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In the most recent Overdrive Webinar, participants learned about the challenges in the auto liability marketplace, and how it is crippling the trucking industry. Our industry expert went into depth on how the best trucking companies are out performing their peers, by leveraging a group captive program. Key Takeaways: Commercial auto insurance market continues to face challenges and explored strategic solutions for implementation. While the process may seem complex, expert support is available every step of the way. Captive programs provide a different approach to trucking companies looking for insurance. Click here to view the presentation.

Schuster Company leverages our 10,000-truck captive network to drive down costs and improve safety. Through strategic claims handling and safety partnerships, see how they've transformed standard practices into competitive advantages. Impact at a Glance Ready to Take Control of Your Insurance Program? Cottingham & Butler offers captive solutions designed specifically for quality transportation companies. Our transportation captives provide: Greater control over your insurance program Potential returns of underwriting profit and investment income Stability during insurance market fluctuations Direct access to loss data and improved claims outcomes Industry-specific risk management resources Learn more about our transportation captive programs and how they can benefit your company by visiting  cottinghambutler.com/transportationcaptives  or speak with one of our captive specialists today.

Brett Phillips brings a unique perspective to the trucking industry. After starting his career in public accounting, a consulting role with a trucking client in 2004 led him down an unexpected path. What began as financial advisory work evolved into a decade-long position as an outside CFO, eventually leading to his full-time commitment as CFO of The 1975 Transportation Group in 2014. His journey from finance professional to trucking executive has given him valuable insights into both the operational and financial challenges facing transportation companies today. Photos provided by The 1975 Transportation Group. Written by Brett Philips, CEO of The 1975 Transportation Group As CFO turned CEO of The 1975 Transportation Group, I've seen firsthand how the right insurance partnership can transform operations. Our journey from traditional insurance to a Cottingham & Butler captive program reveals valuable lessons for the trucking industry.   The Traditional Insurance Challenge In the standard market, our annual renewals were a constant source of frustration. Despite strong safety practices and positive loss history, we faced delayed pricing decisions that threatened our operations. Premium negotiations often concluded just days before expiration, jeopardizing our ability to secure freight opportunities and maintain proper documentation for our trucks. This was our experience until we joined a Cottingham & Butler Captive.   The Captive Solution Upon joining the captive 6 years ago, we achieved great success. We've experienced: ·       Stable renewals with increases capped at 4% in all but one year ·       Equity positions in three policy years, leading to dividend opportunities ·       Active participation in claims management, from reserve setting to settlement negotiations ·       Proactive claims services that effectively reduce exposure   A Long-Term Partnership Success in a captive model requires shifting from an annual rate-shopping mindset to building lasting partnerships. While challenges exist, particularly around collateral requirements, the benefits of premium stability and potential returns that a captive provides make it worthwhile for companies committed to safety excellence.   The results speak for themselves: we've maintained a positive equity position and received cash dividends that would have been insurance company profits in the standard market. More importantly, we've gained a true partner in managing our risk and safety programs, with renewal pricing now available 60-90 days in advance – a dramatic improvement from our previous experience.   For trucking companies facing similar challenges, our experience demonstrates how the right insurance partnership can do more than manage risk – it can drive sustainable growth and operational excellence. Contact your Cottingham & Butler captive expert to get similar results for your business!

At Cottingham & Butler, we understand the evolving risks facing corporate leaders as third-party litigation funding reshapes the D&O insurance landscape. Our experienced risk advisors help organizations navigate these challenges by providing comprehensive coverage solutions that protect both individual leaders and their organizations. We work closely with you to develop tailored insurance programs that address the increasing costs and complexities of today's corporate litigation environment. Third-party litigation funding (TPLF) is a significant trend in the legal landscape where external investors finance legal cases in exchange for a portion of any settlements or awards. These investors, often hedge funds or private equity firms, provide nonrecourse loans, meaning they are repaid only if the case succeeds. TPLF covers legal fees and other expenses, enabling plaintiffs to pursue otherwise unaffordable cases.   While TPLF offers financial resources for plaintiffs, it introduces important considerations for the insurance sector, particularly directors and officers liability (D&O) insurance. This coverage protects executives and board members from personal liability for business decisions and is crucial for attracting and retaining top leadership. It also covers the legal fees and other costs the organization may incur as a result of such suits.   Litigation funders often target large, complex corporate cases, such as shareholder derivative actions and breach of fiduciary duty claims, which typically fall under D&O coverage. TPLF can extend case durations and incentivize plaintiffs to seek larger settlements, raising costs for D&O insurers, who may respond by adjusting premiums or modifying coverage.   Additionally, TPLF contributes to social inflation, which describes the rising costs of insurance claims beyond general economic inflation and is driven by larger jury awards and evolving legal standards. Plaintiffs with funded legal expenses are often encouraged to hold out for higher payouts, further impacting litigation costs and premiums.   A key challenge for D&O insurers lies in the lack of transparency around TPLF arrangements. In many jurisdictions, there is no requirement to disclose third-party funding, leaving insurers and defendants unaware of external financial backing. This opacity complicates risk assessment and policy pricing, making it harder to gauge legal risks.   Overall, TPLF significantly impacts the D&O insurance market. While it provides critical support to plaintiffs lacking resources, it also drives up litigation costs for insurers. To address these challenges, D&O insurers may increase premiums, refine coverage terms or raise deductibles to manage their exposures. Emphasizing risk management and encouraging policyholders to reduce claim likelihood are also key strategies. Insurers may advocate for regulatory reforms to enhance transparency while actively addressing emerging risks. These measures reflect the industry’s commitment to adapting in a complex legal environment shaped by TPLF.   Contact our team to learn how we can help you navigate these challenges. The ABCs of D&O Insuring Agreements D&O insurance policies typically include three standard insuring agreements—Sides A, B and C—detailing the scope of coverage and the insurer’s promise to indemnify policyholders against covered losses:   Side A (D&O liability coverage)—Side A protects individual directors and officers against losses when the organization cannot indemnify them. This coverage safeguards personal assets and is crucial for attracting qualified board members. Side B (corporate reimbursement coverage)— Also known as corporate reimbursement coverage, Side B reimburses the organization for defense expenses or indemnification costs incurred on behalf of its directors and officers. This provides balance sheet protection by covering legal costs the company advances. Side C (entity coverage)—Side C offers protection for the organization itself. For public companies, this coverage is typically limited to securities claims, reflecting the higher risk of shareholder lawsuits. For privately held companies, it generally extends to a broader range of claims stemming from wrongful acts by the organization or its directors and officers. The Importance of Corporate Recordkeeping in Boards of Directors Corporate recordkeeping is crucial for preserving a company’s history, especially concerning financial and business decisions. Despite its significance, many companies fail to create and maintain accurate records. Effective recordkeeping is not just a formality but essential for managing D&O risks. For corporate executives on boards of directors, precise documentation of key decisions and their contexts aids future decision-making and provides a strong defense in litigation.   Meeting minutes are a key element of D&O liability protection. Decisions made during board of directors meetings should be thoroughly documented, including details such as attendees, voting outcomes and supporting materials. These minutes serve as vital evidence if decisions are later contested by shareholders, regulators or auditors. Directors and officers should assume that meeting minutes could be subpoenaed in legal actions, emphasizing the importance of accuracy and detail. If a director is absent, they should review the minutes and formally document any disagreements in writing to ensure their concerns are recorded.   In addition to board meeting minutes, corporate recordkeeping encompasses various documents, including articles of incorporation, bylaws, resolutions and shareholder communications. These records are important not only for legal defense but also for facilitating smoother future business decisions.   Efficient organization is key to maintaining accessibility and complying with federal and state laws. Digitizing documents can save physical storage space and enable controlled access to sensitive materials, such as employee records. Public companies must adhere to the Sarbanes-Oxley Act (SOX) of 2002, which mandates specific record retention periods and prohibits the destruction of documents relevant to legal proceedings. While SOX primarily applies to publicly traded companies, its principles can guide private and nonprofit organizations in adopting strong recordkeeping practices.   By implementing comprehensive recordkeeping policies and ensuring compliance with retention regulations, companies can mitigate D&O liabilities and reduce the risk of costly lawsuits.   Contact us today for more risk management guidance.

Discover how strategic claims advocacy turned an initial water damage assessment into significant additional coverage for proper remediation. The Situation A manufacturing company experienced extensive water damage from a burst underground fire suppression system. The initial insurance carrier assessment threatened to limit coverage through an incorrect damage classification, potentially leaving the client with inadequate remediation coverage. Why They Needed Change The initial Category 2 classification, according to Institute of Inspection, Cleaning and Restoration Certification (IICRC) standards, would have severely limited the scope of remediation to basic water extraction, surface cleaning, drying and dehumidification, and sanitization. This level of remediation was insufficient for the actual damage, which required complete removal and replacement of flooring systems and affected building finishings. Key Wins $124,767 Settlement Increase Increased the total settlement from $498K to $623K through expert advocacy. 25% Increased Insurance Payout Locked in an additional 25% insurance settlement through a successful classification challenge. Complete Remediation Secured approval for a comprehensive Category 3 restoration classification. The Cottingham & Butler Approach  1. Comprehensive Damage Assessment Our process began with a thorough evaluation of the water damage and the initial classification. The analysis soon identified: - True extent of contamination - Long-term remediation requirements - Insufficiency of settlement offer compared to actual remediation needs   2. Strategic Classification Challenge Based on IIRC’s water categorizations, we challenged the original Category 2 classification with the supporting evidence of: - Black water–the highest level of contamination - Harmful pathogens and toxins - Professional water damage removal needs   3. Enhanced Remediation Implementation Approval for a Category 3 restoration classification was secured, along with the revised estimate from the insurance company, allowing for the following remediation: - Complete removal of affected flooring - Thorough cleaning and sanitization - New flooring system installation - Replacement of affected building finishes

In this high-stake industry, nuclear verdicts can pose an existential threat to even the most established companies. In our recent webinar, our claims management experts examined the factors driving these awards and shared proven strategies to help protect your organization. Through real-world case studies and practical insights, we covered the actionable steps to strengthen your defense position and mitigate the impact of nuclear verdicts. Key Insights Understand the key factors   contributing to nuclear verdicts and identify specific vulnerabilities within their operations Implement concrete risk management strategies  to strengthen their organization's defense position before an incident occurs Execute effective claims management protocols  that can help mitigate the impact of catastrophic events Takeaway Checklist Are You Prepared?​ Proactive Training​ Policies & Procedures buttoned up?​ Hiring Practices​ Safety Culture​ Are the Right Claim Strategies Implemented?​ Rapid Response / Quick Strike​ First Call Settlement Strategy​ Accident Reconstruction​ Preservation / FOIA Requests​ Internet Mining​ Are Your Drivers Prepared?​ Do they know what to do/say at the scene? What evidence to document? How/when to speak to law enforcement? Accident Kits Early Reporting

In this webinar, we delved into the essential requirements and best practices for maintaining compliance with OSHA's regulations. Key points of discussion included understanding which incidents must be recorded, the criteria for reporting severe injuries and illnesses, and the specific forms required for documentation. We also covered the timelines for reporting and the importance of accuracy in recordkeeping to avoid potential penalties and ensure workplace safety. Additionally, the webinar provided practical tips for organizing and maintaining records, including solutions to streamline the process. By the end of the session, participants gained a clear understanding of OSHA's recordkeeping and reporting requirements and were equipped with the tools and knowledge to implement effective recordkeeping practices in their organizations. Key Takeaways Understanding Reporting Criteria : Participants learned which workplace incidents must be recorded and the criteria for reporting severe injuries and illnesses to OSHA. Documentation Requirements : Attendees became familiar with the specific forms required for OSHA documentation and the timelines for reporting. Best Practices for Recordkeeping : Participants discovered practical tips for organizing and maintaining accurate records, including solutions to streamline the process.

At Cottingham & Butler, we understand the critical importance of OSHA compliance and its impact on your business. Our team helps employers navigate the complex world of workplace safety citations, penalties, and compliance requirements. From addressing minor violations to managing serious safety concerns, we work alongside you to develop effective safety programs that protect both your employees and your bottom line. Let our risk management experts help you create a safer workplace while avoiding costly OSHA penalties. An employer receives a written citation when it violates OSHA standards or regulations. The citation will describe the particular nature of the violation and will include a reference to the provision of the chapter, standard, rule, regulation or order the employer violated.   In addition, the citation will provide a reasonable amount of time for the employer to correct the problem. When the violation does not pose a direct or immediate threat to safety or health (de minimis violation), OSHA may issue a notice or warning instead of a citation.   An employer that receives a citation must post a copy of it at or near the place where the violation occurred. The notice must remain on display for three days or until the violation is corrected, whichever is longer. Penalties may be adjusted depending on the gravity of the violation and the employer’s size, history of previous violations and ability to show a good faith effort to comply with OSHA requirements. Annual Adjustments Current laws allow OSHA to adjust the maximum penalty amounts every year to account for the cost of inflation, as shown by the consumer price index (CPI). If OSHA plans to adjust penalty amounts, it must signal its intention by Jan. 15 of each year. Links and Resources OSHA enforcement website OSHA penalties website OSHA penalty adjustment rule Current Penalties Below is a list of potential citations employers may receive and a range of corresponding penalties for these citations. De minimis violation —Warning Other-than-serious violation —Up to $16,550 per violation Serious violation (a violation where there is a substantial probability that death or serious physical harm could result from an employer’s practice, method, operation or process. An employer is excused if it could not reasonably know of the presence of the violation)—Up to $16,550 per violation Willful violation (a violation is willful when committed intentionally and knowingly. The employer must be aware that a hazardous condition exists, know that the condition violates an OSHA standard or other obligation, and make no reasonable effort to eliminate it)—Between $11,823 and $165,514 per violation Repeated violation (a violation is repeated when it is substantially similar to a violation that was already present in a previous citation)—Up to $165,514 per violation Willful violation resulting in death of employee —Up to $10,000 and/or imprisonment for up to six months with penalties potentially doubling for a second or higher conviction Unabated violation —Up to $16,550 per day until the violation is corrected Making false statements, representations or certifications —Up to $10,000 and/or imprisonment for up to six months Violation of posting requirements —Up to $16,550 per violation Providing unauthorized advance notice of inspection —Up to $1,000, imprisonment for up to six months or both

In the most recent Motor Carrier Safety 101 Series, our experts provided some best practice measures that a carrier can put in place to reduce their driver’s chance of having an HOS violation and improve their overall safety while out on the road. Key Takeaways Split-sleeper is an exemption that should only be used if both the carrier and driver understand it and should not rely solely on the ELD to prevent a driver from going in violation. An example of proper use of Split Sleeper would be a driver spending 3 hours in an Off-Duty Status and ending their shift with a 7-hour Sleeper Berth status. An example of improper use of Split Sleeper would be a driver spending 1 ½ hours in an Off-Duty Status and ending their shift with an 8 ½ hour Sleeper Berth Status. Adverse Driving exemptions can only be used if the condition could not have been known or reasonably expected before the start of a driver's shift or the start of a trip. It is the responsibility of a driver to ensure that proper trip planning is conducted to account for any optional adverse conditions before beginning a trip. If adverse driving conditions are present and justified a driver must make clear annotations on their logs of the type of condition and the time it lasted. Personal Conveyance is still an area where there is a lot of “grey” area and can lead to a lot of unknowns unless a carrier develops a PC policy that is specific to their operations and drivers. If a carrier allows personal conveyance for their drivers, the carrier should check driver’s logs regularly to ensure that it is being used correctly and not being abused. Click here to view the presentation.

In the trucking industry, driver health directly impacts your bottom line. With drivers facing unique health challenges on the road, investing in their wellbeing isn't just a nice employment perk—it's essential for business success. The Cost of Inaction The numbers speak for themselves: Drivers with chronic conditions cost health plans 2.4 to 5.5 times more Companies spend approximately $13,300 annually per driver with chronic conditions But: HealthCheck360 clients with an incentivized condition management program spend $2,500 per driver with a chronic condition per year less than those without a program. Comprehensive Health Management Our program delivers four key components designed for the trucking lifestyle: 1. 24/7 Health Monitoring Continuous health tracking that works with irregular schedules, keeping your drivers connected to their health goals around the clock. 2. Personal Wellness Coaching Expert guidance tailored to the unique challenges of life on the road, providing practical solutions for better health. 3. Mobile Health App Health management tools accessible anywhere, putting wellness resources directly in your drivers' hands. 4. Condition Management Program Targeted support for chronic health conditions, focusing on high-risk and high-cost health factors to ensure best practices in health management. Real Results for Your Business Companies implementing HealthCheck360 see: Up to 15% reduction in healthcare costs Decreased workers' compensation claims Improved driver retention Better overall fleet performance Take Action Now Ready to reduce healthcare costs and support your drivers' health? Contact us to learn how we can create a customized wellness program for your fleet.

What began as a non-medical benefits consolidation unlocked opportunities across the entire benefits program. Through strategic analysis, this transformation delivered $2.5M in total savings spanning pharmacy, stop-loss, and more. Key Results The Challenge A leading media conglomerate with approximately 4,200 employees spread across 40 states partnered with Cottingham & Butler to optimize their complex benefits strategy. Like many growing businesses, they faced an inefficient benefits structure spanning multiple states, carriers, and employee classes, creating administrative burdens and missed cost-saving opportunities. Why They Need Change Multiple acquisitions led to 10+ carriers and 30 employee classes  Disability claims management stretched across 40 states  Union contracts required separate benefits structures  Multiple carriers limited cost-saving opportunities  State-by-state compliance taxed HR resources The Cottingham & Butler Approach Streamlining Non-Medical Benefits While others simply marketed rates we held weekly strategic sessions with HR, Legal, and the CFO to understand every nuance of their benefits structure. This comprehensive discovery led to a consolidated program that delivered both savings and enhanced coverage. Consolidated 10+ carriers into single-carrier solution  Saved over $200,000 on non-medical benefits package Reduced projected renewal increase by 19%, while enhancing benefits Optimizing Risk Management Our deep-dive discovery process identified where manual processes and compliance burdens create unnecessary costs and strain HR resources. For this client, we transformed their benefits administration into a streamlined, outsourced solution that drove both efficiency and compliance. Reduced administrative burden by automating disability claims processing  Implemented multi-state compliance tracking system to minimize risk exposure   Enhancing Union Negotiations Our strategic approach leverages data-modeling tools to find opportunities for benefits alignment and long-term efficiency gains. For this client, we partnered with Human Resources to create a path forward for systematically integrating diverse union and corporate benefits programs. Provided Union-specific cost-impact analysis for HR negotiations Developed phased approach to consolidate 4 separate policies Created framework for future contract negotiations   Unlocking Hidden Savings Our thorough discovery process digs deeper than traditional benefits reviews to uncover missed opportunities and cost recovery potential. For this client, comprehensive analysis of their stop-loss and pharmacy programs revealed substantial savings that previous partners had overlooked. Recovered nearly $1 million in denied stop-loss reimbursements Implemented prescription changes, projecting an additional $1 million in savings Ready to revolutionize your HR processes? Contact us today to begin your journey!

In this webinar, our experts equipped both employees and employers with life-saving protocols and guided them through developing comprehensive workplace crisis management plans. Participants gained invaluable hands-on knowledge about clear, decisive actions that can protect their colleagues and minimize risks when emergencies unfold. Through interactive demonstrations and real-world scenarios, attendees learned how to transform their workplaces into safer environments where every team member knows exactly how to respond when seconds make all the difference. Webinar Takeaways We covered the foundational elements of workplace emergency management, focusing on how to assess potential risks and create comprehensive response plans that keep our team safe and prepared for various scenarios. Each team member now understands their specific role during emergencies, including communication chains, evacuation routes, and basic first aid protocols that can help save lives in critical moments. We discussed the importance of learning from each incident through our new post-emergency review process, which will help us continuously strengthen our emergency preparedness program and keep our workplace safer over time.