How Has Technology Transformed Trucking Insurance?

Digitization and innovations have revolutionized every facet of our life. This significant shift has also transformed the transportation industry and truck insurance. 

Following this trend, insurance companies are also heading towards advanced modernization. The most popular is UBI (usage-based insurance). This innovation aligns the trucker driving behavior with the price of vehicle insurance. UBI uses telematics devices to track the driver’s actions and the mileage of the truck. This info is used in deciding the insurance rate.  According to Global Market Insights, the UBI market is expected to expand by 18% more in the year 2024. 

Earlier the vehicle logs were used to track on paper. This allowed many drivers to manipulate the distance and hours traveled. With the progress of technology, the chances of bypassing the regulations set for miles and time on the road have significantly decreased. Additionally, in the year 2015, such logging devices were enforced as a mandatory requirement for truckers. This provides automatic recording and reporting to truck carriers directly.

This innovation provides a complete overview of when, how, and where the trucks were used. When haulers were found driving beyond the log limit then many insurance companies denied the claims when the vehicle got damaged after an accident. 

Top Technologies That Are Transforming And Reshaping The Trucking Industry!

The trucking industry alone contributes a big share of the GDP in the United States.  The modern trucking business is experiencing big changes due to a major shift toward technological advancement. Not only this year, but it will bring more transformational alterations in the coming time.

Technology has undoubtedly transformed the transportation businesses in the US. If we talk about current industry trends, the following technologies have got immense popularity in the trucking industry.

• Automated trucks

We have already passed that era where a self-driven vehicle was a myth. Fully automated trucks are ready to sway the transportation world. This automation is ideal for fleet management as there is a significant shortage of truckers in the US.  The conflict between employers and drivers has emerged the need for such support.

Many trucking businesses are maximizing the automation level to increase productivity. Automated trucks are well equipped with cameras, short as well as long-distance radars, 3D mapping, laser detection, and sensors. It might take some time for people to adopt this idea.

• Advanced tracking

If you own a trucking business then this advancement will provide big relief as you can closely track your drivers. When you gain this ability to keep an eye on each of your truckers, one thing you can ensure i.e. safe driving. When you make sure that your hauler and shipment are safe, you can get truck insurance at favorable rates.

You can install GPS devices on your commercial vehicles to keep a strict tab on your trucks and drivers.

• SaaS

You must be aware of the importance of administration when you run a trucking business. Using outdated software to process all the back office work or other vital things can run you towards big problems in the future. The growth of SaaS (software-as-a-service) helps companies to keep moving forward without hiccups. 

You can take benefit from the competition among software vendors. Many software available in the market can help you track trucking trends, manage them, plan the driving route, etc.

• Automated freight matching

One of the major truck industry trends is using an app that helps shippers to connect with transporters who can take extra loads. This advancement not only removes the need for middle freight brokers but minimizes the number of vacant miles driven.

There is a big number of trucks that hauls empty as they fail to find freight directly. This leads to fuel wastage and additional expenditure. With help of cloud-based apps, you can easily inform the transporter about cargo-sharing opportunities that are available during the journey. 

• Electric trucks

It is not a surprise that humans and many other factors are impairing the environment. Looking at this situation many companies are embracing environment-friendly vehicles and this trend is increasing day by day. If you want to increase your customer base and magnify your trucking business. Then consider making your commercial vehicles greener.

The electric trucks will not only save the environment from fuel-generated smoke but also help you in getting in the good books of important people.  Many companies are releasing heavy-duty electric vehicles. The full conversion is not possible in one night but you can start from somewhere.

• Trucking applications

Undoubtedly we love the convenience we get from Google Maps, but your haulers should not completely rely on it. Your truckers should up their game when we talk about taking the right route. The market is flooded with high-end applications that show a comprehensive pathway wherever you want to go.

Some apps also provide transporters with the latest fuel price and location for the closest truck stops. Your truckers can easily track the actual road conditions and divert their route accordingly.

• Safety features.

It is vital to put the safety on top of the priority list when you are in the trucking business. The size of the truck is certainly bigger than other personal vehicles. A minor accident can result in grave injuries to the third party as well as to your driver. You need to invest in safety measures and comprehensive truck insurance to avoid paying thousands of dollars from your own pockets.

Parting Thoughts

The trucking industry and logistics keep an economy moving as they are the key source in delivering goods to each corner of the country. Commercial trucks are the backbone of several businesses in the US and if it gets damaged in an accident then the entire operation pauses. Here truck insurance helps in supporting the haulers and business. 

The trucking industry has and still undergoing some changes but it is for the betterment. Educate your haulers and other staff members about the changes. Investing in advanced technology can help your trucking business to operate seamlessly and make things much easier for you. Be sure about what technology you are going to incorporate. Ensure that you do it at the right time to boom your trucking business.

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