Advice From the School of Hard Knocks

Advice From the School of Hard Knocks

What can you learn from other NPSA members?

There’s a magical time during any NPSA roundtable discussion. “They ask, ‘How did y’all handle this situation?’ That’s when you’ve got everybody’s attention,” says David Langford of Express Storage Container Rental & Sales Co. “Everybody’s frowning because they’re listening hard.” It pays to pay attention to what others in the industry are doing. Our virtual roundtable uncovered some valuable tips.

Paper Trail

Get everything in writing. Or, as Clayton Pasley of says, “Trust thy neighbor, but do cut the deck of cards.” Protecting yourself and your business with an air-tight contract is key to success. “I’m an insurance adjuster. So, I’m aware of the pitfalls, and geared my business against them,” says Clayton. “Our agreement hits every bell and whistle, and it includes automatic bill pay. I adjusted the contract because different states have different laws. So, somewhere in there it says the contract is subject to any state laws. “Follow the path of avoidance – prepare yourself or design your business in such a way that you take a minimum hit,” says Clayton. “We’re all going to take a hit, but just minimize it as much as possible. Good contracts will do that.”

Vendor Insurance Requirements

David Brennecke, Director of Operations AT&S

David Brennecke,
Director of Operations

Everyone in our business knows the importance of having insurance. Everyone also knows how importantit is that our customers have proper insurance coverage when renting our equipment. But does everyone know the importance of our vendors having the proper insurance coverage? I’m not just talking about those who move equipment or do repairs, but everyone from the cleaning service to yard mowers. These vendors are working for us on our property, delivering our equipment, repairing for delivery, etc. We need to ensure that if they have an accident or have a faulty repair that causes an accident, they have the proper insurance coverage that will cover any issue that could happen. Laid out below are insurance coverage requirements we have set for vendors. As you can see, there are different coverage’s based on the type of work performed.

Insurance coverage required for all vendors
• General Liability with $1,000,000 coverage. With management approval may accept $500,000 coverage limits.
• Workers’ Comp with $1,000,000 coverage

Drayage Vendors
• All coverage listed above
• Auto Liability with minimum $1,000,000 coverage
• Your Company listed as Additional Insured with respect to General Liability and Auto Liability
• Physical Damage with max deductible of $1,000
• Your Company listed as Loss Payee
• Cargo coverage with $1000 deductible

Repair Vendors
• Repairs + drayage to and from their shop
1. All coverage listed above
2. Garage Liability with minimum $1,000,000 coverage
• Repairs only in yard – no drayage
1. All coverage listed above excluding Auto Liability and Physical Damage coverages. The 2 coverages we require from all vendors are General Liability and Workers’ Comp. The coverage and deductible limits can be set at any level. Most important though is that you have each vendor provide a certificate of insurance that covers the work they perform for your business. Without this, you are leaving your business and yourself open to issues that can easily be prevented.

David Brennecke is the Director of Operations at AT&S. His articles can be viewed at, and can be reached at david.

Author Bio


Mr. Anders Norlin, owner of Box Credit LLC a company that provides financial solutions and advisory services to the portable storage and container leasing industry.

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