California DMV Employer Pull Notice (EPN) Program
Any business with job positions that require employees to operate company owned, leased or personal vehicles for business use faces a heightened liability risk.
One small distraction behind the wheel can lead to a serious accident causing injury or death to others. Or, a not so serious accident with someone who sees “deep pockets” because they were hit by a vehicle operated by a business can lead to a large defense claim.
Think about it, you constantly hear personal injury attorney advertisements on the airwaves encouraging people who have been hit by commercial vehicles to call them because “big money can be at stake.”
What this means is your business must have a Motor Vehicle Record (MVR) Program in its driver qualification and selection process.
Without going into full scale detail about MVR programs in this post, businesses should, at a minimum, require applicants for driving positions, to submit a copy of their driving record as part of the application process. Additionally, require drivers to provide updated MVRs on an annual basis to evaluate driving performance and qualify them for continued operation of company owned and/or leased vehicles.
Drivers that received violations and/or were involved in preventable vehicle incidents may need training, counseling or other appropriate actions to correct poor driving behaviors.
This is where the the California DMV Employer Pull Notice (EPN) program comes in to play.
The California DMV Employer Pull Notice (EPN) program enables commercial organizations to monitor the driving records of employees who drive for them. By monitoring their employees’ driving records, organizations can:
- Ensure that each driver has a valid driver license.
- Recognize problem drivers or driving behavior.
- Improve public safety.
- Minimize liability.
How it Works:
Each employer enrolled in the EPN program is assigned a requester code. The requester code is added to applicable employees’ driver license records. When an employee’s driver license record is updated due to an action or activity, the DMV makes an electronic check to determine if a pull notice is on file. If the action or activity is one that must be reported under the EPN program, a driver record is generated and mailed to the employer.
Every year on the enrollment date, the EPN program automatically generates and mails a driver record when any of the following actions or activities occurs:
- The driver is enrolled in the EPN program.
- When a driver has any of the following actions or activities added to their driver record:
- Convictions.
- Failures to appear (FTAs).
- Accidents.
- Driver license suspensions or revocations.
- Any other actions taken against their driving privilege.
With the potential risk your business faces by having owned, leased or personal vehicles on the road, now is the time to put any and all risk management practices into place to to help lessen the likelihood of a loss. And the California DMV Employer Pull Notice (EPN) program is a great starting point. Check it out for yourself and contact me if you need any help with this.
-JK
The U.S. Is seeing Some of the Largest Increases in Auto Accidents in More Than 50 years…
…And commercial auto insurance rates are spiking hard as a result. Carriers are backing down on coverage and most are putting some serious restrictions on their appetites.
See Property Casualty Insurers Association of America’s (PCI) 7 summer driving safety tips:
Also, see more from Hanover on why auto insurance rates are rising so dramatically:
-JK
Commercial Auto Insurance Prices Likely to Keep Rising
Most lines of insurance cycle between soft and hard markets over a number of years, which has a direct impact on the price of insurance. The commercial auto insurance market is currently hardening after many years of a soft market, which has resulted in higher prices for both commercial and personal auto policies.
Between 2011 and 2016, competition between auto insurance carriers created a soft, buyer-friendly market. Since then, however, the high cost of claims and increasing costs of vehicle repairs have contributed to a noticeable transition in the market.
Contact me today. I can provide you with resources to help you understand and save on commercial auto insurance, including this prior post, “California Commercial Auto Insurance – Losses & Costs Rising.”
-JK
California Commercial Auto Insurance – Losses & Costs Rising
Right now there are industry-wide challenges with increasing loss costs in commercial and personal auto insurance, particularly in California. If you have a commercial auto insurance policy for your business, you’re probably seeing your premiums increase. If not, you can expect to. I’ve been seeing it with pretty much all major insurance carriers on the market. We’ve been having to shop coverage for clients like crazy due to the steep premium increases.
California Commercial Auto – What’s Driving Losses?
More traffic: Total miles driven increased 50 percent faster in California than in the rest of the country since the start of 2015. More vehicles = higher frequency of accidents.
Distracted drivers: One-quarter of crashes involve drivers talking on phones or texting.
Escalating medical costs: Medical care costs are climbing more than 1.5 times faster than other costs.
More fatalities and other severe accidents: Accident rates per person and per mile
of driving are rising in California.
Inexperienced or undesirable drivers: A shortage of skilled commercial drivers with good driving records = greater odds for accidents.
Rising auto repair costs: Record U.S. auto sales mean garages are often servicing newer cars with more expensive parts. Even minor repairs can cost big bucks.
What you can do to help ease your commercial auto insurance loss costs?
- Implement a fleet safety program and follow proper fleet maintenance procedures.
- Enforce company policy for use of company vehicles (e.g., limitation on personal use, who can use company vehicles, hours of operation, etc.).
- Regularly check employees’ driving records and take appropriate action driving records are not acceptable.
- Use telematic devices to monitor employee driving habits and usage of company vehicles.
- Be aware of the risks involved with employees using their personal vehicles on the job.
- Provide Driver Safety Training for their employees. Important topics include, but are not limited to: Distracted Driving; Speeding; DUI; Need for Rest; What to do if your vehicle breaks down, etc.
Need help with these things? Contact me today. Buying a commercial auto policy is one thing, but implementing these risk management procedures along with the policy can help your business tremendously with costs.
-JK
Powerful Driving-Safety Ad
This powerful and simple driving safety advertisement from the New Zealand Transport Agency will really make you think about speeding and will probably give you some serious goosebumps when you watch it.
From Mashable: the public-service announcement dissects an accident by freezing the moment before impact. A man who pulled out of an intersection too fast pleads for his life and that of his son. The request falls on deaf ears, though. “I’m going too fast,” replies the driver of the oncoming car. The point: Other drivers make mistakes, too, so be careful.
Take a look for yourself:
Be careful out there and make sure you think of others first before yourself when you’re running late for that party, for work, or wherever else you’re trying get to. Give yourself plenty of time so that you’re not putting yourself in the situation where you feel the need to speed.
-JK
New High-tech Auto Theft Device Showing Up In The U.S.
From Long Beach, CA to Chicago, IL, thieves with no keys are breaking into automobiles with mysterious new high-tech hand-held box device. It appears this is the latest high-tech crime tool as cars have become “rolling computers.” Check out this news piece from CNN which was originally published on 6/21/13.
According to the California Highway Patrol, there were more than 700,000 auto thefts nationwide in 2011, with 156,796 occurring in California, the most for any state.
It’s important to know what to do if your vehicle is stolen. Here are a few suggestions:
1 – The best offense is a good defense. Consider purchasing comprehensive car insurance, which covers your vehicle if it is damaged in anything other than a collision. This includes auto theft, vandalism, floods, hailstorms and fire damage.
2 – Contact police immediately if your vehicle is stolen and file a report. The chances of recovering a stolen vehicle decreases as time passes.
3 – Be sure to have the following information when filing a claim with your insurance carrier:
- Policy number
- When and where you last saw your car (date, time and location)
- Year, make and model
- Vehicle identification number
- License plate number
- Police report number
4 – Be sure to list any additional valuables that were in your car at the time it was stolen.
5 – Offer photos of your car, if possible, to the police and your claims adjuster.
-JK
Drunk Driver Nearly Causes Multiple Accidents – Ends Up Crashing
Check out this cliff-hanger video. This drunk driver nearly causes multiple accidents but ends up crashing and putting his/her own life in jeopardy. Some tense moments on this two lane highway!
According to Mothers Against Drunk Driving (MADD), out of every three traffic deaths involve drunk driving. Every 53 minutes on average, someone is killed in a drunk driving crash (9,878 people in total in 2011). Every 90 seconds, someone is injured because of this entirely preventable crime.
About one-third of the drunk driving problem – arrests, crashes, deaths, and injuries – comes from repeat offenders. At any given point we potentially share the roads with 2 million people with three or more drunk driving offenses.
What to do when you spot an Impaired Driver
- Stay far behind the suspected drunk driver.
- Get out of the way and expect the unexpected.
- Wear your safety belt (and make sure that any children or other passengers have their safety belts fastened as well) – It is one of your best defenses against a drunk driver.
- Stop right away and look for a phone.
- Report suspected and impaired drivers to the California Highway Patrol or local police by dialing 911. Give the location, direction of travel, and description of the car and driver’s behavior.
What NOT to do when you spot an Impaired Driver
- Do not try to pass the car!
- Do not try to stop the vehicle.
- Do not follow too closely. The car may stop abruptly.
- Do not attempt to act in the capacity of the police.
- Do not try to detain or confront the driver.
- Call the local police or 911 and let them take care of it!
Most of the time, the signs of a drunk driver aren’t as obvious as the white Ranger in this video. Stay alert on the roads out there!
–JK
Rolling Deep…Literally
I found this picture on Google+ today. Talking about rolling deep! Check this guy out…
Thinking about purchasing a used car? If so, protect yourself from buying a flood damaged vehicle by doing a little research and by having the vehicle thoroughly checked by a mechanic.
Every year, tens of thousands of cars are damaged by floodwaters and more than half end up back on the road. Damaged cars are often repaired cosmetically and moved to adjacent states or other areas of the country where many are sold to unsuspecting consumers. These floodwaters can cause damage to a vehicle’s computer and electrical systems, as well as potentially causing anti-lock braking and airbag systems to malfunction.
Used Car Buying Tips: Detecting and Avoiding Flood Damaged Vehicles (from CARFAX Vehicle History Reports)
To help you avoid cars with water damage, CARFAX offers these tips:
- Check the trunk, glove compartment, the dashboard and below the seats for signs of water damage such as silt, mud or rust.
- Examine upholstery and carpeting closely; if it doesn’t match the interior or fits loosely, it may have been replaced. Discolored, faded or stained materials could indicate water damage.
- Turn the ignition key and make sure that accessory and warning lights and gauges come on and work properly. Make sure the airbag and ABS lights come on.
- Test lights (interior and exterior), windshield wipers, turn signals, cigarette lighter, radio, heater and air conditioner several times to make sure they work.
- Flex some of the wires beneath the dashboard. Wet wires will become brittle upon drying and may crack.
- Take a deep breath and smell for musty odors from mildew.
- Go to a trusted mechanic for a pre-purchase inspection. Always get vehicles checked BEFORE handing over any money.
- Ask to see a vehicle history report.
Facts: Flood Damage from Hurricanes and Tropical Storms
- Hurricane Floyd (1999) damaged 75,000 vehicles and than half were put back out on the road.
- Tropical Storm Allison (2001) – More than 95,000 vehicles flooded by the most extensive tropical storm in U.S. history.
- Hurricane Ivan (2004) – Left more than 100,000 cars submerged in floodwaters throughout the Southeast.
- Hurricane Katrina, Hurricane Rita and Hurricane Wilma (2005) – claimed more than 600,000 cars across the Gulf Coast. Many of these cars still are showing up for sale around the country.
- Hurricane Ike (2008) – more than 100,000 cars in Texas and Louisiana, from Galveston and Houston over to Baton Rouge, were left underwater.
If all else fails, you can do what the dude above did and you won’t have to worry about flood damage to your car.
–JK
What To Do In the Event of An Insurance Claim
When you deal with an incident that gives rise to an insurance claim, it’s usually a pretty crappy situation. It can be stressful, terrifying, frightening, and alarming in many cases. First things first, try not to panic. Hopefully it’s an incident you carry insurance for to be protected.
Your insurance contract requires that you report all claims promptly. Contact your insurance carrier or broker as possible after a property, liability, worker’s comp or automobile claim. An insurance company claims adjuster will be assigned to handle your claim. You should then be able to deal directly with the adjuster to settle your claim, but your broker can be there with you to assist you along the way.
Here’s step-by-step suggestions on how you should handle property, liability, workers compensation, and auto insurance claims.
Property Claims
In the event of damage to your building or contents:
- Protect the property from further damage:
- Call the proper authorities and utilities (gas, electric, telephone).
- Take photos of the damage before having emergency repairs made, such as boarding up windows or covering holes in the roof.
- Call your insurance broker or carrier to report the loss.
- Call a contractor to estimate the building damages.
- Separate damaged contents from undamaged contents. Do not discard any items until the claims adjuster gives you the authority to do so.
- Keep records of expenses if you are forced to temporarily relocate your business.
- Do not authorize repairs until the claims adjuster has given you the authority to do so.
After the claim is reported to the insurance company, the claims adjuster will:
- Contact you by phone or mail to discuss the loss
- Arrange for an appraiser to inspect extensively damaged property
- Assist you with your choice of contractors to make the repairs
- Contact you for a settlement
Liability Claims
In the event of injuries or damage to property of others which you allegedly caused:
- Call your insurance broker or carrier to report the claim.
- Forward any correspondence, including a summons from an attorney representing the other party.
- Do not discuss the claim with the other party or their attorney. Refer them to your insurance company’s claims adjuster or to us.
After the claim is reported to the insurance company, the claims adjuster will:
- Contact you to discuss the incident that allegedly caused the injury or damage to the property
- Deal directly with the other party and/or attorney to handle the claim
Workers’ Compensation Claims
In the event an employee is injured on the job:
- Complete the Employer’s First Report of Injury or Disease form for all claims. Either use the “call in” reporting system or fax the original form to the insurance company.
- Forward a copy of the First Report to your broker in the event of a disabling injury or death claim. They should follow-up with the insurance company for their prompt handling of the claim.
- Contact the insurance company to question the status of a claim. If you experience delays or have questions, contact your broker for assistance.
After you report the claim to the insurance company, the claims adjuster will:
- Contact the injured employee to discuss the accident
- Request copies of bills and doctors’ reports for medical treatment administered
- Contact you, the employer, if there is any lost time from work as a result of the injury
Auto Insurance Claims
In the event of an automobile accident:
- Report the accident to the police.
- Obtain information about the other people involved in the accident such as:
- Names, addresses and phone numbers
- Insurance company
- Type of vehicle
- Auto and driver’s license numbers.
- Have your vehicle towed to the nearest repair shop if the vehicle is not drivable. Do not authorize repairs until the claims adjuster gives you the authority to do so.
- Call your insurance broker or carrier to report the accident.
In the event of a windshield, vandalism or theft loss:
- Report the vandalism loss or theft to the police.
- Call us to report a loss.
After the claim is reported to the insurance company, the claims adjuster will:
- Contact you to request details of the accident and repair estimates
- Arrange for an appraiser to inspect the damages of vehicles that are not drivable or extensively damaged
- Contact you for a settlement
- Deal directly with the others involved in the accident
You should not talk to others involved in the accident, but refer them to your claims adjuster.
-JK
Source: Zywave, Inc.
Soooo…. I’ll Never Drive Behind A Big Rig Ever Again
Watch this video and you’ll be thinking a lot differently about your commute home tonight!
Most underride guards fail to stop deadly crashes
-JK
About Me
I grew up in Fullerton, CA and graduated from Servite High School in Anaheim. I have my Bachelors degree from Loyola Marymount University in Los Angeles. I currently live in Tustin, CA.
Please contact me if you need help with any of the following lines of insurance for your business:
-Businessowners
-Property
-Commercial General Liability
-Product Liability
-Workers Compensation
-Group Medical
-Commercial Auto
-Umbrella/Excess Liability
-Errors & Omissions/ Professional Liability
-Employment Practices Liability
-Directors & Officers
-Life & Disability Insurance
Jimmy Kinmartin, CPCU 