7 Ways to Avoid Predatory Towing Companies

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This submit is a part of a sequence sponsored by IAT Insurance coverage Group.

Firms that interact in disreputable towing — generally known as predatory towing — practices are preying on vans in areas identified to have an elevated frequency of crashes. They might even use nefarious means to contribute to probability of an accident. That is the newest rip-off affecting lengthy haul and transferring and storage trucking.

Working example: A driver not too long ago incurred vital harm when making an attempt to drive their tractor trailer underneath a Chicago bridge, whose “low bridge” signal had been suspiciously eliminated. As quickly because the accident occurred, an unsolicited tow truck appeared. Within the driver’s misery and haste to rectify the state of affairs as shortly as potential, the motive force accepted towing providers and not using a quote. Quickly after, the transferring and storage firm obtained a invoice for the $75,000 towing, a service that ought to have price round $2,500.[1]

Whereas predatory towing scams like this and others are occurring across the nation and elevating considerations amongst fleets,[2] they’ve been significantly distinguished in Chicago. A lot in order that Chicago’s Metropolis Council’s Committee on License and Shopper Safety handed an ordinance calling on town to determine a license for tow truck operators to corral rogue tow truck drivers who rush to accident scenes, snare broken automobiles and maintain them hostage till rattled truckers pay exorbitant charges.[3]

7 Greatest practices for fleet carriers

Fleets and truckers should defend themselves towards tow truck firms that run unlawful or unethical operations. The next finest practices supply key steering in your fleet.

  1. Plan your routes. Don’t let your truckers wing it when they’re choosing up items or hauling a load. Correct route planning won’t solely guarantee security and enhance driving effectivity by avoiding each identified and unknown hazards however will even incorporate breaks and assist decide the most effective route relying on what time of day a trucker is on the highway. Digital route planning instruments can be found to assist with this as nicely.[4]
  2. Be suspicious. Towing firms standing by on the scene when an incident happens isn’t the norm. Practice your drivers to be looking out for scamming tow vans ready within the wings. Put together your drivers earlier than an accident takes place to alleviate pointless stress; inform them that they will not be liable for the underpass they simply clipped if the low bridge signal was illegally eliminated, for instance. That data ought to assist them assume extra clearly in these conditions.
  3. Name the police. Summon them to the scene and request an accident report. If this does occur to you or one in all your drivers, ask native police on the scene for steering on choosing respected, native towing firm.
  4. Get it in writing. Be certain the price of a tow is in writing — not open-ended — with all fees clearly itemized. Keep away from verbal agreements in any respect prices. Signed paperwork with clear price pricing is crucial to defending the fleet from being scammed. Ask for the towing firm’s enterprise license and, if potential, verify the knowledge earlier than accepting any help.
  5. Have protocols in place for coping with accidents. This consists of contacting managers and dispatchers instantly, calling the police and stopping drivers from signing or authorizing a tow with out administration approval. Offering drivers clear protocols beforehand considerably reduces the chance of creating a mistake when a tow is required.
  6. Think about partnering with towing firms. Establishing agreements with nationwide or native towing firms the place your fleet frequents can assist your group sidestep dishonest tow vans. With such agreements already in place, truckers can instantly contact these firms, avoiding the necessity to supply one on the spot.
  7. Report back to native officers. In case your driver or fleet falls prey to a shady towing incident, attain out to native officers for help. Reporting all of those incidents will assist native jurisdictions take regulatory motion to stop this from taking place once more, as they did in Chicago.

Towing prices

Even with all these precautions in place, towing is pricey. Components like the load and dimension of the truck and the gap to be towed legitimately influence the worth. Consequently, fleets also needs to not assume they’re coping with a nefarious towing firm if they’re an costly quote.

Because of the rise in these situations, the American Transportation Analysis Institute is asking motor carriers and drivers to take part in information assortment on the influence of predatory towing. Discover the hyperlink to the quick survey here.

ASK AN LCR

Have a query on easy methods to mitigate threat? Electronic mail losscontroldirect@iatinsurance.com for an opportunity to see your query answered in a future weblog.


By Chris Parker


[1] Costhack “How Much Does It Cost To Tow A Semi-Truck?”

[2] American Trucking Associations “The American Trucking Association, American Property Casualty Insurance Association, & the Coalition Against Insurance Fraud join forces to tackle towing fraud across America,” April 5, 2021.

[3] Chicago Solar-Instances “Aldermen endorse effort to corral ‘Wild West’ of rogue tow truck drivers,” Might 19, 2021.

[4] FreightWaves “Route planning tool helps drivers overcome daily frustrations,” April 27, 2022.

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