Low Down

Report Compares Crashes, Congestion

The annual societal cost of traffic crashes is $299.5 billion, more than three times the $97.7 billion cost of congestion, according to a report by AAA. The “Crashes vs. Congestion—What’s the CosttoSociety?”reporthighlightsthefarreachingeconomicimpactstrafficcrashes have on our nation.

“At$300billionannually,crashescost our society more than three times the amountofcongestion, ”saidBradRoeber, AAAChicagopresident. “Thisreportfurtherunderscorestheimportanceofalongterm, multi-year federal transportation bill that will provide the necessary and sustained investments that lead to better and safer roads for allAmericans. ”

The cost of crashes are based on the Federal Highway Administration’s comprehensive costs for traffic fatalities and injuriesthatassignadollarvaluetoavariety of components; the results showed crash costs exceeded congestion in every metropolitan area studied, from very large to small.

Mississippi Towing Ordinance Rescinded

City aldermen in Moss Point, Miss., moved to rescind a new wrecker ordinance that was to go in effect the first Friday in November.

Just days before the rules became law, representatives from five local towing companies pled their case to the city. The ordinance would have raised the rotation fees from $50 to $500 annually and required operators to carry a minimum of $750,000 in liability insurance coverage.

The owners argued the excessive fees and insurance premiums would be too much to bear by their small businesses already operating on very thin margins.

The aldermen rescinded the new law pending further review for a more equitable approach to wrecker regulation. Source: www.wapt.com.

Memphis Towers Rally Against Rules

After several months of back and forth between council members and tow operators, M e m p h i s (Tenn.) passed its controversial Transportation C o m m i s s i o n towing regulations in November. The sticking point in the legislation was the strict requirement for tow operators to contact Memphis Police for an authorization code prior to any nonconsent tow.

Tow companies across the city were against this provision citing the added risk wrecker drivers assumes with each minute waiting

for a code from the police. Towers played several cell phone videos taken of vehicle owners getting aggressive with the tow truck drivers. M e m p h i s police were adamant in favor of the rule, regardThomas R. Machnitzki photo ing evidence concerns. In response to the towers risk the police offered that tow truck drivers should immediately leave the scene if they are being threatened. The new law also requires tow owners to do a background check on drivers. Source: www.memphisdailynews.com.

Collision Report

Highlights ‘Towing Problems ’

Mitchell released its quarterly Industry Trends Report for the Property and Casualty claims and Collision Repair industries, highlighting industry-related trends, news items and statistics.

One section of the report, titled “The Problems With Towing, ” outlined a 2011 National Towing Survey by the Property Casualty Insurers Association ofAmerica. Towing issues cited in the report included increased auto claim cycles, “skyrocketing and inconsistent fees” for towing and storage, and named “five least desirable” cities (of 149 named) and states (of 42 named) to be towed. They were Chicago, Philadelphia, New York City, Atlanta and Houston; and Illinois, Pennsylvania, New York, New Jersey and California.

Complete content is available in the latest Industry Trends Report, which may be downloaded in PDF format by visiting www.mitchell.com.