The commercial road transport industry has seen tremendous growth in the past decade with trucks moving more than 70% of transport goods around the United States. Researchers say that in the US alone, there are more than 33.8 million registered trucks on-road with as many numbers of COI for the road transport industry to maintain.
Transport Industry’s Top Challenges
The key challenges faced by this $700 billion dollar industry is the rising cost of labor, dwindling reserves of natural fuel, and lack of skilled drivers. The challenges are not limited to the above two, but the truck owners also have to live with contract loss and vehicle loss. A comprehensive certificate of insurance with all appropriate coverages with active effective dates not only ensures acquisition and maintenance of contracts but also takes care of loss due to accident, emergencies or theft. So, maintaining an updated Certificate of Insurance (COI) for every vehicle is the key to sustain in this industry.
Typically, a COI has 3 to 7 or more coverages such as general, auto, cargo, workmen’s compensation, etc. Each coverage has its own set of more than 6 various fields that include effective and expiration dates, underwriter, categories, limits, deductibles, etc. In essence, for a single transport vehicle, a COI has more than 40 fields that need to be closely monitored and renewed or updated as necessary. Imagine the plight of a transport company that has 100 vehicles, 500 vehicles or more!!
Transport companies operating a fleet of vehicles need to operate a dedicated team that constantly checks, renews, and revises the COI for business needs. This might take care of their bare necessities, but as can be expected with any manual intervention, there are prone to be data errors, missed tasks, and constantly rising operating cost. In an ideal scenario, transport companies should rather be focusing on their operational challenges while these minor tasks can be automated.
How to automate COI monitoring?
The first step would be to develop an application that mimics a typical COI, with all the data fields that can be seen in a COI Policy. The next part is the digital transformation of the COI’s hard data. The most important task in converting the data is to preserve the accuracy of the information, which includes data like, limits, and deductibles, underwriters, effective and expiry dates, etc.
The data from the Certificate of Insurance is typically mined by data entry experts who accurately replicate the data and populate them in the application. This application is configured to raise an alert every time any coverage nears its expiry date. After raising an alert about the same, the application assigns the task to a rep, who would be handling the renewal process on time. Other workflows like change in limits, pause or restart coverages, etc. can be similarly automated effortlessly.
Benefits of COI data digitalizing:
Automation ensures 100% compliance, avoids errors, expedites all processes, cuts cost, and above all provides absolute peace of mind to the management of transport companies. PreludeSys specializes in building and training expert data entry professionals who understand the business processes and deliver the error-free output to the client consistently. Talk to our team!