Safety Seen the Measure for Insurers
Most insurance companies rely on the number and cost of accidents to set rates for trucking companies, but some question that criteria as an adequate measure of safety.
That information is used by the Department of Transportation to target trucking companies for safety audits, but Feeney said insurers largely ignore such data.
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“The way underwriting is done, they look at losses. It’s a roll of the dice. They charge everyone [with similar losses] the same,” said Jim Feeney, an insurance and safety consultant in La Mesa, Calif.
He believes insurers should consider a company’s safety rating and its vehicle and driver out-of-service rates.
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