87% of Tow Companies in Georgia Don’t Meet the Legal Requirements to Operate

Did you know that 87 percent of tow companies in Georgia fail to meet official requirements? According to a recent survey done by the Insurance Risk Services of Georgia, many towers lack accountability and the proper training to operate.

The main reason for this high number is the state’s lack of supervision over the towing industry. Also, many tow company owners are failing to properly train and educate their drivers.

In this article we will discuss Georgia’s legal requirements when it comes to towing.

Georgia Legal Requirements for Roadside Assistance

As mentioned above, many towing companies in Georgia fail to meet certain legal requirements. Many towers are failing to get their business licenses, medical cards, yearly USDOT, or proper training. Many people believe that Georgia’s automotive department is responsible for this.

Authorities need to be more diligent when it comes to monitoring towers who offer roadside assistance. Also, they shouldn’t overlook the tow company owners who are failing to charge appropriate rates from insurance companies, automobile manufacturers, and automotive garages.

Many owners are allowing drivers to operate or provide services without any formal training. Keep in mind that drivers must have the proper experience and knowledge for operating in different situations.

They should understand that drivers have a legal responsibility to offer safe solutions to people who need roadside assistance. Since drivers aren’t meeting the legal requirements to tow, operators have damaged vehicles while providing roadside assistance. As a result, they’re putting others in danger and causing insurance rates to go up. When an insurance company recognizes drivers who are inexperienced or don’t have a good driving record their premium may go up. A tower’s lack of experience and proper training can result in more insurance claims and higher rates.

Unfortunately, the highly populated metro Atlanta area has the highest rate of illegal roadside activities.

Most towers fail to:

  • Get a valid business license to operate
  • Get proper insurance coverage
  • Obtain USDOT medical cards and USDOT truck safety inspections
  • Keep logbooks that USDOT requires

Many also:

  • Perform unattended and careless towing without any vehicle operator present at service (they must show Identification, signature granting for services, and pre-trip inspections for insurance coverage)
  • Offer tire changes despite the Georgia insurance law considering it an auto-repair and prohibiting operators from performing the service
  • Drop vehicles at multi-family housing areas such as apartments, condominiums, and townhouses

Summing Up

All in all, Georgia has had the highest number of tow-related insurance claims in the US for many years. An assessment found more than 87 percent of Georgia towers operate illegally. As a result, many insurance carriers pull out of the industry or place language in their policies that may change the coverage. Thus, this has increased the risk rate related to accidents and public safety in Georgia.

 

 

We can help you save on your tow truck insurance.

 

Links

https://www.law.com/legalnewswire/news

https://apnews.com/press-release/newswire/business-corporate-news-georgia-products-and-services-insurance-industry-89