FMCSA Says Motor Carrier Insurance Requirements Inadequate for Some Crashes

The current financial responsibility minimum of $750,000 for motor carriers is inadequate to meet the costs of some crashes, according to a Federal Motor Carrier Safety Administration report released April 18.

FMCSA’s report to Congress, required under the 2012 transportation law, concluded that while catastrophic motor carrier crashes are rare, the costs for resulting severe and critical injuries can exceed $1 million.

“Current insurance limits do not adequately cover these costs, which are primarily due to increases in medical expenses and other crash-related costs,” FMCSA said.

The agency said it has formed a rulemaking team to further evaluate the appropriate level of financial responsibility and has “placed this rulemaking among the Agency’s high priority rules.”