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Reducing Liability Risks: Best Practices for Managing Trucking Accidents

Reducing Liability Risks: Best Practices for Managing Trucking Accidents

A trucking company is a fulfilling and financially rewarding business to own, supporting a pivotal aspect of the American economy by connecting enterprises to consumers throughout the country. That doesn’t mean it is without its share of challenges.

The trucking industry can be risky – for the safety of truck drivers, their cargo, and travelers they share the road with. With those risks come extensive liabilities, many of which could lead to difficulties ranging from high insurance costs to court action. Like most litigation, trucking related legal issues can be very costly. In fact, one study showed that the average award in truck-related litigation was $27.5 million between 2020 and April 2023. (1)

While the risks and liabilities are many, there are several actions fleet companies can take to minimize and mitigate them, including:

  • Driver training Your drivers carry tremendous responsibility along with the load they carry – in everything from the goods they haul, to the safety of the motorists around them, to your company’s reputation. The best way to protect all of it is to provide regular, rigorous training for your drivers. Training topics should include things like:
    • Safe driving practices
    • Cargo loading, unloading, handling, and securing
    • Risk management
    • Defensive driving
    • Vehicle upkeep and maintenance
    • Updates on industry regulations
    • Health and wellness including fatigue management
    • Emergency preparedness and management
    • First aid
  • Driver monitoring Monitoring your drivers benefits your company as well as the drivers themselves. Empowering your drivers to know and implement safe driving practices, compliance with regulatory requirements, and comprehensive vehicle maintenance protects your company and helps their professional development. It also helps you to identify challenges and fix them before they become significant problems.
  • Incident response Carrier companies should establish protocols for what should occur after an incident and make sure all employees are informed of it. These protocols should include an outline of information that should be compiled in such events as well as the procedures to file a claim with the company’s insurance provider. While it may be tempting to avoid making a claim on your policy, delayed filing could jeopardize your ability to resolve the matter or cause you to lose your coverage altogether.
  • Fleet maintenance Regular vehicle inspections and maintenance will not only extend the life of your vehicles but will help reduce liabilities. Brake-related problems alone account for 29% of semi-truck accidents, according to the Federal Motor Carrier Safety Administration (FMCSA). (2) Inspections should include things like tires, brakes, lighting, fluid levels, and signals.
  • Thorough documentation Keeping accurate and updated documentation is crucial for fleet management. In the event of liability issues or litigation, comprehensive documentation – in areas such as driver qualifications and monitoring, training, and vehicle maintenance – can protect a company against claims of negligence.
  • Technology The use of technology such as telematics and on-board cameras can help provide real-time information on driver behavior, driving conditions, and vehicle health as well as historical record in the event of an incident. Electronic logging devices can help automate required record keeping.
  • Comprehensive insurance Your insurance plan may be your strongest defense against liability. Some coverages you should hold include:
    • Liability insurance to cover damages or injuries in the case of an accident
    • Physical damage for repairs or replacement of your vehicles in the event of an accident or theft
    • Cargo insurance to cover the goods your fleet carries
    • Non-trucking liability for trucks when not in service
    • Workers’ compensation to provide medical coverage and wage support for employees injured during work-related activity
  • Regulatory compliance The federal Department of Transportation (DOT) and Federal Motor Carrier Safety Administration (FMCSA) hold the primary responsibility for creating and enforcing the regulations that govern the trucking industry – a highly regulated industry. A fleet’s regulatory compliance is measured by its CSA score, a number calculated by the FMCSA that relates to a carrier’s safety performance, measures compliance with safety regulations, and identifies high-risk fleets, carriers, and drivers. Good CSA scores also provide many benefits to carrier companies such as lower insurance premiums and fewer DOT audits and roadside inspections.

To succeed in the trucking industry, companies must do more than simply deliver goods on time and in excellent condition. They have to practice diligence to protect themselves from the myriad of risks and liabilities inherent to the industry.

For more than four decades, SWZ has been committed to helping trucking companies prepare for and protect themselves from these risks. One of our areas of expertise includes helping our clients understand and improve their CSA scores. In fact, we offer a free SCORE Report to help you understand your safety score, identify safety issues, and learn how to resolve them. To learn more about how we can help you protect your business and understand where you stand with the FMCSA, request your complimentary SCORE report today by visiting this link.  

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