Since the economic downturn kicked into high gear at the end of 2008, many trucking companies have been struggling to keep their heads above water and stay on the road. Recent reports show that individual truckers have seen their salaries decrease by 5% or more. The latest data from the Bureau of Transportation Statistics states that surface trade with America’s NAFTA partners, Mexico and Canada, is down a whopping 31.5% from this time last year!
The government stimulus package has been of little to no value, so it’s up to those in the trucking industry to find ways to cut costs in every possible way while still maintaining adequate loads and paying a living wage to hard-working drivers. There is no doubt that the economy will rebound over the long term, but in the meantime trucking company owners have to bite the bullet and find ways to keep saving: here are 3 ways for truckers to reduce their transportation insurance premiums right now.
Take a Look at Your Drivers
An interesting fact to consider is that the older and the younger your drivers are, the higher your trucking insurance rates will be! Although younger drivers are likely to have more stamina, they are also less experienced and more prone to accidents. Drivers over the age of 65 have plenty of experience, but may not be as road-aware or have the quickness of reflexes that they used to. Transportation insurance rates will be lower if the majority of your drivers are between the ages of 30 and 65; and, of course, you should insist that all new hires as well as your existing drivers maintain spotless driving records.
Taking proactive steps to increase the visibility of your good safety practices with the driving public will be a factor that insurers look at when determining your transportation insurance premiums. Equip your rigs with safety signs advising the public on how to drive when they are behind or next to your trucks. Make sure your trucks have extra mirrors and other safety tools that will help drivers to navigate the roads while looking out for the “little guys” next to them. Conduct continuing driver safety education training and create a “culture of safe driving” within your organization: such practices will go a long way toward showing the insurers that you are proactive in your safety practices.
If you have been doing business with a captive agent who only represents one insurance company, you may not be getting the best rates. Hub Transportation is an independent trucking insurance brokerage that has ongoing partnerships with a number of insurance companies, which allows it to negotiate the very best insurance coverage for you at the very best price. As an independent brokerage, Hub is dedicated to representing your interests, knows how difficult it is to make ends meet in a down economy, and is committed to helping you both stay on the road and save money on premiums.