The freight volume that trucks move around the United States has increased annually since the global financial crisis. Evolving business dynamics, however, including a shortage of available commercial truck drivers, has forced companies to search for new solutions to fill needed positions and increase capacity.
One viable solution is autonomous trucking technology, which can help streamline transportation logistics and meet demand. As the momentum behind autonomous trucking technology grows, insurance companies and reinsurers of self-insured fleets must begin formulating approaches to commercial autonomous vehicle (AV) technology.
In this article, Milliman actuary Andrew Groth explores the steps insurers should use to investigate the feasibility of offering new products for a developing autonomous trucking industry. He also examines the impact of autonomous trucking on their current books of business.
There is a trickle-down effect of the COVID-19 pandemic that permeates almost all aspects of life. In March, the Federal Motor Carrier Safety Administration issued an emergency declaration to suspend long-haul trucking hours of service regulations that have been in place since the 1930s. The goal of this unprecedented declaration: to allow cargo distribution networks to operate as efficiently as possible during these times of rapidly changing directives from federal and local governments.
While regulations for commercial trucking have been eased, other drivers have either been mandated to stay off the road or have fewer reasons to leave their homes. The net effect of that seesaw is crucial to the safety of truckers in the coming months and subsequently will be of interest to commercial auto insurers. In this article, Milliman’s Paul Anderson and Andrew Groth discuss COVID-19’s potential impact on the commercial auto insurance industry.