At LuckyTruck, we recognize how the trucking industry is in a state of constant flux, with shifts in technology, operational costs, and industry dynamics prompting companies to reevaluate their strategies and financial outlook.

It's a pivotal moment to examine the state of the industry and chart a course for the future.

Operational Costs

The latest report from the American Transportation Research Institute (ATRI) reveals that operational costs in the trucking industry have been growing in recent years. In 2021, the average marginal cost per mile incurred by motor carriers reached $1.85 per mile (up from $1.82 in 2017). While several cost centers experienced upticks, such as fuel costs, which grew by 17.7 percent year-over-year, tires were one area where costs saw a decrease.

Truck insurance costs, essential for safeguarding against accidents and other on-road incidents, recorded the second-fastest annual growth at 12 percent. Despite this increase, trucking companies are recognizing the importance of accommodating insurance expenses in their monthly budgets to mitigate the financial impact of potential claims. At LuckyTruck, our company sources the best and most competitive quotes to keep insurance costs low - GET A QUOTE TODAY.

Repair and maintenance expenses have surged to 19.6 cents per mile in 2021, up from 17 cents per mile in 2012. This increase has occurred despite the rise in sales of new trucks and trailers.

Roadway Incidents and Occupational Hazards

Trucking is a demanding profession with its own set of risks. Transportation incidents are the most common cause of fatal workplace injuries in the industry, with roadway incidents involving motorized vehicles ranking as the leading fatal cause, followed by pedestrian vehicular incidents. The industry is taking steps to equip drivers with the tools and training needed to navigate congested roadways defensively.

Cargo Theft

The holiday season, marked by increased shipping activity, also brings with it a heightened risk of cargo theft. This period, driven by the surge in e-commerce and more trucks on the road, is a prime target for criminals looking to intercept valuable shipments.

During the holiday shopping season, an estimated two thefts occur daily, representing a 20-percent increase compared to the rest of the year. Electronics are the primary target of these thefts, underscoring the need for heightened security measures during this busy season.

Conclusion

The trucking industry faces a complex landscape of operational costs, safety challenges, and the ever-present threat of cargo theft. As the industry navigates these issues, it must continue to adapt and innovate to ensure a safer and more efficient future on the road.

At LuckyTruck, our expert brokers in insurance and our cutting-edge digital app can steer you to reliable insurance solution for all your insurance needs. - GET A QUOTE TODAY.