Tulsa Transportation Law Attorney Lauren Marciano - $760 B INVEST Act Passes House, Industry Approval Mixed
July 2, 2021
Industry Segments Oppose Provisions
Within the INVEST Act, there are several provisions that could have negative impacts on the industry.
One provision is to raise trucking insurance liability from $750,000 to $2 million, and it mandates automatic braking on new trucks and increases scrutiny of truck dispatch services.
“I expect this provision of the bill to be hotly contested in the Senate," Lauren Marciano, a transportation law attorney at the national law firm Hall Estill said. "There has been a major push from small trucking operations to block planned increases in insurance liability rates in the industry. While the so-called ‘nuclear verdicts’ and bad conduct are what capture national attention, the industry has made sure to emphasize that the current liability limit requirement covers the vast majority of accidents. Small operations are most likely to feel the squeeze from this proposed change and that would be another unfortunate knock to the industry with unintended consequences.
“The legislation seems to consider the issue in a vacuum and fails to consider additional coverages that apply to many events. Excess coverage and underinsured motorist coverage are perfect examples. The best thing trucking operations can do while awaiting more guidance and ultimate outcome is to review their coverages and work with a broker to plan for changes. With the landscape of the trucking industry the way it is, businesses should never take for granted the benefit of annually reviewing coverages, keeping consistent policies and procedures, and having a rapid response plan in place," Marciano concludes. READ MORE HERE