Protection Choices to Hold Impartial Contractor Enterprise Protected in 2024

This submit is a part of a collection sponsored by IAT Insurance coverage Group.

After the unprecedented increase that surged via the trucking trade following the COVID-19 pandemic, trucking corporations at the moment are grappling with decrease supply volumes and extra capability as shopper demand declines.

Within the second quarter of 2023, web revenue at trucking corporations throughout the nation fell between 22% and 69%^[1]. Moreover, as many as 67% of logistics professionals don’t count on any freight quantity enhance within the first half of 2024.^[2] Shippers at the moment have the benefit, and each parcel and full freight charges are anticipated to both be unchanged or down within the first quarter.²

This shift is especially impactful on unbiased contractors who are usually not solely going through greater curiosity and coverage charges and hovering gasoline costs, but additionally inflation and growing operational prices whereas managing their very own employment advantages.

On this market, the fragile stability between managing prices and defending your corporation is important. Reducing prices shouldn’t equate to slicing corners relating to insurance coverage as lack of protection in as we speak’s surroundings might be additional detrimental to you and your corporation. As a substitute, take a complete take a look at your protection to make sure you are adequately protected within the occasion of a loss or enterprise interruption.

Switch your danger to guard your corporation

One of many greatest errors you can also make is opting out of insurance coverage protection. Whereas it might look like a cost-saving measure within the brief time period, the dangers related to such a choice may be extra expensive. Going with out insurance coverage jeopardizes your private financial savings and belongings ought to an accident happen.

Consider insurance coverage protection as a method to switch danger away from your corporation throughout this unpredictable time. The trucking trade presents numerous protection choices tailor-made to the distinctive challenges confronted by drivers, and every protection serves as an important line of protection towards the uncertainties that accompany the evolving panorama.

Listed here are some key coverages to think about:

Occupational accident protection consists of medical, incapacity, loss of life and different harm coverages comparable to surgical procedure and rehabilitation bills for accidents that happen on the job. The incapacity element may be particularly essential for drivers unable to work on account of harm, permitting them to fulfill their monetary obligations throughout a interval of incapacity.

Bodily injury protection – there are two key issues when deciding on applicable bodily injury protection – 1) the insurance coverage restrict of protection, and a pair of) the protection chosen. You will need to choose a restrict of insurance coverage that displays the worth of your car. Deciding on a decrease restrict to save lots of value, exposes you to an uncovered declare ought to your car be considerably broken or totaled in an accident. Bodily injury protection is available in numerous kinds, from primary protection that repairs injury to your car to extra complete enhancements that may shield you from various kinds of losses comparable to downtime or mechanical breakdown. Contact your insurance coverage supplier to debate insurance coverage limits and protection that finest meet your wants.

Different traces of protection your corporation could wish to discover embody informal labor staff’ compensation, occupational compensation, passenger accident protection and non-occupational accident protection.

Tailor your protection to your distinctive wants

The present freight recession is an plain problem, however it additionally presents a possibility for savvy fleet homeowners and drivers to implement cost-saving measures, fortify their operations and improve their insurance coverage to higher shield their enterprise.

IAT presents protection choices tailor-made to the trucking trade, like these listed above, completely via membership with the National Association of Independent Truckers (NAIT). NAIT members acquire entry to a spread of business and life insurance coverage in addition to healthcare coverages and unique offers on tires, inns and gasoline.