What Is the 2025 Outlook for Trucking Commercial Auto Insurance?
What Is the 2025 Outlook for Trucking Commercial Auto Insurance?
For trucking companies across the country, 2025 continues the pattern of rising premiums, tougher underwriting, and increased pressure from both legal and operational risks. From driver shortages to nuclear verdicts, the commercial auto market remains hardened and complex.
At Barnard Donegan Insurance (BDI), we view this not as a crisis—but as a call for action. In today’s climate, knowledge and preparation are your strongest allies.
Key Takeaway:
The 2025 trucking insurance landscape is challenging, but businesses that adopt strong risk management practices, invest in safety, and work with an experienced insurance advisor can weather the storm and protect their operations.
Why Is the Trucking Insurance Market So Challenging in 2025?
ð 1. The Weight of Nuclear Verdicts and Litigation
Jury awards exceeding $10 million—also known as nuclear verdicts—have surged. Fueled by social inflation and third-party litigation funding, these lawsuits make insurers more cautious, often limiting coverage or exiting the market altogether.
According to the American Transportation Research Institute, verdict sizes have more than doubled in the last decade, putting tremendous financial pressure on carriers and policyholders alike.
What You Can Do:
- Implement strong driver safety policies
- Document all training and risk controls
- Maintain detailed vehicle maintenance records
ð· 2. Driver Shortages and the Push for Quantity Over Quality
By the end of 2024, the industry is expected to be short more than 82,000 drivers, with that number projected to nearly double by 2030. To fill seats, some businesses have lowered hiring standards—leading to increased claims and losses.
BDI Recommends:
- Focus on driver retention and support
- Provide meaningful training and mentorship
- Maintain strict hiring criteria and MVR reviews
ð§ 3. Rising Repair Costs and Fleet Electrification
Modern trucks come equipped with high-tech systems—great for safety, costly for repairs. Advanced driver assistance systems (ADAS), backup cameras, and EV components significantly increase claims severity.
Challenges with EV fleets include:
- Higher insurance premiums
- New risks like cyber exposure and battery damage
- Limited repair networks
What’s Smart:
- Balance EV adoption with your maintenance capacity
- Prioritize training for EV-specific repairs
- Secure a policy that includes cyber and systems coverage
ð± 4. Distracted Driving: A Persistent Risk
In 2023 alone, distracted driving contributed to over 3,300 fatalities and 325,000 injuries, according to NHTSA. Texting, eating, or adjusting in-cab tech can lead to major losses—and big claims.
Prevention Steps:
- Establish a zero-tolerance policy
- Invest in dash cams and telematics
- Provide ongoing defensive driving training
ð¦ 5. Cargo Theft and Fleet Fraud Are on the Rise
Theft incidents reached a record 3,625 in North America in 2024, totaling $455 million in losses. Add in VIN cloning, staged accidents, and fuel fraud, and the risks to your fleet only grow.
Protect Your Fleet By:
- Using GPS and cargo sensors
- Implementing strict vetting of logistics partners
- Educating staff on fraud indicators
- Conducting regular audits and risk assessments
Navigating the Market: Strategic Steps for Trucking Businesses
Trucking leaders who take a proactive, prevention-first approach will be best positioned to secure coverage and keep premiums in check. Here’s how:
✅ Prioritize Driver Safety
Train consistently, reinforce safe habits, and reward good performance.
✅ Invest in Telematics & Dash Cameras
These tools provide real-time insight into driver behavior and help defend against false claims.
✅ Maintain Your Fleet Diligently
Document routine inspections and stay ahead of DOT compliance.
✅ Secure Your Cargo
Use secure parking, enhanced locks, and surveillance systems.
✅ Prevent Fraud Before It Starts
Track fuel use, monitor asset movement, and conduct regular fraud screenings.
✅ Keep Records for Your Insurer
Document every initiative—insurers reward strong loss control with better terms and pricing.
How BDI Supports Trucking Businesses in 2025
At Barnard Donegan Insurance, we walk alongside our trucking clients—not just as policy providers, but as strategic risk partners. We understand the evolving challenges you face and offer custom solutions to help you move forward with confidence.
From safety program reviews to advanced insurance solutions, BDI helps you:
- Navigate today’s hardened market
- Reduce risk exposure
- Protect your people, your cargo, and your future
We believe the best coverage doesn’t just protect your fleet—it strengthens your business.
Ready to Secure Smarter Commercial Auto Coverage?
Let’s talk about how we can help your fleet stay road-ready in 2025 and beyond.
Visit our Trucking Division at bdi-insurance.com/trucking
or contact our team directly here →
2025 Trucking Insurance FAQs: Rates, Verdicts & Cost Savings
1. Why are trucking insurance rates so high in 2025?
Rates are high due to nuclear verdicts, higher repair costs, more frequent lawsuits, a less experienced driver pool, and rising cargo theft.
2. What is a “nuclear verdict” in trucking?
A nuclear verdict is a jury award that exceeds $10 million, often related to serious or fatal trucking accidents. These verdicts drastically impact insurance pricing.
3. How can trucking companies reduce insurance costs?
Companies can reduce costs by improving safety programs, vetting drivers, investing in telematics, keeping up with fleet maintenance, and working with an independent agent like BDI to find the right coverage.
