What You Need to Know About Commercial Auto Insurance Rates
Things are changing rapidly for companies with fleets due to a tight labor market and emerging technologies. Insurance carriers are experiencing record losses on commercial auto insurance rates. And accidents and auto fatalities are up over 30% in the last 3 years making Georgia first in the nation in both increased claims and percentage rate increases.
Accidents and auto fatalities are up over 30% in the last 3 years.
Automotive technology is evolving faster than ever before, which is causing a lot of concern in the auto insurance industry. Things like autonomous cars and sensors to tell you if/when someone is in your blind spot. Large commercial fleets like UPS and FedEx will likely move to autonomous vehicles at a rapid pace.
This kind of technology is scary – who is at fault when an accident happens? That is the question we are facing today. And with as much as 94% of accidents attributed to human error, this is something we need to fix soon. The auto liability environment is changing rapidly.
Here’s how you can handle the driverless auto environment that is on the horizon:
- Cyber Security – With more technology, hardware, and software in cars, we have to insure against cyber theft, ransomware, and hacking.
- Liability – There is a huge potential for failure through software bugs, memory overflow, and algorithm defects. We have to insure against this big risk.
- Infrastructure – Insure things like cloud server systems, signals, and other safeguards put in place to protect riders and drivers.
Commercial auto insurance rates are changing rapidly, but that is due to the massive change in automotive technology. Risk management techniques are put in place to protect and insure you in all areas. Your agent will be working with you to manage risks and provide you with the protection you need.
Reach out to us if you have more questions around the changing commercial auto insurance industry. We would love to help.