Wisconsin Carrier Shuts Down Citing Skyrocketing Insurance and Maintenance Costs
Hudson, WI – Skyrocketing insurance and maintenance costs has forced another sizable carrier to close its doors after 13 years in business.
Tom Dahlberg is the owner of Wisconsin-based 101 Transport and he tells Transportation Nation Network (TNN) the carrier is closing.
Dahlberg is a 40-year trucking veteran and has served as the CEO and president of 101 Transport since 2007.
On Tuesday, he confirmed and echoed comments he also recently made to Freightwaves, citing increasing insurance and maintenance costs for the company’s ultimate demise.
Dahlberg says it was too much to overcome as insurance costs have made running a trucking business “untenable.”
He hopes the federal government will put forward a meaningful solution to the problem before more trucking companies are met with the same fate as 101 Transport.
According to the latest data from the Federal Motor Carrier Safety Administration (FMCSA), the carrier operated 72 drivers and 72 power units.
101 Transport reported vehicle and driver inspection out of service rates (OOS) well below industry averages.
However, the company also reported five total accidents including four tow-aways and one injury-involved crash in the prior 24 months.
The carrier hauled general freight, beverages, paper products and U.S. mail.
Dahlberg confirmed that he notified his drivers on February 29, the company would be winding down operations.
TNN EXCLUSIVE: GET THE INSIDE STORY ON THIS RECENT CARRIER CLOSURE
At that time, Dahlberg says he only had 32 owner-operators hauling contract freight because he had let his company drivers go and returned equipment about six months earlier.
This is the third significant carrier failure TNN has reported in the last week.
Arkansas-based RCX Solutions told its drivers on Monday, March 2, the company would shut its doors after its insurance rates skyrocketed due to a multi-million dollar “nuclear verdict.”
Then, late in the week, TNN exclusively reported the inside story about what caused Texas-based WIT Transportation to shut down after more than twenty years in business.
READ more about the latest trucking closures HERE.