Insurance and Risk Management

There’s no substitute for the right cross-border insurance

In 2023, the U.S.’s top trading partner was Mexico. That trend is continuing well into 2024, with the increased volume resulting in growing pains that have been thrust front and center on both sides of the border.

Some of the common challenges with cross-border freight are visibility, track and trace operations, cargo theft, safety, insurance coverage, and wait times at the border.

According to BSI Consulting, Mexico is now the highest-risk country in the world for cargo truck hijacking. Data...

https://www.freightwaves.com/news/theres-no-substitute-for-the-right-cross-border-insurance

What is cargo insurance and why does it matter?

Recent trucking market conditions have made it harder for carriers to turn profits as carrier costs continue to rise, but rates are not following the same trend. Some carriers have had to take freight at a loss to keep trucks running.

When it comes to major expenses for carriers, the top four are fuel costs, truck/trailer lease payments, repair and maintenance, and insurance premiums. According to an American Transportation Research Institute survey that looked at 2023 costs compared to 2022...

https://www.freightwaves.com/news/what-is-cargo-insurance-and-why-does-it-matter

What impacts insurance rates?

On this episode on WHAT THE TRUCK?!? Dooner sits down with Ashley Hammonds, executive vice president and general manager at Reliance Partners to break down some of the current trends in the industry and its impact on insurance rates. 

Hurricane season has almost come to a close. The official end is Nov. 30, however most of the activity for hurricane season happens in September and October. There is little expectation for another hurricane to make landfall in the U.S. for the rest of the year....

https://www.freightwaves.com/news/what-impacts-insurance-rates

Breaking down new CDL regulations from the Drug & Alcohol Clearinghouse

The Federal Motor Carrier Safety Administration proposed a rule back on April 28, 2020, titled “Controlled Substances and Alcohol Testing: State Driver’s Licensing Agency Non-Issuance/Downgrade of Commercial Driver’s License.”

Now approved, the rule is scheduled to take effect Nov. 18. It prohibits state driver licensing agencies from issuing, renewing, transferring or upgrading a CDL or commercial learner’s permit (CLP) for any driver banned from operating a commercial motor vehicle.

Essentially...

https://www.freightwaves.com/news/breaking-down-new-cdl-regulations-from-the-drug-alcohol-clearinghouse

Carrier verification key to fighting freight fraud

Freight fraud in the logistics space is growing rapidly. Cargo theft surged 86% year over year in the fourth quarter of 2023, according to Cargo Net. 2024 is anticipated to have record-high thefts. The schemes range everywhere from tractors picking up shipments and vanishing without a trace to thieves breaking into trailers and more. 

The problem is only getting worse, and it leaves shippers to mitigate risk themselves to combat losses. Some 3PL insurance markets aren’t covering clients’ risk...

https://www.freightwaves.com/news/carrier-verification-key-to-fighting-freight-fraud

Driver hiring standards key to keeping down insurance costs

In tight freight markets, it can be challenging for motor carriers to maintain high safety standards while ensuring their companies are staffed appropriately. Trucking companies must carefully balance the need to fill vacant positions with hiring qualified, responsible drivers. Those hiring decisions can affect a carrier’s insurance rates. 

Currently the only requirement the Federal Motor Carrier Safety Administration has for truck drivers is that they must have a CDL Class A license. The most...

https://www.freightwaves.com/news/driver-hiring-standards-key-to-keeping-down-insurance-costs

The power of Group captive insurance plans for trucking companies

The trucking industry faces countless risks and challenges, from accidents and cargo damage to rising insurance premiums. As traditional insurance costs continue to climb, many trucking companies are exploring alternative risk management strategies. One increasingly popular option is group captive insurance, a self-insurance model that can offer greater control, cost savings and customized coverage.

What is a captive insurer? It is an insurance company “that is wholly owned and controlled by its...

https://www.freightwaves.com/news/the-power-of-group-captive-insurance-plans-for-trucking-companies

How to successfully dispute violations with DataQs

Almost every motor carrier that has been around for any length of time has likely been hit with violations during a roadside inspection. In fact, of the 2.8 million federal and state roadside inspections conducted last year, nearly 59% resulted in a violation, according to Federal Motor Carrier Safety Administration data. 

There are bound to be circumstances in which violations are unjustified and warrant further investigation. When carriers, drivers or their representatives think a violation...

https://www.freightwaves.com/news/how-to-successfully-dispute-violations-with-dataqs

Extra communication efforts go miles to make drivers feel part of a team

It’s always a good time for carriers to implement positive changes to the driver experience. But as National Truck Driver Appreciation Week kicked off on Sunday, now is prime time to make those lasting improvements to show the trucking industry’s most crucial people — drivers — just how much they are valued.

One of the most basic but important ways that a carrier of any size can show how much they value their drivers is actually an effort that doesn’t cost anything: Make drivers feel like...

https://www.freightwaves.com/news/extra-communication-efforts-go-miles-to-make-drivers-feel-part-of-a-team

Driver’s guide to ELD failures: Compliance measures and best practices

With a few exceptions, ELDs are now found in almost every semi-truck on the road, performing the integral job of keeping track of drivers’ hours of service.

During his time inspecting trucks while working for the Commercial Vehicle Enforcement Bureau, Daniel Vega, Reliance Partners’ director of safety, regularly witnessed issues with ELDs — including user error — when the ELD mandate first went into effect.

“When they first started the transition from paper logs to ELDs, there were a lot of...

https://www.freightwaves.com/news/drivers-guide-to-eld-failures-compliance-measures-and-best-practices

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