No federal workers’ compensation law affects motor carriers, but rules vary by state. Learn the finer points of workers’ compensation so you are covered if you are sued by workers who get injured. Some think that auto and general liability policies cover employee injuries, but they don’t. Discover the problems that arise if you don’t have workers’ compensation coverage in place, or if you don’t meet the requirements for this type of coverage in the states you are operating in. This lesson also addresses what to look for in your customer’s requirements for insurance, cargo coverage, and the certificate of insurance (COI).

Choosing an insurance provider who understands the motor carrier industry is an important first step. Knowing to look for providers who have dedicated time and effort to the industry, such as those who have earned the Transportation Risk Specialist (TRS) designation, is key to developing successful partnerships. Learn what information you need to give to your insurance provider, and the importance of making sure it matches the information on the Department of Transportation SAFER website. Examine further details about the application process and the many factors underwriters consider.

As a motor carrier obtaining insurance, make sure your provider understands the size of your operation so your insurance program can be complete. Depending on the number of units you operate, most insurance providers will require additional information from industry sources, such as International Fuel Tax Agreement (IFTA) reports, the SAFER website, FMCSA data, and the American Transportation Research Institute (ATRI) statistics, to determine auto liability insurance. Discover how larger operations may need to provide financial summaries and meet with the insurance representative to discuss loss prevention. Learn what you can do to help your underwriter understand your operation and properly interpret the information they have gathered.

Working with insurance providers who understand your entire operation and your business as a motor carrier helps in determining your specific insurance needs. What are the differences between auto and general liability insurance? How do you determine government and customer limit requirements? Examine how to plan for worst-case scenarios, and protect your company and personal assets. This lesson delves deeper into auto liability, as it is most often required to respond to a claim. Learn how leasing protects units not owned by the carrier, including those operated by independent contractors or owner-operators, and the differences in coverage depending on the number of units. Better understand insurance provider considerations when accepting, pricing, and determining coverage.

History shows that a motor carrier will have an accident about every 425,000 miles. Clear, well thought-out procedures can make this inevitable occurrence less stressful. Learn what differentiates a DOT-recordable crash from a non-recordable one. Understand best practices for establishing standard operating procedures (SOPs) related to accidents, and how to train drivers on what to do at the time of the incident. As important as having procedures for your drivers to follow is ensuring that all employees understand post-crash protocol. Learn what this protocol entails, including the roles, responsibilities, and responses that will help protect your business.

The first consideration in becoming a better insured is having coverage in place to address damages done by your operation. This lesson dives deeper into coverage limitations and gap insurance. It provides guidance about cargo claim coverage and how it protects your customers’ property, as well as your reputation. In addition, liability coverage, workers’ compensation, and insurance for non-auto-related accidents are addressed. The second consideration, and the one that affects your coverage acceptance and pricing, is how safe your operation is deemed to be. Understand the review process and the information you need to provide, and how upgrades in technology can show your commitment to safety.

This lesson addresses several additional considerations that lead to being a better insured. Carriers can decide to assume some of the loss with a participating plan. The many aspects of participating plans are covered in depth including savings, stop loss, claim frequency, discounts, and “The Five C’s:” Control, Cost, Cash Flow, Capital, and Collateral. Types of participating plans, including captives and small-deductible programs, are also described. Gain knowledge about the process of self-insuring and the two forms of collateral that insurance providers can require.