Thousands of businesses in Vermont are dependent on company-owned or employee-owned vehicles for the delivery of products and/or services. This dependency is directly tied to the cost of doing business for any company, regardless of size. Despite the fact that traffic crashes are costly, sometimes prohibitively, this cost is usually not considered a part of the “traditional” cost of doing business except in those circumstances where the vehicle is a part of roadway or major building construction.
Business incurs enormous costs from traffic crashes through lost productivity, higher insurance rates and increased medical costs. On-the-job crashes cost employers almost $22,000 per crash and $100,000 per injury, not to mention the unseen costs of loss of productivity and the loss of business.
The very nature of workers compensation insurance causes insurance rates to escalate, even if a company has not filed a claim. This is a direct result of claims filed as a result of on-the-job injuries whether the injury happens in a manufacturing plant, a retail operation, a service-related business, or on the road in any business capacity.
It is critical that businesses know that traffic crashes are often the hidden costs of doing business. These costs directly impact personal injury, employee benefits, property damage, replacement transportation, replacement labor, as well as third-party costs including property damage and bodily injury.
The key to mitigate the financial impact of traffic crashes on Vermont businesses is “avoidance.” A program promoting economic benefits of avoiding traffic crashes will have beneficial results for Vermont’s business community.