For several decades, the trucking industry has faced two major concerns, that also happen to be related: accidents and insurance premiums. According to data from the U.S. Department of Transportation’s Fatality Analysis Reporting System (FARS), there were a total of 4,102 casualties in multiple-vehicle crashes involving a truck in 2017. In 2019, the American Transportation Research Institute (ATRI) reported that, for the first time, expenses related to insurance premiums ranked among the trucking industry’s Top 10 biggest overall costs. Here is how GPS tracking for trucks can help.
Accidents involving trucks have two main causes: one, the weight of the vehicle and the load they are carrying, and second, lack of required maintenance and repairs. In August 2019, a jury in Georgia awarded $280 million to the family of five people who died in a fatal crash involving a Schnitzer Steel Industries Inc. truck. Instances like these and the rising number of accidents involving trucks have also caused insurance providers to increase premiums.
Avoiding Accidents and Higher Insurance Premiums
With GPS Tracking Devices
Given the above statistics, FMCSA and the Department of Transportation have been working together to reduce the number of accidents involving commercial motor vehicle, and have also made GPS-enabled electronic logging devices (ELDs) mandatory. Implementing GPS enabled fleet solutions has several benefits that also enhance overall operational workflow of a trucking business, no matter what size. One of the most important benefits is added safety and security of the driver, the truck and the assets it is carrying, and the insight the technology provides into driver behavior. Through GPS, the real time location of the vehicle can be tracked, thereby allowing immediate action in case of any kind of emergency, be it theft or accident.
Use of a GPS enabled fleet management solution and ELDs also shows your commitment towards safeguarding your employees and assets, and reduce the risks to your business, which motivates insurance providers to offer you insurance for your vehicles, assets and drivers at a discounted rate.
GPS Enabled Solutions And Insurance
When insurance providers offer you their services, they always make an assessment of risks that can affect your business. For the trucking industry, the biggest risks are theft of vehicles and accidents involving their vehicles and drivers. GPS tracking for trucks considerably decreases these risks.
- Real time location: Through real-time location tracking of your vehicle, you are always aware of the position of your asset which helps you to take effective and fast actions in case of an emergency. Many fleet management service providers also offer aggressive theft tracking and immediate road side assistance, which significantly decrease potential losses and alleviate risks.
- Driver behavior: Top notch GPS-enabled fleet management systems (FMS) can track driving behavior and send alerts to the fleet manager in case of rash driving, unnecessary speeding, hard braking and more, which helps the manager as well as the driver to encourage better driving, thereby decreasing the chances of a mishap.
- Vehicle diagnostics: FMS can also help in evaluating the condition of engine and create a schedule for regular maintenance of the vehicle, which keeps the trucks in top condition and avoids mechanical failure while driving.
- Dash-cam: In recent times, having a dash-cam has immensely helped the trucking industry in establishing responsibility in case of an accident. Prior to use of dash-cams, the blame for any accident involving a commercial vehicle was solely placed on the driver of the bigger and heavier vehicle. However, with FMS and dashboard cameras, which are considered admissible evidence in court of law, proper responsibility of an accident can be determined.
These tools and features of a fleet management system, supported by GPS, have proved to be extremely reliable and offer the trucking industry the safety and security it needs. Because of these features, insurance providers often offer a discount of up to 15% on total insurance costs.
GPS Tracking Solutions and the Moving Industry
Moving companies are often involved in transporting their clients’ assets locally, domestically, or internationally. In any case, the moving company has to get its vehicles, drivers, employees and even its client’s assets insured, which is an added cost to their services. However, this major expense can be cut down through application of an all-inclusive FMS that focuses on safety and security.
In a competitive moving industry, there are several businesses that offer their services. But with the help of GPS tracking for trucks, a moving company can reduce its operational cost, and offer its services at a reduced, affordable and competitive price.
A comprehensive FMS allows moving companies to manage their moving trucks and other commercial vehicles with the ultimate objective of improving the productivity of each move, reducing costs, providing real-time tracking, ensuring safety and security, and adhering to local, state, and national transportation guidelines.
GPS fleet tracking is a one stop solution for all fleet management needs. It helps in improving the overall productivity of business functions, increases security and safety of assets and employees, supports most efficient use of all available resources, and also reduces the costs of fuel, maintenance and insurance.
We hope you found this blog post on GPS Tracking For Trucks and How It Reduces Insurance Premiums useful. Be sure to check out our post on Car Accidents vs. Truck Accidents for more great tips!