Commercial Relocation: What’s Happening Now

commercial-relocationIt’s been an unusual year, and people in the moving industry have a lot to keep up with. Here’s a look at what’s happening now in office and industrial moves.

Pandemic Closes Businesses and Stalls Moves

The pandemic forced many offices and other businesses to close, and months later, many of them remain closed. This has impacted commercial moves, as well. Back in May, Boston Globe reported that many  businesses with expiring leases were opting to renew rather than attempt to moving in the middle of the pandemic.

When moves do occur, attention must be given to the COVID-19 pandemic and the safety of both workers and clients. According to Trucks.com, movers may be considered an essential business, and they have had to adapt to the pandemic with safety measures.

COVID Impacts Trucking Demand

The current pandemic has impacted both freight and drivers. According to FreightWaves, trucking demand experienced an inventory restocking rally in March and then fell due to manufacturing lockouts and shutdown orders. At the same time, e-commerce sales have increased, and truckload pricing is expected to increase in 2021.

The Drug and Alcohol Clearinghouse

The pandemic isn’t the only factor impacting trucking. The FMCSA’s Drug and Alcohol Clearinghouse went live at the beginning of the year. According to FreightWaves, there were 3,000 failed results recorded in the first month, and 90% of drivers applying for jobs weren’t registering. In August, Truckload Indexes reported that 28,445 drivers in the Clearinghouse had at least one drug or alcohol violation and that most of these drivers had not even started the return-to-duty process. This means that, while the pool of drivers may be safer, it may also be smaller.

Trucking Fights Back Against Nuclear Verdicts

Nuclear verdicts – when juries award jaw-dropping amounts to punish companies – have been a growing problem in the trucking industry. According to Transport Topics, the president of the American Trucking Association announced that the industry was fighting back, and several legal battles have been won since then. Meanwhile, FreightWaves explains that fleets can be proactive about preventing nuclear verdicts by investing in technology that monitors driver behavior and the driving environment.

The Commercial Auto Market Hardens

According to Property Casualty 360, nuclear verdicts are one factor contributing the current hard commercial auto insurance market. Premiums are higher, and fleets may make do with less coverage. However, it’s important to obtain adequate coverage, including cyber coverage for fleet telematics systems.

Did you know that Relocation Insurance Group offers a range of insurance coverage options for office and industrial moves? Contact us to learn more.