The freight industry is facing a critical issue centered around the practices of brokers and insurance brokers, necessitating stronger regulations to protect owner-operators. The problem arises when fees charged by these intermediaries are perceived as excessive, their role in transactions is seen as exploitative, or when they wield significant market power.
The alarming statistics reveal the depth of the crisis: 35,000 truckers failed in the first quarter of 2023. Yet, regulatory bodies like the Department of Transportation (DOT) remain inactive, refusing to enforce crucial regulations, such as 49 CFR 371.3, until October 31, 2024. This delay raises critical questions about the government's role in safeguarding the stability of the supply chain.