Companies have until February 26, 2015 to present their comments to the FMCSA’s proposed new insurance rules.
Late last week, an article appeared on FleetOwner.com “FMCSA seeks higher liability coverage for trucking.” Although a similar attempt to increase liability for carriers above the $750,000 minimum requirement failed in the House of Representatives, this new attempt is based on a report that was sent to Congress in April.
According to the article, however, the Federal Motor Carrier Safety Association (FMCSA) is actually lagging a bit behind the industry. Robert Moseley Jr., chairman of transportation practice at the law firm of Smith, Moore, Leatherwood LLP, stated that most shipper and broker contracts already demand higher insurance levels, with a requirement of at least $1 million in coverage. The downside is that, even for those companies that have larger liability coverage, an across-the-board ruling will raise costs for everyone, notes Moseley.
Companies and individuals that want to offer comments to the FMCSA regarding this proposed ruling have until February 26, 2015 to do so.
Read the full content of the proposed rules here.