Commercial Vehicle And Auto Insurance Dallas Fort Worth
If you own and use commercial vehicles, such as automobiles and delivery trucks, in the Dallas Fort Worth Texas area and you are looking for rates on insurance policies, then be sure to contact us today.
We are an independent insurance agency and will work to find you great rates on a policy which is customized for your needs which will protect against situations which you may not yet even have considered.
This resource from the Texas Department of Insurance (TDI) lists consumer rights for commercial auto insurance.
TDI November 2022 Biennial Report On Commercial Automobiles
This resource from the TDI was issued in November 2022:
Below are snippets of interest from the full report:
In September 2021, the Texas Legislature enacted House Bill 19 (87R, 2021). The bill:
• Changed the process for civil litigation involving commercial motor vehicles. It requires courts to split, upon timely motion, a trial into an initial phase to determine liability and resulting compensatory damages, and a second phase to determine exemplary damages.
• Detailed new procedures, in certain situations, for introducing evidence of an owner-employee liability during the initial phase of a trial.
• Created Insurance Code Section 38.005. The section instructs TDI to conduct a study every even-numbered year through 2026 on the effect of the law on commercial automobile insurance premiums, deductibles, coverage, and coverage availability. TDI must also submit a report of the study results to the Legislature.
Commercial auto study
To evaluate commercial auto insurance premiums, deductibles, coverage, and coverage availability, this study focuses on:
• Market conditions.
• Rates and average premiums.
• Deductibles and limits.
• Loss performance.
• Underwriting practices
Also from the same report:
Coverage and availability of coverage
• The top 10 groups write over half the commercial auto premium in Texas, but the commercial auto market is competitive.
• The truckers’ liability submarket is highly concentrated and becoming less competitive. A few insurers write the bulk of this business.
• Surplus lines market share in Texas nearly doubled from about 5% in 2019 to 10% in 2021.
• Ten-year return on net worth for liability coverage was about -2% in 2021, its lowest point in at least 18 years.
• Loss performance for liability coverage, as measured by loss and allocated loss adjustment expense ratios, improved by 13% since 2017, including continued improvement in the first half of 2022.
• Insurers did not report any clear difference in underwriting actions—such as issuance of new and renewal policies, or changes in limits, deductibles, and pricing—before and after the law took effect.
• Premium volume for the admitted market and the surplus lines market continues to grow annually by double-digit percentages.
• Rates have increased by almost 45% since 2017, averaging about 6% per year.
• Average liability premium for all vehicle types increased by 50% from 2017 to 2021, averaging about 11% per year. Average liability premium for the first half of 2022 is about the same as the 2021 average.
• For truckers’ risks that regularly travel long distances, average liability premium increased significantly from 2017 to 2021, then dropped in the first half of 2022 to a value lower than in 2019.
Deductibles and limits
• In recent years, between 10% and 17% of commercial auto risks have used liability deductibles.
• While use of liability deductibles has increased overall, use for truckers’ risks that regularly travel long distances is negligible.
• For TTT risks, there was a shift away from the smallest and largest deductibles. For non-TTT risks, there was some evidence of a shift away from the higher deductibles in favor of lower deductibles.
• The median liability limit has consistently been $1 million for all vehicle types, and there does not appear to be a major shift toward higher or lower limits.