Cannabis Delivery & Transportation Best Practices

Republished By Plato

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If your company has an “auto exposure” such as delivery, distribution, or employees simply running company errands, your company needs a robust risk management program.

Managing a fleet is essential to ensure drivers are given the necessary tools to be safe and responsible while on the open road. Implementing a vehicle maintenance program is also a necessary component of fleet management.

Proper automotive risk management starts with driver guidelines on how you hire your drivers and what is required to qualify to be employed by your organization. Best practices on age, driving experience, motor vehicle reports, and training make for a great start.

Even though your employees may think they are only delivering or transporting cannabis, they are commercial drivers, and they need to take that duty very seriously. Morbid as it may sound, death is not the worst thing that can happen, and here are some best practices.

1. 25 Years Old and Driving Experience

For the best insurance pricing and experience, you should hire drivers that are between 35 – 55 years old. Note that commercial drivers will face increased pricing from insurance companies much like their youthful counterparts over a certain age. Keep that 22-year-old with four (4) speeding tickets off your policy, even if they are the business owner’s relative!

2. Hire Drivers With Clean Driving Records

Experienced drivers with a clean record are more likely to continue to drive this way when working for your organization. If you hire drivers with violations or points on their records, expect this level of driving to continue when working for you.

Drivers don’t often change driving habits just because of their employment status. Note that age and driving records directly affect commercial auto rates.

3. Employee Pull Notice Program or Motor Vehicle Report

A “pull program” ensures that you are aware of your drivers’ violations in real-time, whether the violations happen during or outside of work. Suppose a driver is out of compliance based on your insurance carrier guidelines.

In that case, your insurer can deny a claim based on your driver’s record or violations that happened while employed by your organization, even if the violation occurred outside of work. If you are not monitoring your drivers, you would never be aware of these concerns or problems.

Secured Motor Vehicle Records (MVR) storage is also crucial to protect your employee’s personal information. Make sure you backup all your records in the cloud or a protected server network. Identity theft can happen quickly, and unprotected data will create cyber liability exposures if not protected correctly.

4. Cell Phone, Texting, or Distracted Driving Violations

Distracted driving is the #1 cause of death and accidents since 2012 and is increasing yearly as time goes on. The National Highway Traffic Safety Administration (NHTSA) reports that an estimated 1.6 million accidents in 2020 were caused by distracted drivers too busy eating, texting, smoking, etc., to keep their eyes on the road.

Suppose one of your drivers has a distracted driving violation. In that case, you can rectify it by having them take a distracted driver class to understand the gravity of such infractions. Then put that driver on probation with consistent monitoring of their Motor Vehicle Record (MVR) for 18 – 24 months to ensure they don’t continue to have these violations.

5. Onboarding Driver Training

It must include how to drive defensively, what to do if you are held up for a robbery, and what to do if you are pulled over by the police. This training makes a world of difference when or if any of these take place.

In addition to robust onboarding training, training needs to continue over time as safety never stops, and good practices always need to be reinforced. Here are some examples of claims to give you an idea of what could happen to you:

A large distribution company hires a driver and has them complete some training in a large, empty box truck. This training helps the driver understand how to drive and brake with an empty truck. The next day the driver goes out with a full load of cannabis flowers and concentrates in their truck. The driver notices that the truck is handling it differently than when it was empty. A wind picks up just as the truck is taking a turn. The truck rolls onto its side and totals the box on the truck, damaging the product inside. The company could have avoided this accident had they trained their driver in real-life experiences, with actual loads.
A driver is delivering cannabis to a customer’s home. While en route, the driver accidentally hits a pedestrian crossing a sidewalk on a poorly lit street. The driver did nothing wrong, but the accident still caused permanent disability to the man who was the head of the household, and the insurance company paid out over $7M. If the insured didn’t have the $10M in auto liability, they would have had to close their doors.

You and your employees can do everything right, but accidents can and will still happen. That is why culture, safety, and accountability are essential when working in the transportation and delivery space. If you don’t take this seriously, your company will pay the price.

To avoid these costly mistakes, work with your legal team, insurance providers, and software vendors to ensure ideal policies, training requirements, and data storage.

Let us know what you think.

(NOTE: Before you can optimize training, you must do is get a clear picture on WHO is learning, HOW do they make an impact, and WHAT their requirements are. Download our proven “Cannabis Training Optimization Strategy“ now and get clear on what’s needed to learn.)