A variety of trends have contributed to the rise of commercial auto losses. These trends have contributed to a different market for buyers of commercial auto insurance. Here is a look at the most significant factors driving commercial auto losses across the country.
More vehicles on the road-A record number of vehicles on the road means more traffic and congestion, which increases the risk of collisions.
Distracted driving- Today’s drivers face more distractions than ever before. Distracted driving can reduce awareness, decision-making, and performance which can result in an accident.
Driver shortage- A shortage of experienced commercial drivers has caused employers to hire people with less experience. Newer drivers are more likely to get into accidents.
Litigation trends- Lawyers are getting involved in more and more auto claims. This litigation drives the cost of claims. What’s more, trial verdicts related to motor vehicle crashes can be as much as six figures.
Rising medical costs- Medical costs continue to rise. As a result, many injuries caused by auto incidents exceed coverage limits.
Increased vehicle repair costs- While technological advancements have made vehicles safer and more efficient, they also increase vehicle repair costs.
Contact Midwest Insurance Group today at 262-646-5777 for more recommendations for employers to reduce the risk associated with commercial vehicle fleets as well as insurance options.