According to Travelers Insurance, these broad market factors contribute to the increase in Commercial Auto Insurance premiums:

• Bodily Injury claims have increased in number and severity as a result of increased uninsured motorists, medical costs, and speeding.
• The number of lawsuits and the cost of litigation are rising.
• Drivers are not focused or are impaired, caused primarily by distractions from mobile devices.
• A shortage of commercial drivers and inexperienced drivers.
• Vehicle repair and replacement costs are climbing.

According to Smartfinancial, here are some additional fleet-specific factors that may result in increased premiums.

• Your commercial vehicle’s age, value, and size.
• Vehicle usage and mileage. For example, are you transporting people or driving higher annual mileage?
• Employee/Driver’s driving history and records.
• Location and areas of operation. For example, do you drive in a densely populated city?
• Claim history: more claims equal more premium.
• Coverage type and limits.
• Fleet size and management: more vehicles equal more premium.
• Lack of or poorly monitored safety measures.

According to Travelers, here are some tips that may reduce the cost of Commercial Auto Insurance:

• Develop a Fleet Safety Program  
• Hire Safe Drivers:
  • Create consistent standards for all drivers.
  • Verify past work history and safety records.
  • Conduct background checks.
  • Evaluate MVRs for violations.
  • Conduct written and road tests.
  • Verify certification.
• Develop, communicate, and regularly monitor your Fleet Safety Program, Driver Policy and Procedures, Distracted Driving Program, etc.