[Editor's Note: The following content is sponsored by Crawford & Company.]
Has transportation become a more risky or less risky sector in recent years? What is some of the latest technology being used in commercial vehicles? And finally, what are some of the biggest challenges and opportunities in the sector?
Q: What are some of the biggest transportation risks today? Has transportation become a more risky or less risky sector in recent years?
Valorie Steinbeck, Crawford & Company: While advancements in technology, safety regulations and data driven systems have improved overall, new challenges have emerged. For instance, as transportation becomes more connected and automated, cybersecurity threats are a growing concern. Aging infrastructure like roads, bridges and railways also pose serious safety and operational risks, leading to potential delays and costly failures. Climate change further complicates matters, increasing the frequency and severity of weather events like floods and storms that can disrupt transit routes and supply chains. Overall, transportation has become safer in many ways due to technology, better safety regulations and data driven systems. But the nature of the risks has evolved. Digital security, environmental instability and infrastructure strain require companies to rethink routes, build resilience and invest in adaptive solutions. Rather than simply becoming riskier or safer, transportation is undergoing a fundamental transformation.
Q: What is some of the latest technology being used in commercial vehicles, and what has been the impact on transportation claims?
A: Valorie Steinbeck, Crawford & Company: The commercial vehicle industry is embracing a range of innovative technologies that are transforming both operations and claims processes. For example, telematics offer real time data and behaviors, which can be used to coach drivers to reduce risky behavior. Dash cameras offer visual evidence helping to determine fault more accurately. Collision avoidance systems warn drivers of potential hazards and can autonomously intervene to avoid crashes. Electronic Logging Devices (ELD) offer tracking of driver hours to ensure compliance and prevent driver fatigue. These technologies are not only improving safety on the roads but also streamlining the claims process by providing more accurate data, reducing the likelihood of accidents and facilitating faster resolutions.
Q: Have there been any recent federal safety regulations that have caused compiance issues for transportation companies, and what is your advice to help companies resolve those issues?
A: Valorie Steinbeck, Crawford & Company: FMCSA has proposed a speed limiter mandate, which requires trucks over 26,000 pounds to be equipped with speed limiters, potentially capping speeds at 68 mph. While this rule aims to reduce speed-related accidents, it could also lead to unintended operational impacts, such as increased fuel consumption and longer delivery times, which could affect overall efficiency. To navigate these new compliance challenges, transportation companies can proactively provide regular training and education programs for drivers, implement robust documentation practices to ensure compliance related activities are well documented and conduct internal company audits to identify potential gaps and address issues before they escalate.
Q: Looking ahead to the next five years, what are some of the biggest opportunities and/or challenges you see in transportation claims and litigation?
A: Valorie Steinbeck, Crawford & Company: Over the next five years, transportation claims and litigation will face a dynamic landscape shaped by technology, regulations and evolving legal standards. The biggest opportunities include data driven defensibility, which will produce a faster resolution cycle, fewer fraudulent claims and stronger defenses in court. Using predictive analytics, insurers and fleet operators can use historical data and machine learning to predict and prevent high risk behaviors or claim trends. Automation in claims processing will streamline claims intake, triage and settlement. This will reduce administrative costs and improve the customer experience
Valorie Steinbeck is team manager, national general adjuster – Inland Marine, Commercial Transportation Unit. valorie.steinbeck@ us.crawco.com