LLC

[Frickman]

Ron, I can't compete with the Amish when bidding on timber sales. Their overhead is so much lower than mine they can beat me any time they want to. Same thing when selling lumber, they'll undercut your price every time.

[ADfields]

Ron, do they have some kind of exemption in the laws?
Andy

[J_T]

A lot of largeCo are also self inshured. Any one can just got to prove you got a lot of cash or resorcs and be willing to pay if anything jumps the track.. In some states at least 50 grand bond inlew of auto inshurance was a long while back .

[Sawyerfortyish]

The state job I did about a year ago required a million in coverage for each accident.It was on fish and game land and had people all over the place. Got that done with no accidents and got out of there.

[UNCLEBUCK]

yeah I thought it was a good time to ask about my amish friends, sure are interesting people, I like everything about them except how they undercut .  :D

[J_T]

Yea they have low overhead. They make a buck they can keep nenteynine cents of it.No electric bill either.

[ADfields]

Ya, I well know about self unshared bonding.   But I would not think the Amish would have that kind of cash around and if they did I bet they would not tye it up in a insurance bond.   I worked with many self insured trucking company's and they all had insurance with a very large deductible, often $1,000,000 in case it got real bad.
Andy

[Haytrader]

Hey, the Amish have it figured out.
It is the bank and the finance company that REQUIRE the insurance.
If it is paid for, it is our chioce if we want to gamble.
I do my gamblin at home instead of Vegas or the C store tickets.  

[redpowerd]

hire the amish, they only speak of you in german :D
you git the jist of it when theyre mad

had a wide-brimmer that workd fo us a bit, bought 15 pounds of t-bakky a month for his pipe. mail order.
turns out he used his pipe for other things..........amish

had a HORSE trail to his safekeepins. one day i mowed and raked a pasture we gave him for his 10 or so cows. on an inspection of hay moisture i found his real crop. pretty mad i was. made him work real hard for a week, then let him and his famly go, and i told him why. sad. but, imagine gettin caught on that cash crop? ;)

[acamar]

I used an on-line service that cost a few bucks, but made it all very painless, and they filed everything in my home state where I registered.   Talk to a good accountant; the value of these things are really rooted in tax issues.  The LLC allows a bit more freedom in moving assets into and out of the corporation.  Check out the tax treatment on assets that you have owned for a while and that you then give to the LLC.  Where land is concerned, there can be some very noteworthy tax considerations.  That's my two cents - good luck.

[Ron Scott]

They often get a waiver from the State Dept. of Labor. They will pool their resources among their group to cover any insurance needs in cash.

They will also have a producer who carries workmans comp and liability insurance do the timber harvest for them though they may be on the job also. I usually require them to go that route as they often don't have the most productive equipment, but will "front" the producer for his.

[Furby]

Can someone give me a little more info on the umbrella policy?
If I don't have a farm or business, how is it setup?
Who carries these policies, can I get them from my homeowners Ins. carrier?

[DouginUtah]

Furby,

This subject came up on the Yahoo milling group a few days ago. Here is what Dennis had to say:

A common misconception & maybe a bad choice of terms by the insurance industry.

An umbrella does NOT add ANY additional COVERAGES!

It DOES add additional LIMITS for the underlying policies, typically for the homeowner, the home and auto policies. In other words, if you have the coverage in your home or auto policy for say, $300,000 and you also have a $1 mil umbrella, you now can have a $1.3 mil problem and have your insurance take care of it without digging in to your pocket, provided it is a coverage already in your homeowners or auto policy.

So, NO ADDITIONAL coverages, just higher limits.

I have one and recommend it to all because I think it's a great buy and for most folks it's the only way to get over $1 mil liability (most homeowners and personal auto policies won't offer $1 mil or over).

-Doug