{"id":2182,"date":"2019-10-30T22:19:37","date_gmt":"2019-10-30T22:19:37","guid":{"rendered":"https:\/\/quicktransportsolutions.com\/blog\/?p=2182"},"modified":"2019-10-30T22:19:39","modified_gmt":"2019-10-30T22:19:39","slug":"what-is-negligent-entrustment-and-how-can-trucking-companies-avoid-it","status":"publish","type":"post","link":"https:\/\/quicktransportsolutions.com\/blog\/what-is-negligent-entrustment-and-how-can-trucking-companies-avoid-it\/","title":{"rendered":"What is Negligent Entrustment and How Can Trucking Companies Avoid It?"},"content":{"rendered":"\n<p>It doesn\u2019t matter whether your fleet has five trucks or five hundred trucks, negligent entrustment represents an existential threat to <a href=\"https:\/\/www.quicktransportsolutions.com\/carrier\/indiana\/trucking-companies.php\">trucking companies<\/a> should they get caught up in it as a result of poor decision-making. If you are a trucking executive, it is likely you are already well-versed in the concepts and liabilities associated with the industry you make a living in. <\/p>\n\n\n\n<p>                                                   [wp_ad_camp_2]              <\/p>\n\n\n\n<p><\/p>\n\n\n\n<p>It doesn\u2019t matter whether you are an LTL operator or a\nrefuse fleet, you want to maintain an impeccable safety record. So many different\nindustries are governed by safety and compliance concerns. Yet, why is it that\ntruck driver safety is so often an overlooked risk gap? You could be at risk\nfor negligent entrustment if one of your truck drivers is involved in an\naccident, and that is just the fact of the matter. <\/p>\n\n\n\n<p>Many companies, whether they operate in the trucking sector\nor not, fail to realize that they have a duty to care for everyone they\ninteract with. If someone slips and falls at a grocery store, they could be\nliable in a lawsuit because they did not adequately care for the safety of\nthose patronizing their business. But we aren\u2019t talking about grocery stores\nhere, we are talking about trucking companies.<\/p>\n\n\n\n<p><strong>The In\u2019s and Out\u2019s of Negligent Entrustment<\/strong><\/p>\n\n\n\n<p>Negligent entrustment occurs when a vehicle \u2013 or any other\ndangerous \u201carticle\u201d \u2013 is entrusted to somebody and through their reckless\nbehavior, an accident happens. This could also include a lack of experience or\nincompetence. In order to find out who is at fault in this situation, should a\nlawsuit occur, the plaintiff must show the following:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>The company entrusted the vehicle in question to\nthe truck driver.<\/li><li>The truck driver was reckless, incompetent or\nunlicensed.<\/li><li>The company knew the truck driver was reckless,\nincompetent or unlicensed.<\/li><li>The company should have known the truck driver\nwas reckless, incompetent or unlicensed. <\/li><\/ul>\n\n\n\n<p>Once these criteria have been met, the plaintiff must only\nprove that the truck driver was negligent while operating the commercial motor\nvehicle and that the negligence resulted in injury or damage. Consider these\nmind-blowing statistics next time you are wondering if negligent entrustment\nimpacts you:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>The cost of motor vehicle accidents to employers\nin 2017 was $56 billion.<\/li><li>The percentage of vehicle accidents that caused\nemployees to miss work was 53%.<\/li><li>The cost of out-of-service vehicles to fleets\nper vehicle\/day was $760. <\/li><li>The average cost of property damage per accident\nwas $21,000.<\/li><li>The average cost of a single injury was\n$387,0000.<\/li><li>The average cost of an accident with a single\nfatality was $8.4 million.<\/li><li>20% of company drivers are responsible for over\n80% of the company\u2019s risk profile.<\/li><\/ul>\n\n\n\n<p>These are not small or insignificant numbers. Now, the key\nissues for company leaders and executives is to figure out where the responsibility\nlies, and if they are doing everything they can to ensure that it doesn\u2019t push\ntheir company to the brink of insolvency. Is your fleet doing all it can to\nensure this scenario does not put your company in imminent danger? You could be\nlooking at millions of dollars in losses if not. <\/p>\n\n\n\n<p><strong>It is About More Than the Truck Driver<\/strong><\/p>\n\n\n\n<p>Consider this: Negligent entrustment is about more than just\nsomeone driving a company car. The individual could also be using their own\npassenger vehicle to carry out the work. A restaurant employee delivering a\npizza puts his or her company at risk if there is an accident on the road while\nthey are performing a work function. <\/p>\n\n\n\n<p>Also consider that a company is liable even if they have\nperformed a background check on the truck driver. Where the law is concerned, a\ncompany can still be held responsible if the operator\u2019s status changes while\nthey are employed within the company. Why? Because it is up to the company to\nensure that they are up to date on the driving records for those in their\nemploy, at least if they are operating a company vehicle. <\/p>\n\n\n\n<p>Where negligent entrustment is concerned, every company that\nemploys a driver is at risk. All companies, whether it be a grocery store or\npharmaceutical company, is at risk. Even more, negligent entrustment cases\noften result in significant payouts. Why? Because a jury will often view a\ntrucking company as having deep pockets, even if it isn\u2019t true, and\nmulti-million-dollar settlements are often the result. <\/p>\n\n\n\n<p>There are many examples of where negligent entrustment has crippled motor carriers. In one example, a moving company\u2019s truck tragically hit an elderly woman walking in the common area of an apartment complex. The woman\u2019s son ended up suing the company and since the company put a risky truck driver on the road without the correct license and training, the case ended up costing the moving company $825,000. <\/p>\n\n\n\n<p>                                                   [wp_ad_camp_2]              <\/p>\n\n\n\n<p><\/p>\n\n\n\n<p>In another example, a company was unaware that one of its\ntruck drivers had been operating their vehicle on a suspended license for five\nmonths. This is really an inexcusable overlook. What happened? After putting in\n100 hours in one week, the truck driver got into an accident while chatting on\nhis phone. The accident resulted in lifelong injuries and the company winded up\npaying out $3.6 million in damages.<\/p>\n\n\n\n<p><strong>What You Can do to Protect Yourself<\/strong><\/p>\n\n\n\n<p>So, what is an organization to do to protect itself from\nnegligent entrustment? Quite frankly, this is a critical responsibility of the\norganization\u2019s leadership. While most companies regularly screen truck drivers\nwhen they are hired, more must be done to avoid negligent entrustment. We have\npreviously discussed the need to be continually <a href=\"https:\/\/quicktransportsolutions.com\/blog\/taking-a-closer-look-at-liability-through-the-lens-of-mvrs\/\">monitoring\nyour truck drivers\u2019 MVR<\/a>. <\/p>\n\n\n\n<p>If you don\u2019t know what is going on with your truck drivers\u2019\nlicensing and motor vehicle records, you will have a huge gap in your risk\nprofile. You will essentially be blind to the big picture surrounding the\nqualifications of your truck drivers. It is also important to note that you\nshould never solely rely on self-reporting. In fact, if a fleet were to try to\nuse self-reporting in a case, it would not hold up. Both juries and judges will\nhave a higher expectation of those at the top. <\/p>\n\n\n\n<p>There are plenty of tools out there to help fleets properly\nmanage and supervise the status of their employees. Whether it be continuous\nMVR or license monitoring, database updates, or otherwise, companies who want\nto avoid negligent entrustment issues know where to invest. Ensuring you are aware\nof the status of your people should be a vital part of a continuous,\ncompany-wide safety effort. <\/p>\n\n\n\n<p>Comprehensive solutions should offer a suite of different\ncapabilities. They should include features like:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li><em>CONTINUOUS MVR MONITORING<\/em>: Get real-time\nupdates when changes occur to your employees\u2019 Motor Vehicle Records (MVRs),\nlike DUIs or Suspensions.<\/li><li><em>MOTOR VEHICLE RECORDS<\/em>: Instant electronic\nMVRs from all 50 states and color-codes each report based on the level of\nattention needed.<\/li><li><em>DRIVER INFORMATION MANAGEMENT<\/em>: Keeping\ntrack of drivers\u2019 licenses, medical certificate expiration dates and all other\nDOT files in one easy to use system.<\/li><\/ul>\n\n\n\n<p>You want to go with a solution that closes the gap between\nMVR reporting times while also allowing you to streamline your truck driver\nreview process. Not only is this critical for safety, but it helps keep your\ninsurance low and protects against litigation. <\/p>\n\n\n\n<p>Features like real-time email alerts allow fleet managers to\nmonitor MVR records on a regular basis. If there is a change to the record, the\nfleet will be notified. These alerts should be able to sync up with a back-end\ndatabase so that the fleet can streamline or eliminate a cumbersome manual\nreview process. A secure and robust system should be active and available 24\/7.<\/p>\n\n\n\n<p>Once you put your truck drivers\u2019 MVRs into the system, the\nsystem should run reports automatically at time intervals of your choosing.\nThis prevents you from getting bogged down in manual administrative processes.\nSmart systems will link up to state licensing agencies and obtain the most\nup-to-date truck driver information without you having to do a thing. <\/p>\n\n\n\n<p>Motor vehicle records are then ordered online and delivered through an intuitive online portal. Web-based applications provide the easiest solution, as they do not need to be integrated with existing fleet management tools. This reduces the time, effort, and expense related to keeping track of your truck drivers and their records.<\/p>\n\n\n\n<p>                                                   [wp_ad_camp_2]              <\/p>\n\n\n\n<p><\/p>\n\n\n\n<p>The fact is this: If you want to avoid negligent\nentrustment, you must know what is going on with your truck drivers at all\ntimes. And with so many tools on the market to help you do just that, judges\nand juries will be quick to strike down hollow excuses. Know what your truck\ndrivers are up to and help keep the roadways safe. Everyone benefits in this\nscenario.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>It doesn\u2019t matter whether your fleet has five trucks or five hundred trucks, negligent entrustment represents an existential threat to trucking companies should they get caught up in it as a result of poor decision-making. If you are a trucking executive, it is likely you are already well-versed in the concepts and liabilities associated with &#8230; <a title=\"What is Negligent Entrustment and How Can Trucking Companies Avoid It?\" class=\"read-more\" href=\"https:\/\/quicktransportsolutions.com\/blog\/what-is-negligent-entrustment-and-how-can-trucking-companies-avoid-it\/\">Read more<span class=\"screen-reader-text\">What is Negligent Entrustment and How Can Trucking Companies Avoid It?<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":2183,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-2182","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-trucking"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v18.4.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>What is Negligent Entrustment and How Can Trucking Companies Avoid It? - Quick Transport Solutions Trucking Blog<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/quicktransportsolutions.com\/blog\/what-is-negligent-entrustment-and-how-can-trucking-companies-avoid-it\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"What is Negligent Entrustment and How Can Trucking Companies Avoid It? - Quick Transport Solutions Trucking Blog\" \/>\n<meta property=\"og:description\" content=\"It doesn\u2019t matter whether your fleet has five trucks or five hundred trucks, negligent entrustment represents an existential threat to trucking companies should they get caught up in it as a result of poor decision-making. 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