A congressman with a background in the trucking industry used his time at a House hearing to respond to a bill that would increase the minimum liability insurance for motor carriers by 566%.
The House Transportation and Infrastructure Committee held a hearing on the supply chain and overall health of infrastructure on Wednesday, January 17.
Rep. Mike Collins, R-Ga., who runs a family trucking business, said regulations have made it difficult to operate a small trucking company in the United States.
“I truly believe the trucking industry is the most taxed and regulated industry in this country,” Collins said. “For too long, we have had federal agencies that are overstretched, overburdened, and out of control.”
In particular, Collins called for trying to make trucking companies carry $5 million in liability insurance.
Rep. Jesus “Chuy” Garcia introduced the Fair Compensation for Truck Accident Victims Act in December. The bill would increase current minimum insurance levels from $750,000 to $5 million.
Collins pointed to research that up to 91% of crashes between cars and tractor-trailers are “the fault of four-wheelers.”
“We don’t need to impose larger minimums on our motor vehicle liabilities in this country with respect to trucking,” Collins added. “The only thing it does is give a pay raise to those trial lawyers out there.”
OOIDA backs down from insurance bill
The Owner-Operator Independent Drivers Association also opposes any attempts to increase the minimum insurance.
Opponents point out that most carriers already carry $1 million in insurance, and that the most recent study on the issue found that the current minimum insurance level adequately covers damages in all but 0.6% cases.
OOIDA played a key role in helping maintain the minimum insurance increase from the Infrastructure Investment and Jobs Act of 2021. LL