Reasons a CAB Report Affects Truck Insurance Costs

Your CAB report is a collection of information with a score depending on the number of red flag offenses you have accrued, to put it simply. Your truck insurance premiums are directly influenced by this data.

Learn more about how and why your CAB report may affect the price of your truck insurance by reading this article.

What’s a CAB Report?

A report is produced by the Central Analysis Bureau (CAB) using a variety of data sources. They offer up-to-date details about a motor carrier’s operations, safety, and finances.

The report examines the following information: DOT safety ratings, insufficient insurance, inspections and violations involving hazardous materials, and so on. Then, your score is evaluated against that of others in the field.

CAB Reports and Truck Insurance

Your CAB report serves as your risk profile because it includes information on incidents, violations, and so forth.  Insurance companies examine your CAB report to evaluate your total risk. Following that, they compare your score to those of other carriers. This helps them decide whether to cover you and, if so, what your premium will be.

Ways to Improve Your CAB Score

You want the best truck insurance quote possible. However, you require a strong CAB report that indicates a spotless safety record. Here are some suggestions for improving your CAB score in order to get affordable insurance rates.

Be Honest

On average, your CAB report contains the following details:

  • Accident history
  • Injury reports
  • ISS safety score
  • Past insurance history
  • Miles driven
  • Number of power units
  • Inspection violations
  • Vehicle history
  • DOT number

Keep in mind that underwriters have access to all the data in your CAB report. You cannot, therefore, keep any crucial information from your insurer. Verify that what you say to the insurance provider corresponds with the CAB report. Do not forget that inaccurate information will only make it more difficult for you to obtain insurance.

Retain Documents

Let’s imagine that your CAB report shows a pattern of maintenance problems. In that instance, you want to make sure you have all the information you need to demonstrate that you’re aware of the problems. To demonstrate to the insurer that you take vehicle maintenance seriously, you need to provide some evidence.

You can only accomplish that, though, provided you have enough supporting documentation. To demonstrate that you’re taking care of everything that requires your attention, you must meticulously document everything.

Update Your Carrier Information

Carriers should ideally start planning for renewals three to four months in advance. Before you go to obtain a quote, be sure to update your carrier information on the FMCSA website.

To update your change in business, follow the below steps:

  • Verify that the details on your FMCSA account are correct
  • Update any details regarding your business (vehicles, drivers, cargo type, location, etc.)
  • Explore coverage options

Bottom Line

CAB reports are vital to not only the success of your transportation business, but they also affect your truck insurance premiums. Insurance companies analyze CAB reports thoroughly before offering a quote. Not to mention, your score can determine whether or not a carrier will even insure you. The Central Analysis Bureau compiles this report using several data points and factors, gathering information from various sources.

For more insurance solutions, give us a call today. Need insurance on a semi truck? We can handle it. What about insurance for dump trucks? No problem. We even offer hot shot insurance!

 

 

 

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