From the Front Lines: Trucking

How did you get started at your agency?

We formed TrueNorth as a merger of three agencies in 2001. The agency I was affiliated with at the time specialized in transportation and larger alternative risk coverages. I personally got started within the transportation field in 1986. It was a result of working with other partners in our firm who specialized in employee benefits and financial services. I was brought in to add property-casualty expertise. We started working with transportation accounts more on a consultative basis, helping them manage their risk and utilizing alternative financing options to minimize their total cost.

Why trucking insurance?

In 1986, the insurance market was relatively hard. There was also a shortage of really knowledgeable agents within the larger account segments.

Biggest trucking insurance changes?

The additional government mandates and regulation we’ve seen, along with improved technology, have reduced accidents on our roadways. In addition, the shift to online purchases will continue to drive more demand for home delivery.

Biggest trucking insurance challenges?

No. 1 is driver shortage and retention. We need to continue to attract more drivers to the industry and cultivate a profession that is attractive to more young men and women.

What do you say to a first-time client interested in trucking insurance?

We approach our potential client as a true partnership. The first thing we address is whether they are only looking for a commodity—just an insurance product. In that case, we’re not the best fit. If they’re looking for a strategic partner to help them with their total cost of risk, we will form a long-term strategy to help them protect and maximize their assets.

Advice for a fellow agent breaking into this market?

One of the major career decisions I made early on was to focus on education within any niche I worked in. I had my CIC designation at an early age. I also became involved in various trucking associations and really focused on immersing myself within the transportation niche. We currently have more than 75 people that focus on the transportation industry. We are very involved with the American Truck Association and the Motor Carrier Insurance Education Foundation.

Future of trucking insurance?

There will continue to be more regulatory requirements. New technology will continue to reduce accidents. The ability to utilize analytics to understand exposure trends will also reduce accident frequency over time.

Favorite trucking success story?

We were working with a 1,500-unit motor carrier that was close to bankruptcy in 2007. As a result of our enterprise risk management review, we were able to identify ways to reduce their claims frequency and their collateral requirements. This enabled them to weather the economic downturn and improve their operating ratio. They’re still in business today.