This fireside chat recap is from FreightWaves’ 3PL Summit.
FIRESIDE CHAT TOPIC: Carrier safety and vetting — why there’s no golden rule
DETAILS: Nuclear verdicts have rocked carriers over the past several years. For 3PLs, insurance requirements and vetting carriers is still opaque and the legal ramifications are significant.
SPEAKERS: Chad Eichelberger, president of Reliance Partners, and Emily Chiarizia, general counsel, Armstrong Transport Group
BIO: Eichelberger joined the Reliance team in 2015 and has been a catalyst in its exponential growth of 20X over the past six years. He leads strategy and operations of the high-growth organization, where the firm has a niche in the logistics and truck insurance marketplace.
Chiarizia manages the carrier, claims and legal operations departments at Armstrong. In her role, she is responsible for litigation management, internal policy development, compliance, risk management, contract negotiation and the resolution of commercial cargo matters for Armstrong’s 130 agency offices.
Key quotes
“[With] the number of sheer billboard attorneys in the country right now that are targeting motor carriers and now freight brokers, there’s not a perfect scenario where you absolutely can remove yourself from any potential liability.” – Chad Eichelberger
“A good rule of thumb is to hire a carrier with an under-70% safety score rating in all five categories. If you see over 70% in any one category, I would stay away.” – Emily Chiarizia
“Make sure you’ve vetted the carrier properly, that you understand the contract you’ve signed. We’re seeing more brokers being named in these accidents than we’ve ever seen before.” – Chad Eichelberger