Repair Trust Fund

This program is not just for Owner Operators & their drivers. It is designed to also cover your company drivers. Mishaps happen to them as well, think about how many minor fender benders occur with your company trucks over a year.

As a carrier, the Repair Trust Fund program will help to keep your owner operators and save you both time and money. Based on usage, the average cost per month is $30/month/unit. I am sure that if you introduced this program to your owner operators (coverage from $250 to $20.000) they would gladly sign up.

This program is designed to be the ultimate risk management tool. The Repair Trust fund will assist Members in covering damages caused either by accident or negligence, by spreading the cost of these repairs throughout it’s membership. Keeping you equipment in good repair reflects a good company image.

Repair Trust Fund Application

Why it works

• This is an opportunity for all bureau members to pool their drivers and owner operators alike.
• By pooling drivers, this will spread the cost of any damages-negligent or accidental through the entire group.
• Bridges the gap from $250.00 to your primary insurance deductible to a maximum of $20,000.00

What it costs

• The cost of the Repair Trust Fund is $29.60 per month per driver. ($25.00 goes into the fund and $4.60 covers the admin fee)
• 1,000 drivers participating would give the pool $25,000.00 to cover claims. If the claims exceed $25,000.00 the fees would be based on usage.
• The estimated cost of this program will cost you under a ¼ (quarter of a cent) per mile (based on 10,000.00 miles per month).

What it covers

• The Fund covers minor scrapes to major repairs, regardless if accidental or negligent.
• It does not cover mechanical repairs.
• It does not cover lost or stolen freight
• In the unfortunate event of a member driver fatality, either on or off duty, $15,000.00 will be paid to the named beneficiary from the fund.

How it works

- 1st month of participation -

• You pay $29.60 per driver into the Repair Trust Fund
• Start submitting all your claims as they occur. They will be paid as a 30-day revolving account.

- 2nd month of participation -

• You submit all your claims as they occur
• You pay $29.60 per driver, plus usage for the previous month, if it exceeds the $25,000.00 in the fund.

Invoicing / Claim / Claim payouts Will be processed on the 3rd business day of each month

Why it just makes sense

Lets be honest for a minute, if there was a product that could save you a few hundred on your fuel bills… we all know every truck you have would have it installed already…right? Why – because it makes sense for you to try and save everywhere and anywhere.

This is no different on your insurance programs. If you’re a carrier that has 50 trucks on the road, I’m willing to bet in a 1-year period at least 5 of those trucks will get involved in accident, with an average repair bill of $7500.00. So regardless if you have a $10,000 / $15,000 or $20,000.00 deductible, those 5 accidents are going to cost you $37,500.00 and that’s not including down time.

With the Repair Trust Fund there is strength in numbers - as a “pool” of 1000 trucks or more let’s use the same scenario/mathematics – that would be 100 accidents with an average repair bill of $7500.00/Accident, costing the “pool” $750,000.00 a year. Split this cost between the 1000 trucks in the pool, it would be $7500.00 a year – that is a savings of $30,000.00+ for that carrier.

I was speaking with an O/O, he informed me that he is leased on with a carrier that is charging him $1600.00 per month for his insurance, which gives him a $5000.00 deductible. At what the average O/O makes these days - with the cheaper rates and higher fuel costs, if this O/O gets into an accident he is bankrupt…. IT’S THAT SIMPLE!

An O/O operator cannot afford to come up with a $5000.00 deductible and still keep up with truck payments, not to mention living expenses for their families, all without having any kind of revenue coming in while the insurance company looks at fault, and the garages doing all the repairs. As a carrier, this kind of program will help you keep your O/O, which will save you both time and money. Think about it, how much does it cost you to put a new driver/truck onto the road??? I’m willing to bet a lot more than 30.00/mth!

I am sure if you told the O/O that you are going to start charging them $30.00/mth on their statements for this program and told them that they have a buy-down deductible covering from $250.00 to $20.000.00 they would gladly sign off on it. While speaking with one of our members, they informed me that they showed the documentation to their broker, after reviewing the documentation, he informed them that this program is and I quote “A slam dunk”.

Should you have any questions regarding this or any product we offer please feel free to contact us.

It just makes sense to have all your drivers in the Repair Trust Fund