Insurance is a necessary cost for both trucking companies and independent drivers. One of the reasons for the Drug and Alcohol Database was to further promote safety within the industry and help trucking companies avoid hiring drivers that might pose a risk to insurance premiums. However, between permits, various types of insurance, and managing day-to-day operations, trucking companies are looking for a one-stop shop to take care of everything.
Insurance Companies Are Expanding Their Services
Insurance companies are getting an edge on their competitors by offering services that are more tailored to the needs of trucking companies and independent drivers. In addition to standard insurance policies for truckers, insurance companies are also offering services to help with cash flow. Insurance companies that are able to offer services such as factoring stand out from the crowd. Factoring allows trucking companies and owner-operators to convert unpaid receivables to cash instead of waiting the typical 30 days or longer to get paid by clients and brokers. This greatly improves cash flow so trucking companies and owner-operators can cover overhead expenses, stay up-to-date on premiums, and build up capital for growth.
Thinking Outside the Box
While insurance companies are not lending institutions, they can still offer factoring services. Factoring is not considered a loan, because there is no debt involved. The key is to partner with a company that specializes in factoring services and that has an understanding of the needs of the trucking industry. Creating a partnership allows insurance companies to offer a wider range of services and attract more clients from the trucking industry without adding any risk. What’s more, trucking companies can get the insurance they need and boost their cash flow at the same time.
Expand Your Offerings Today
At Single Point Capital, we provide comprehensive factoring services to the trucking industry nationwide. We also have an excellent referral program to other professional sectors, including the insurance industry. If you would like to expand your offerings and increase both your client base and your bottom line in the process, contact the professionals at Single Point Capital today.