Trucking is a vital component of the modern world, as it plays a significant role in the transportation of goods and services. With over 70% of freight in the US transported by trucks, the trucking industry is essential for various aspects of our daily lives, such as online shopping and moving services. As a trucking company owner, it’s crucial to understand the ins and outs of the industry to ensure efficient operations and success.
Imagine a world without trucks and the goods and services they transport. The trucking industry is the backbone of our economy, and without it, our lives would come to a standstill. That’s why trucking company owners need to have the right insurance coverage to protect their businesses and ensure smooth operations.
In this informative blog post, we will explore the importance of truck insurance for trucking companies, providing valuable insights on how to find the right truck insurance for your needs. By understanding the significance of the trucking industry and the risks associated with running a trucking business, you can make informed decisions about your insurance coverage and safeguard your business for future success.
Below, we will mention a few things that people don’t know about the trucking industry:
Drivers are Educated
Contrary to popular belief, the majority of drivers are educated. According to the US Central Bureau, around 35% of professional drivers have elaborate education. Most of them have completed a bachelor’s degree and wish to pursue this job of their will. Since trucking is a versatile industry, drivers enjoy exploring different locations.
Traveling is a lot of fun when you’re a part of the trucking world. Sometimes, this percentage goes up to 45% of drivers who have less than 5 years of experience. Thus, every driver you wish to employ for the job must be educated. Even setting high criteria for professional conduct and education will be fulfilled by a large number of people.
Trucking Doesn’t Make You Rich
Most people believe that working long hours can help them make a fortune. However, the trucking industry is quite contrary to what they think. Truckers’ mean wage is around $37,930. This, too, is earned after a lot of hard work. And it is $4000 more than the median wage for all the jobs. Only the top-rated drivers make it to the top of the list. They earn as much as $58000 per year.
You might think that trucking is lucrative, but staying consistent in this industry is hard. If you start a trucking business, you can expect to earn high profits in the first few years. You’ll have to cut expenses and focus on routing as a business owner. Since fuel prices are rising, drivers are complaining about making less money.
Around 80% of Americans Depend on Trucks For Deliver.
Whether you’re shopping online or in person, the larger things you order are packed, shipped, and delivered to your doorstep. This means you can skip the chaotic process of bringing your stuff home yourself. Even if you’re buying groceries, clothes, or even books, they will be delivered to you via trucks. This goes for rural areas where they don’t have a local station or an airport.
Thus, for more than 80% of the people in the US, trucking is the only way to get what they have ordered. Even when it comes to acquiring services for home improvement or home relocation, trucking will be a large part of the game.
Truck Driving is a Dangerous Job
As a trucking business owner, you’ll have to do a great deal of work in protecting the lives of your people. After all, trucking is one of the top 10 most dangerous jobs in the US. Driving is dangerous if a person drives for long hours during the day. Even more so when they’re driving during the nighttime. Additionally, the chances of an accident are very high.
Especially when the weather Is bad, drivers are at great risk of losing their lives. They can’t play sports or enjoy healthy meals during the trip. They don’t even get enough time to check with the doctor. Thus, it’s important to get them a health insurance plan.
Risks Associated with Running a Trucking Business
Running a trucking business comes with various risks, and insurance coverage can help safeguard the business. Some of the risks associated with trucking include:
- Accidents and property damage: The large number of vehicles on the road increases the potential for accidents and property damage.
- Driver issues: Driver shortages, sleep deprivation, and distractions like cell phone usage can lead to accidents.
- Cargo damage: Transporting cargo can result in damage to the contents, and companies may be held responsible for the losses.
- Liability: Trucking businesses need to protect themselves from lawsuits and potential damages arising from accidents or incidents involving their vehicles.
To mitigate these risks, trucking businesses can consider the following insurance coverages:
- Comprehensive General Liability Insurance: This insurance covers damages to property and physical injuries caused by the truck and its driver.
- Motor Truck Cargo Insurance: This coverage protects the cargo in case of damage, theft, or loss during transportation.
- Non-trucking Liability Coverage: This policy covers damages that occur to others while the truck is not carrying cargo.
- Occupational Accident Coverage: This insurance protects drivers in case of accident, dismemberment, or death.
- Medical Payments: This coverage helps with medical expenses in case of accidents involving the truck.
By understanding the risks associated with trucking and securing appropriate insurance coverage, trucking businesses can better protect themselves from potential financial losses and liabilities.
Truckers Work More Unpaid Hours Than Any Other Profession
Even if your trucking company pays them well, they will still outperform. Truckers get paid according to mileage. They say if the wheels aren’t turning, you aren’t earning. So, to get paid, truckers have to keep the wheels running on the road. But if a trucker has no order, they will be left idling all day long. Truckers aren’t even paid when they stop at the traffic signal. Waiting time at some docks doesn’t even get counted.
