THE INCREASING
COST OF RISK
Trucks are getting in more accidents.
Contrary to what you might expect, trucks are getting in 59% more accidents per mile than they were in 2010. Injuries from truck accidents are up 48% per mile driven, and fatalities are up 12%. Unequivocally, truck crashes are increasing – and the associated costs are rising accordingly.
2015 compared to 2010
Accidents Are Costing More
Median cost per accident
Median Incurred
Year
In a study done by HNI of over 24,000 accidents that occurred between 2010 and 2015, it was clear that the cost of an accident is on the rise. The median cost of an accident has increased 14% in the past 5 years.
COST OF
COLLISION REPAIR
TRUCK REPAIR
& MAINTENANCE
MEDIAN BODILY
INJURY CLAIM
Accidents Are 2x More Likely to Exceed $100K
IN 2010, 1.5% OF ALL ACCIDENTS
INCURRED MORE THAN $100,000.
IN 2016, THAT NUMBER NEARLY
DOUBLED TO 2.9%.
2010
2016
The Critical Few: Accidents Over $100k
When only 3% of crashes result in 72% of costs, it’s easy to see how safety and behavior improvement investments can be misdirected. Rather than focusing on backing accidents (which are low cost), leading companies are focused on the Critical Crashes that cost big bucks.
Insight: Many companies fail to make a dent in their safety performance due to a lack of focus on critical crashes.
Legend One
Legend Two
Legend Three
3% of All Accidents Account for 72% of All Losses
The Effect of Nuclear Verdicts
There have been some huge settlements levied against trucking companies in recent years. Plaintiff attorneys have mastered the art of demonstrating how trucking companies are profit-driven, negligent, and careless when it comes to safety. And the’ve become experts at showing how this negligence is a danger to jurors.
These nuclear verdicts have been extremely detrimental to insurance companies, who bear the brunt of these mega-settlements. As a result, an increasing number of insurance companies have decided to stop insuring the trucking industry all together.
Large settlements awarded to accident victims
