Exploring the Synergy of Commercial Buildings and Vehicles
Commercial Property insurance rates are generally up 8%-10% in 2022. Workers’ compensation for commercial businesses is generally up 1%-3% in 2022, and general liability is up approximately 8%-10% as well in 2022.
There have been some drawbacks since the pandemic. We have also seen drawbacks in rising rates due to inflation, and the inevitable supply and demand aspects of properties.
There have been significant impacts in company policy holders. The impacts have meant higher insurance rates, lower capacity, and deductibles have also increased.
With everything on the rise, it is expected for carriers to make more of a return in profit from underwriting, as well as their books of business. Depending on the commercial type of business this means many times the prices of their goods and services must rise as well.
Despite the drawbacks we have experienced as a country during the COVID-19 pandemic in 2020-2021, we can still have some positive outlooks for 2022.
The bad news is we have firsthand seen the growth in liability losses, and those are expected to grow with social inflation.
The good news is the market is facing a possible stabilization forecast. Some commercial insurance buyers with strong data and quality risks maintenance have a better chance of seeing some relief. Other industries may unfortunately see some challenges financially.
Yes, there are always existing risks. Many commercial property owners are finding ways to improve risk management and strategically prioritizing their coverage options.
Here at NO DUK we will also be able to contribute to more positive outlooks and assisting in the recovery of our United States economy. We want to help not only every civilian in the country grow and save, but we want to bridge gaps for businesses as well and help put money in the pockets of business owners, and our fellow American laborers.
There have been many challenges and exposures in the United States over the past 5 years. We have seen 100 more named storms in comparison to the previous 5 years where there were only reportedly 67 storms.
In 2022, we have seen the response of carriers reducing the capacity offerings, and thereby increased the insurance rates and increased deductibles for named storms.
Flood exposures have been another challenge that Commercial businesses have faced in many regions in the U.S. Many businesses that normally do not experience floods declined flood coverage and had unforeseen damage to their businesses as a cause of floods.
Wildfires have been extremely challenging in places like California for example. It is important for businesses to determine how frequent exposures are to wildfires when choosing coverage.
Wind and Hail are coverages that are extremely important for businesses to consider. According to the National Weather Service, the United Sates has experienced approximately 10 severe thunderstorms each in the past three years.
The deductible levels usually vary in certain regions of the U.S. Those exposed to more frequent storm damages may have a higher deductible application.
In Commercial properties which handles food manufacturing, you will also run risks of loss of inventory, and damaged equipment because of storms, fires, floods, etc.
As there have been a rise in unfortunate events, the market has called for a great need for higher deductible payouts.
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Let us build a bridge over your deductibles. Let us better your business and save you the hassle, that with us will become a thing of the past.
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Commercial truck drivers drive a maximum about 77 hours per week. This much driving can cause driver’s fatigue which makes up approximately 30% of trucking accidents in the U.S. According to the Bureau of Labor, in 2019 there were approximately 2 million active commercial truck drivers on the road.
There is also statistical analysis that points to there being a 1 in 5 chance that truck drivers will be involved in crashes every year. In fact, a commercial truck driver is more likely to be involved in a collision than a regular car driver.
According to the Federal Motor Carrier Administration (FMCSA) 12% of commercial truck crashes were caused by drivers falling asleep at the wheel. 25% of commercial truck crashes were due to speeding. 40% of commercial vehicle crashes is due to lack of maintenance of the vehicle. The remainder 23% of commercial vehicle crashes is due to driver negligence and error.
Commercial Auto Insurance rates are rising in 2022, because of the impact of the pandemic, as well as our unfortunate inflation that followed thereafter.
As of May 2022, the insurance rates have been recorded to have increased approximately 6%. These unfortunate rate changes have created a ripple effect on approximately 62 million policy holders across the United States.
In some states the increase in rates is much higher. Some have seen an 11% increase, and some have seen way over the top increases which are astronomical.
Reportedly between the years of 2021 to 2022 the Consumer Price Index (CPI) rose 8.3%.
What does this mean for overall consumers?
This means that we are generally looking at elevated premiums in 2022.
What can we do to lower those premiums?
The best option to lower those premiums is by increasing the deductible amount.
Not everyone can afford a higher deductible, and the risks associated with making that choice can make or break some.
Here at NO DUK, you would only be paying 1% of what your deductible would be in small monthly installments.
In an event of an accident your commercial vehicles would be in good standing. Your premium can be substantially lowered, you won’t have to pay your deductible, and company savings would allow so much more for your businesses.
Commercial Vehicles can come in many ranges. There are motor carriers, Owner-Operators and Private Carriers. These can include pick-up trucks, cement mixers, tow trucks, box trucks, dump trucks, tractors, semi-trucks, delivery vans, flatbed trucks, bucket trucks, agricultural trucks, catering trucks, dually pick-up trucks, garbage trucks, tank trucks, front loaders, pump trucks, stake body trucks, street sweepers, etc.
These commercial vehicles can have options for types of insurance coverages. Insurance coverages for commercial vehicles such as these may however have exclusions to their coverage options.
Exclusions may be for certain trucks that carry certain types of cargo, and or referring to certain incidents. Some exclusion examples include intentional damages, property damage of others, damages that exceed policy limits, and certain types of cargo. These are additional costs that would need to be covered by business owners who establish and or manage commercial vehicles.
As previously mentioned above Deductibles for commercial vehicles can vary from $500-$5000. Commercial Vehicle insurance overall costs per year vary depending on the type of vehicle and other factors.
You are generally looking at $2,000-$18,000 for annual commercial truck insurance. There are certain requirements associated with their minimum liability coverages. Depending on the type of freight the requirements for minimum liability can range from $300,000-$5,000,000.
How can NO DUK be of help to lower these overall expenses? Simple.
NO DUK will literally put money back in your pockets and eliminate your deductibles! This can save owners of commercial vehicles and companies thousands if not millions per year!
Easy to sign up!! Let’s go!
Say no to Deductibles! Say NO DUK!