AS THE LABOR MARKET TIGHTENS, SO DOES DRIVER ELIGIBILITY FOR INSURANCE
Updated: Apr 26, 2019
The labor market is tougher than ever. Finding employees is, to say the least, challenging. Finding employees who are acceptable to drive your trucks and trailers is even more challenging.
Today, there are many reasons for tougher driver guidelines. The biggest reason is the increase in accidents due to distracted driving. The insurance industry is paying out billions of dollars in claims due to distracted driving accidents.
Frequently, I am asked what constitutes an acceptable driver. The answer is that it usually depends on the following:
Your account details and history
The insurance carriers’ loss ratio and their underwriting flexibility
The details of the incidents on the drivers’ motor vehicle report
Here are some Basic Guidelines for an Acceptable Driver. These guidelines are followed by many insurance providers, but not all of them:
Drivers age 19-20: Clean record
Drivers 21-23: One minor moving violation
Drivers over age 23:
In last 36 months: two minor violations (ex. minor speed under 20 mph over limit, traffic light, stop sign)
In last 36 months: one minor violation and one At-Fault Accident
In last 60 months: no major violations (ex: alcohol or drug violations, reckless operation, driver under suspension and speeds 20 mph OVER the speed limit)
Every insurance provider has their own guidelines. With the recent increase in accidents, especially for drivers under age 25, acceptability has become stricter. Some insurance carriers are excluding ALL drivers under a certain age, such as age 25. While some insurance carriers are only allowing them to drive if they have a clean driving record.
These restrictions are difficult for Landscape Professionals to comply with given the relative young age of the Green Industry workforce. Although exceptions are fewer than they were last year, underwriters are still open to discussing driver exceptions for certain accounts who have safety procedures in place and who are profitable.
If you are experiencing problems with driver acceptability, please call me to discuss by cell 440-537-2292 or by email email@example.com.
EASIER, SAFER AND BETTER with Botson Insurance.