10-4 Magazine
10-4 Magazine -- Wayne's World

 

 

TERRORISM DRIVES UP INSURANCE RATES, NEW LOGBOOK CALCULATORS, AND...

HEIGHTENED SECURITY AFTER 9-11-01 ATTACKS




Wayne Schooling

Q: Is a driver who is on-duty, but has not been assigned a driving task, considered to be ready to perform a safety-sensitive function (as defined in 382.107), therefore subjecting the driver to random alcohol testing?

A: To be considered subject to any random alcohol testing, a driver must be about to perform or immediately available to perform a safety-sensitive function. A supervisor, clerk, mechanic, etc., who is on call to perform a safety-sensitive function may be tested at any time they are on call, ready to be dispatched, or while on-duty (382.305).

TERRORISM DRIVES PREMIUMS HIGHER

Insurance rates for truckers and trucking companies are expected to continue to climb as underwriters pass on the higher prices they will be charged by the multinational reinsurance corporations this coming January. These few reinsurance companies will bear the major burden of paying claims from the September 11 terrorist attacks. Their contracts with primary underwriters usually last six months and a large number of them expire January 1, 2002. At this time, these reinsurers will get their first chance to recoup some of the costs related to the September 11 events. The destruction of the World Trade Center was the single most costly disaster in the history of insurance. It is now estimated that the attacks will generate $30 billion to $58 billion in claims.

The two largest types of claims expected to be made are liability (about $12.5 billion) and commercial property damage ($11 billion). The previous record for claims generated by a single event was Hurricane Andrew, which caused $20 billion worth of damage in 1992.

Just as rising diesel fuel costs had their surcharges, it appears that trucking companies should seriously consider insurance surcharges. It is estimated that premium rates could go up on average by 30% to 35% in early 2002. Agents and brokers are also having a problem finding multi-year policies for some of their clients. Three and even two-year contracts are now a thing of the past. With the world in such a volatile state, many brokers are saying that one-year deals will dominate the market for the foreseeable future. Transportation is now perceived as having a great potential for generating losses in the near future, especially companies that haul hazardous materials. USA PATRIOT ACT

A provision in the recently passed USA Patriot Act, an anti-terrorism bill, requires closer scrutiny of all drivers who haul hazardous materials. The bill requires the Secretary of Transportation to determine that individuals applying for new or renewed permits to haul hazardous materials do not pose a security risk. Under the law, the states are to send the application material directly to the Department of Justice (DOJ), which is now in charge of conducting the background checks. The DOJ is to then send the results of its checks to the DOT, which then makes the decision whether to accept or reject the application.

Background checks shall utilize domestic and international criminal history databases. If the applicant is a resident alien, immigration status must be verified. Since most port drivers around the U.S. are independents from other countries, local drayage companies might find themselves facing future delivery problems and further driver shortages as new port drivers do not get their endorsements and some of their existing drivers are not allowed to renew.

NTA GETS NATIONAL ACCREDITATION

The Drug and Alcohol Testing Industry Association, located in Alexandria, Virginia, has just announced that the NorthAmerican Transportation Association (NTA) has been awarded the highest standard of excellence in the administration and management of drug and alcohol programs by achieving the coveted "Nationally Accredited for Administration of Drug and Alcohol Testing Program" title (NAADATP).

Organizations that achieve the NAADATP status are recognized for adhering to strict standards in areas of professional competency and conduct, confidentiality of records, testing administration and reporting, administration procedures, accountability and client services. These accredited organizations are recognized by potential clients and industry professionals as providing superior services in drug and alcohol testing program management.

The NTA is the only nationally accredited drug testing program from the Los Angeles Basin to the borders of Nevada, Arizona and Mexico. But, if you are anywhere in the United States and not in a drug testing program (and want to join the best), now is the time. COOL NEW LOGBOOK CALCULATORS

How many times have you messed up on calculating your hours of service? Do you want to spend less time calculating and more time resting? The NTA is now offering two new products called Trucker Log Chek® and Log Manager.™ The Log Chek is a little calculator that can be set at either the 60 or 70 hour cycle. It automatically keeps track of your hours for your logbook. Hit the "Next Day" feature and find out how many hours you have. There is even a warning beep if you go over hours.

The Log Manager gives you an up-to-date recap as you enter new hours each day. It has the 60, 70 and 80 hour cycles. It allows you to review and edit entries for the last eight days. The Log Manager also contains the "Hours Left" feature, displays date and time, and has a warning beep if you go over your hours.

The NTA is now a nationwide, nationally accredited association, established to provide services, benefits and information to trucking companies, owner operators and private fleets. Stop by their office at 6825 E. Rosecrans Ave, Paramount, California, or call (562) 630-7637. Until next month, “Drive Safe - Drive Smart!”