Trucking Industry – Jeff’s Take on Top Weekly News 4/18/14
FMCSA to Congress: Raise Minimums for Truck Insurance
The FMCSA has reported to Congress that current financial responsibility minimums for the commercial motor vehicle industry are inadequate to meet the costs of some crashes and the agency says it will initiate a rulemaking to raise the limit higher than the current $750,000.
The announcement by the FMCSA comes less than a year after Rep. Matt Cartwright, D-Pa., introduced legislation that would raise the required insurance minimum for motor carriers from $750,000 to $4,422,000 per truck, an increase of almost 500 percent. There was no immediate indication of how much the FMCSA might recommend the minimum be raised.
Judge Overrules FMCSA Shutdown Order
Two weeks after the FMCSA shut down an Illinois trucking company, a federal judge on Wednesday ruled it can return to the roadway. DND International challenged the agency’s order, in which it was described as “an imminent hazard to public safety” following an investigation into the trucking company that began after a Jan. 27 crash killing an Illinois Tollway worker and seriously injured an Illinois State Police trooper. An administrative law judge ruled there was no evidence that actions by DND contributed to the crash and the FMCSA failed to prove the carrier was a danger, according to the Chicago Tribune.
ELD Mandate: Independents’ Final Straw?
What would the trucking industry look like without 70 percent of the independent and small-fleet owner-operators in business moving freight on the roads today? What kind of recruiting and training efforts might be required among more sizable fleets if 52 percent of their company drivers and leased owner-operators suddenly exit the business? Such questions aren’t strictly rhetorical. An Overdrive survey of readers shows such percentages of respondents saying they would either retire or look for another line of work before they would ever run with an electronic logging device.