There’s a new bill going through the House that would increase the minimum required insurance for trucking companies. The bill, called The Safe and Fair Environment of Highways Achieved through Underwriting Levels Act (SAFE-HAUL) stands to increase the current minimum from $750,000 to $4,422,000, an increase of almost 600%.
The increased mandatory coverage would mean owner operators would see a huge increase in their minimum insurance coverage and therefore also their costs.
The bill has been introduced in response to a recent study by the Trucking Alliance which states that almost half of the settlements paid on accidents by carriers between 2005 and 2011 exceeded the $750,000 minimum. The Trucking Alliance consists of seven large truck companies including Schneider, J.B. Hunt, Knight Transportation, Maverick Transportation, Boyle Transportation, Fikes Truck Line, and Dupre Logistics.
This claim is in stark contrast to numbers given by both OOIDA and the ATA who say that only 1 to 2 percent of crashes involving commercial trucks will see a claim above the $750,000 minimum. When asked to weigh in on the bill, OOIDA executive vice president Todd Spencer said that, “All the Alliance will succeed in doing is increase costs for their competition in trucking and chum the water for personal injury lawyers.”
ATA spokesperson Sean McNally also stated that The Alliance is only recommending the limit increase “in satisfaction of some unstated goal” and that the FMCSA has “consistently found over the same time period examined by the Trucking Alliance that the average cost of a crash involving a large truck is less than a third of the minimum limit required today.”
Next Story: The “I-80 Challenge” Brings Enforcement Blitz
Source: overdrive
The alliance are the ones who have the most accidents
They don’t hire truck drivers they fill seats
Agreed
We need to start to realize the little business owner is done. Put a fork in that business model its over. Owner Operator’s are no different. The government is killing any incentive to be a small business owner. Even many medium small trucking companies have merged or gone out of business. Probably not for just one reason, but for many. Including increased regulations, higher new equipment costs, stagnant rates, the inability to keep drivers because they simply cannot afford to pay better and If you think these small companies have it rough. Just imagine someone dealing with this as a single truck owner or only a few trucks? Obama claims he is all for small business but the guy is a joke and talks out both sides of his mouth like all politicians. We all know Congress themselves don’t have a clue what real people in America are going through. My Daughter wants to attend college, but college tuition has risen 27% in 5 years!!! Have rates gone up 27% in 5 years? Dream on right? I’ll bet my expenses have gone up at lead 3 times faster then my income or net profits. Eventually that leads to NO profit. Going nowhere fast for no money that’s the American owner operator these days.
You have to love these goofy bureaucratic acronyms the government loves to use. “The Safe and Fair Environment of Highways Achieved through Underwriting Levels Act (SAFE-HAUL)?” Are you serious? What panel of focus group phonies came up with this one? You are so right about the fact that the little business owner is done. There appears to be no way the little guy has a chance any more and I believe nothing will happen until it’s too late and by then, nothing will be able to be done. By the way, this is not accidental. Major power players, ie George Soros and his kin, know exactly what the deal is. All I know is these bureaucratic pukes are “Factually Using Correlated Knowledge Educationally Derived Updating Performance.” Go figure out that acronym.
Wheres the “fair” in this whole plot?? Putting the little guy out of business is fair?? Wasnt schneider once a one-truck operation when it first started? Talk about getting away from your roots. Im sure we’ve all passed each other on the roads at some point in our careers–so i leave you all with “its been nice ‘knowin’ ya”
How long did it take to come up with that one? VERY CLEVER!
I can’t believe anyone is ignorant enough to drive for these companies,or much less believe any of the bs the current administration is trying to shove down our throats!
Wish each & everyone the Best!
BE SAFE,MAKE MONEY & GET HOME OFTEN.
Well said and all true.
O/O
Follow the money. Someone is lobbying our congressmen for this legislation they are too lazy and involved with other more pressing issues (like getting reelected) to focus on constant regulation of the trucking industry. Someone stands to make a great deal of money from this and that’s where we need to look to find the motivation behind the new regulation. The Insurance industry is a primary suspect they stand to make a fortune from the increased fees. The largest trucking companies like the Koch Bros and the Knight Families could make a good deal by driving out the competition and then raising prices. Since the late 1970s, approximately 12 to 13 percent of all traffic-related fatal crashes were the
result of a crash involving a large truck; (http://www-nrd.nhtsa.dot.gov/Pubs/809-569.pdf)
That means that 87 – 88% of all fatal crashes involved 4 wheelers only. Why aren’t they increasing their insurances 600%? Because politicians and lawyers drive cars.
This bill needs to go away or we will lose some of our best independant truckers.
Insurance, fuel, everything has up in price and down in quality. I’m about ready to throw in the towel!
With the price of gas and now this, where does this leave our independent truckers, at the mercy of big government and big truckers. Soon we will have no independents in any area, which I am sure is what this is all about. Check the list of the Alliance members and you will see who wants the independents out of business.
The article above lists all seven Alliance members, and according to the Trucking Alliance website, they are the only members. I’m surprised that other large companies, such as the one for which I work, have not joined them.
Why would Business want Government involved in their business? The aim here appears to be to make the insurance racket so expensive that only certain companies can survive.
And perhaps these carriers have connections to Big Brother…
As usual these increased costs will be absorbed by the system because everyone will have to pay them…Just like increased fuel cost and so on….
But the drivers never seem to catch on that driver pay hasn’t gone up in years and in many cases it has actually gone down…
I business fact…If you will work for less no one will pay you more…The companies pay just as little as possible for everything….But when they cry crocodile tears and say that they cant afford to absorb a fuel price increase from the old 15-25 Cents a Gallon Days to $3.00 -$4.00…That fell on deaf ears….Pay or get out off the business…
Only the drivers fell for it and still do…I guess that they always will..do the math….Many drivers are working for less than minimum wage..
I got out of driving because I just can’t compete with you….It’s no wonder O/O…can’t make it when company drivers will work for free…
Hell if you want to work for free…Come by my place and I’ll let you wash and wax my vehicles, clean the bathroom and cut the grass I know that I can find something to keep you busy..
You can park em now or park them later permanently..It’s time to awaken a sleeping giant.
Some say it takes balls to drive a truck. I say it takes balls to go on STRIKE.
If just 1 out 4 O/Is and small companies had these mysterious balls (for One Day), this crap would stop.
Power never makes any concessions it doesn’t have to make.
I agree 100%, but the problem with that is there are not enough people who will back each other. to many of them are to comfortable working for some company and saying its not my problem. when the ones who actually don’t mind a little hard work, will go out of business because of the “lack of effort” candy asses. small business is what use to drive this country. now its just big money who end up hiring foreign labor now days. then what are company drivers going to say when gomez or habib comes in takes over there truck driving job to.
Interesting that the Alliance is pushing for this. Why you may ask? They are all self insured. This move will drive a large percentage of their competition out of business. I wonder how much money they are paying to lawmakers to get this one pushed thru.
You hit it right on the nail. They are self-insured and are working to put their competition (O/O) out of business.
How long are the truckers going to let the system push them around before they take a stand? I say take all your trucks and park them down by city hall and let them clean up the mess. Loaded or unloaded. Neither the government or the carriers have any respect for the owner operator and nor do they appreciate what they do for them. Maybe when they have no toilet paper to wipe their ass, they might start showing some. The only ones that can stop this is the truckers. And what is the worst that could happen, they could pass off the jobs onto foreign temporary workers, but guess what their already doing that, it is just a matter of time. Try quiting your job and find another one. Most companies won’t respond, especially if you have any real experiance.
If this is true than its time to park the truck and go back to chasing bail jumpers.
It would be nice if the story had cited the bill number. I’d like to express my concers with my elected officials but with out the bill number I cant.
Lets form an alliance of thousands of truck drivers and owner operators, speak, and get more people involved. Point blank period, if we don’t, nobody will. The major companies don’t have our interest’s in mind, only theirs, that’s why I’m an owner operator now. IT’S TIME TO WISE UP AND RISE UP. LESS INDEPENDENT INDIDUALS AND SMALL BUSNIESS OWNERS MEANS MORE PEOPLE FOLLOWING A MAPPED OUT GOVERNMENT BLUEPRINT. WHICH IS JUST THE WAY ‘THEY WANT IT.
UFTA – UNITED FREIGHT TRANSPORT ASSIOCIATION , standing up for the life, liberty, and pursuit of happiness and the upward social mobility achieved through the hard work of thousands of America’s hardest working citizens, the independent law abiding, risk taking, small business truck drivers of America.
In case you didn’t know, percentage of that money goes to pay for new government health care plan.
What we need to do is set a date and surround every state capital and the DC beltway and shut them down right there. Refuse to move, lay on the air horns non-stop until this is settled. We could bring supplies, have a picnic and protest till we get a change out here. Flatten every tire on all these big company trucks. If your not willing to take a stand don’t cry when you lose your livelihood. If I lose my truck I will not drive for a large company that played a part in putting me out of business. 85% of trucks on the road are 1 to 10 truck companies. WE CAN TAKE A STAND AND TURN THINGS AROUND OUT HERE. We’re being over regulated and under paid. Enough is Enough. Anyone want to buy a Coranado with a freshly built motor and 132 inch sleeper with a show trailer. If so let me know. I’m fed up if you whiners aren’t willing to take a stand. I can sit at home just as much as I have to sit out here on the road for a 34 hr restart.
I’m with you.
Yes.
Nothing we do or say will stop them from putting us under. They only want to deal with the big companies that are already in their pockets as political supporters. When they finally run me out business I WILL NOT become a big company driver so they get their way. Then they will see why they need the cost increases. Big company drivers get their licenses and their backbones our of cracker jack boxes. They think there is a driver shortage now, we will see. Ihope most will join me in finding a new career
The bill is H.R. 2730. Contact your congressmen and urge them to oppose this dumocrat sponsored bill. Here is a link to the bill.
http://www.opencongress.org/bill/113-h2730/show
Its big companies that put steering wheel holders in the seat that don’t have experience two weeks and he or she is on there own in a semi not even a full year cycle over the road with changing weather and also some 4 wheelers shouldn’t have a license they cause rigs to wreck keep blaming truckers not all of us are guilty lawyers is the ruination of this country with all the bogus law suits small owner operators go out country goes down big companies are trying to take over all the trucking since they came out with the c d l a lot of good drivers and o/o quit so go ahead and put me out of business what goes around comes around I can make a living doing other things I’ve been trucking 30 yrs don’t matter to me all you are is a pencil pusher that’s for ass holes
Funny how insurance for cars isn’t mandated at $750,000. More people die in car- car accidents than car-truck accidents. I guess people don’t use for as much when it is a car.
…don’t sue for as much…
All of these companies are the reason for wrecks on the highway they Just want to eliminate the real truckers out here i.e the competition because they know they’re steering wheel holders can’t keep up with us my insurance is 12k a year now I can afford the 24k but will take a huge chunk out of my bottom line mega carriers are the nazi’s of the trucking industry and it’s all about money not safety