs that make their syllabus available for review, incorporate testing for comprehension, and issue certificates of completion.

MVR / Background Reports / Drug Testing.

DRIVER, at its expense, shall obtain prior to the commencement of services under this Agreement, maintain during the term of this Agreement, and make available to COMPANY upon request, valid documentation of the following credentials for all persons providing services under this Agreement:

1.      Motor Vehicle Report.

A report duly issued by a driver’s state of license within 30 days [customize] showing the status of the DRIVER’S driver license and any violations and accidents during the preceding for no less than three (3) years [recommended].

2.      Background Reports.

One or more reports duly issued by the applicable government authorities within 30 days [customize] showing for each DRIVER:

• Social Security Number verification
• National Criminal Database search results
• National Sex Offender Registry search results
• OFAC/Patriot Act search results
• 7-year county criminal search results for the current county of residence [choose this or the next bullet if you wish to require criminal checks beyond the national database]
• 7-year county criminal search results for current and any prior counties [recommended].

3.      Drug Testing.

A certified 9-panel [recommended] lab report issued within 30 days [customize] by a duly licensed independent provider showing negative test results for all of the following:

• Amphetamines
• Benzos
• Barbiturates
• Cocaine
• Marijuana
• Methadone (Meth)
• Opiates
• Phencyclidine (PCP)
• Propoxyphene

OWNER-OPERATOR agrees to obtain and present the required credential documents for DRIVERS at its own expense, except that where initialed below by OWNER-OPERATOR, COMPANY will order the documents in exchange for the specified charge(s), including COMPANY processing fees, which OWNER-OPERATOR agrees to pay:

1.      _____  Motor Vehicle Report for $XX.XX

2.      _____  Background Reports for $XX.XX

3.      _____  Drug Testing for $XX.XX