Workers Comp Certificate Fraud by Several Texas Tow Companies <- Watch video to see how you have been duped.
Dan Messina, the founder of the Southwest Tow Operators and investor of Park Right Solutions of Austin regularly teaches other Southwest Tow Operator’s member tow companies how to increase their profits by providing a false Texas Workers Compensation Certificate to prospective commercial parking facility owners, property management companies and municipal governments to gain business.
Every parking facility of any type in Texas would be wise to verify the Workers Comp Certificate of Insurance of your tow company with the Texas Department of Insurance, instead of Compliance Depot.
Parking facilities should not use a tow company that pays its tow truck operators by 1099, as these type of drivers are not covered as an employee of the tow company. Texas Workers Compensation is for employee’s of a company, not contract employees.
Just because a tow company might be listed in the Texas Department of Insurance’s website database, does not prove all the employees of the tow company or the vehicle storage facility is covered. You should always need whoever you allow on your property that involves the towing and storage of vehicles to provide additional proof their drivers is covered and are true employees, not contract drivers or workers.
It’s highly advised to verify this information in-house instead allowing third-party verification.