Independent delivery drivers are individuals who offer to pick up and drop off goods on behalf of companies in exchange for monetary compensation. Typically, they deliver things like food, supplies, and other easily transportable goods for restaurants, food delivery companies, and in some cases, larger corporations like Amazon, eBay, and other e-commerce organizations. The contract can vary in nature, as some companies require the driver to provide the vehicle and insurance, while others don’t. Additionally, the distance, timing, and length of the job itself are all variables that need to be explicitly stated within the contract.
An independent delivery driver isn’t necessarily an employee. Generally, they are individuals who are hired in the capacity of independent contractors that work for companies and complete deliveries on their behalf. Different companies have varying policies and requirements as to what they expect from their drivers – some, for instance, expect the driver to provide a vehicle and insurance. Others simply require a driving license and will provide both the vehicle and insurance themselves. As a result, an independent delivery driver contract is fairly malleable and largely depends on the needs of the company itself.
Who hires Independent Delivery Drivers?
Typically, companies that work in the field of logistics and delivery, as well as in e-commerce, require independent delivery drivers, particularly in times of overload, such as the holidays. Here’s a list of companies that commonly hire independent delivery drivers;
- Grubhub, UberEats, DoorDash, Postmates, etc. – Food delivery services, particularly in urban areas, are known to contract independent drivers to meet their goals.
- Amazon, eBay, Jet.com, etc. – E-commerce websites sometimes require independent drivers when their existing logistics and shipping services are overburdened. This typically happens during the holidays or important days, such as Thanksgiving, Black Friday, Cyber Monday, etc.
- Local Restaurants – Local restaurants, such as pizzerias and Chinese takeouts, typically enlist a handful of independent delivery drivers to help complete deliveries in and around their locality.
- Post Offices, Courier Services, Local Offices – Local agencies and governmental offices may also require independent drivers in some situations, particularly during the summer, when they have an influx of part-time workers.
Generally, these are the sort of entities that enlist independent delivery drivers. On average, delivery drivers are paid $17/hr in the United States. Expect this rate to decrease in rural areas, with the rate generally increasing in larger, metropolitan cities. Additionally, food delivery drives also typically make a small portion (5-15%) in tips.
Independent Delivery Driver Contract Template
To help you out with drafting an Independent Delivery Driver agreement, we’ve come up with a template that is rather universal in application. You can modify the sections to suit your needs, but may also use it as-is. The template can be found below;
INDEPENDENT DELIVERY DRIVER AGREEMENT TEMPLATE
DRIVER NAME __
In the capacity of the role of a “Delivery Driver,” I agree to adhere to the following rules, regulations, terms, and conditions;
(a) To comply and adhere to all organization policies, rules, regulations, terms and conditions set forth by the employer _ (Employer name), with a mailing address located at _______________________________.
(b) To exercise appropriate care and caution whilst engaging in the operation of the delivery vehicle and complying with all state, federal and local laws that include, but are not limited to, parking laws, driving laws, and regulations.
(c) To actively avoid engaging in any personal errands during working hours.
(d) To provide an active copy of my driving license, along with documentation that will serve as proof. Documentation will need to be provided by the local DMV.
(e) To never consume any inhibiting substance whilst in the operation of the vehicle and/or during working hours.
(f) To, the best of my ability, prevent any damage(s) to the delivery vehicle.
(g) To never unload passengers, unless explicitly asked to do so by the administratives of the company.
(h) To always operate a vehicle that is active and approved under an insurance plan. I will attach copies of evidence of said insurance plan along with the Independent Driver Delivery agreement.
The Independent Driver hereby agrees that his or her own insurance will be used to cover any damages caused directly as a result of their negligence towards another person (s) and/or property.
The Independent Driver and the employer hereby agree to provide a set amount of insurance to the dollar figure of $__ to cover any damages directly caused whilst operating the delivery vehicle during working hours.
The Independent Delivery Driver hereby agrees to provide a vehicle that is ___________________________________________________.
(Here, the employer will have to list their requirements for the vehicle. Typically, companies don’t accept motor vehicles older than 7 years or in-insured vehicles. Companies may also choose to reject vehicles that don’t meet emission standards, as well as any vehicles that go against their respective policies)
(or) The Independent Delivery Driver will be tasked with operating a vehicle provided by ___________ (Company name.) Whilst operating said vehicle, the Independent Delivery Driver will be liable for any violations of the terms and conditions set forth in this agreement.
III. THE AGREEMENT IN ITS ENTIRETY
The agreement explicitly detailed above hereby represents the entirety of the arrangement between the parties and hereby overrides any previous or existing agreement, contractual or not, that may have been in place prior to the signing of this contract. No additional clauses will be binding unless agreed upon by both parties.
The parties hereby agree to the aforementioned terms and conditions.
DRIVER NAME _
DRIVER SIGNATURE ______ DATE _
EMPLOYER SIGNATURE __ DATE _
COMPANY NAME ___
REPRESENTATIVE SIGNATURE ___ DATE _
Typically, Independent delivery drivers make as much as $17/hr on average across the United States. This varies, of course, depending on locality. Expect rates to be higher in urban areas, with rates being significantly lower in rural areas. If they are working as food delivery drivers, they are quite likely to receive tips as well.
If they are using their own vehicle, they do typically get reimbursed for things like gas whilst on the clock. In many cases, however, the company provides the vehicle, and so, the drivers themselves aren’t entitled to reimbursement.
Typically, food delivery drivers do receive tips, which vary between 5-15% of the bill amount. Delivery drivers for e-commerce websites, logistics, and courier services typically don’t get tipped.