With federal legislation proposed to raise the minimum insurance liability for interstate trucking from $750,000 to almost $5 million, independent operators claim the bill would put small owner-operators at risk.
A letter, dated July 29, was sent to members of Congress by the Owner-Operator Independent Drivers Association (OOIDA), said the proponents of the legislation “continue to share misleading information in an effort to generate support for their misguided proposal,” said Todd Spencer, author of the letter and president of the OOIDA.
The OOIDA letter went on to say that most carriers are insurance at $1 million or more, and that if the minimum is raised that high, small-business truckers would see premiums triple. That would do nothing to improve highway safety, the letter said, and only force companies out of the industry.
The market, the letter explained, dictates that carriers have more insurance than needed, and said that other insurance or assets are likely used as well.
The letter can be viewed online.
