FMIC 3rd Qtr. 2023 Newsletter

FMIC FORESTRY MUTUAL INSURANCE COMPANY

3RD QTR. 2023

INSIDE OUR 3RD QUARTER 2023 EDITION:

AGENCY CORNER - RISK ASSESSMENT - TRUCKING SPOTLIGHT - SAW SHOP

COLLABORATION BUILDS MUTUAL SUCCESS

3rd Quarter 2023

CONTENTS

Letter from President and CEO Bill Dine

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THE RISK ASSESSMENT: Stress & The Professional Driver

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FMIC SPOTLIGHT: Truck Driver Spotlight

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Feature: Collaboration: A Recipe for Success

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Partnerships in Forestry

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SAW SHOP: Wedging and Mechanical-Assisted Felling

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AGENCY CORNER: Why Commercial Auto Premiums are Going Up So Fast

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Challenges and Opportunities in a Complex Forestry Market

Scotty Rountree has been driving trucks for about 27 years. His driving career has been with the same company, Sands Logging, out of Daisy, Georgia.

Trucker Appreciation Day at Jordan Lumber with NCFA, CLA & Vestige.

Report from Tennessee Forestry Association.

Greg Helton: Every tree is going to have two types of lean; side lean, left or right, and lean forward or backward.

Mitchell Brown, FMIC Agency

HOT NEWS: 17

Forestry Mutual expands it's eligible classes of business.

Partnerships in Forestry

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LOSS CONTROL & FMSCA Poster

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Partnerships in Forestry

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Partnerships in Forestry

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LOSS CONTROL - Customer Service Driven

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Report from Mississippi Forestry Association.

OUR Plan To Share The Road.

Report from Virginia Logging Association.

Report from North Carolina Forestry Association.

See why Forestry Mutual leads the industry and why you should join the Mutual Team.

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FMIC 3RD QUARTER 2023

FORESTRY MUTUAL BOARD OF DIRECTORS

SCOTTY ROUNTREE

This Quarters Truck Driver Spotlight

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PAGE

Why Commercial Auto Premiums are Going Up So Fast!

14 SAW SHOP

Wedging and Mech-Assisted Felling.

CHAIR Michael Walters

DIRECTORS Tommy Barnes Chip Capps Joel Cathey Randy Denman Candace Dinwiddie Joey Ferguson John Hatcher Mike Macedo Tedrick Ratcliff Bernard Rose Marshall Thompson Matt Thuman FORESTRY MUTUAL INSURANCE COMPANY 801 Jones Franklin Road Suite 100 Raleigh, NC 27606

(800) 849-7788 www.forestrymutual.com

FMIC AGENCY

P.O. Box 19467 Raleigh, NC 27619

(866) 755-0344 www.fmicagency.com FMIC 3RD QUARTER 2023

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CHALLENGES AND OPPORTUNITIES IN A COMPLEX FORESTRY MARKET

By Bill Dine, AAI President, CEO Forestry Mutual Insurance Company The insurance industry continues to experience increased loss activity especially in the property and auto lines of business. This increase in loss activity leads to higher rates and decreased capacity from both primary insurers and reinsurers alike. This has a real-world effect on all businesses including the Forest Products industry. One of the biggest culprits for the increased cost of claims is the impact that social inflation is having on claims. The industry is full of examples where a claim is expected to be settled for less than 100,000, and then social inflation enters the room, and the company is paying 5, 10 or 20 times more than expected. The problem with this trend is, when it starts recurring, it becomes the norm and insurance carriers become very concerned with how much of their capital is exposed to these unexpected events. This uncertainty drives rates up and limits reinsurer capacity as they look for better places to invest their capital, leaving the insurance buyer with fewer options. In some cases, the buyer can’t afford the insurance and they are forced to make some hard decisions. Unfortunately, this scenario is happening with increased regularity, and it should concern all of us.

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NAVIGATING THE CHALLENGES Forestry Mutual continues to navigate these challenges thanks to our deep industry knowledge and strong carrier partnerships. With over fifty years of experience in underwriting for this niche market, Forestry Mutual offers our policyholders a range of competitive coverage options, and solutions to help our policyholders manage through these difficult times.

At Forestry Mutual, we understand the wood products industry's logging, chipping, log hauling, and mill operations. Our continued collaboration with key business partners in the industry allows us to work with our policyholders to help them solve their many complex insurance needs. We are also proud to have earned so many endorsements with the many leading trade associations we work with, setting us apart from other insurance providers in the marketplace. By working together, we are building a more resilient partnership that will allow us to find ways to solve the challenges our policyholders face each and every day.

EDUCATION IS A DRIVING FORCE

One of the industry's most pressing issues today is the need for more log truck drivers. As many drivers near retirement age, there is a growing need for young drivers. Recognizing this issue, Forestry Mutual is consulting with regional association partners and community colleges to assist in their development of programs to inform people about a career in logging and continue to train and educate truck drivers.

This will be an ongoing challenge as the industry competes for the next generation of truck drivers.

LOOKING DOWN THE ROAD

Looking towards the future, Forestry Mutual will continue to help our policyholders manage their exposures with first class loss control services, innovative technology to help protect and reduce losses from log hauling, and help our policyholders find the insurance products they need to protect their business from financial hardship. We continue to promote the financial benefits of utilizing dashcams and telematics to monitor and improve driver safety and transport efficiency and fight social inflation. We will make sure our Loss Control remains best in class.

While the forest and logging industry may face many challenges, I would like you, our policyholders, to know Forestry Mutual is stepping up to meet these challenges and create new opportunities. By focusing on specialized knowledge, partnerships, and technology, we are paving the way for a stronger and more sustainable industry.

We also want to thank each and every one of our policyholders for your business. We know you have choices, and we want to make sure we continue to deliver to you and your employees the best insurance experience possible. We are here for you and will work with you to manage and solve your insurance needs.

Bill Dine, AAI President, CEO

SEE OUR NEW CLASSES OF BUSINESS CLICK HERE

FMIC 3RD QUARTER 2023

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Stress & the Professional Driver

A

By Greg Plumley, Director of Loss Control, Forestry Mutual Insurance Company

truck driver faces many obstacles in a day that causes stress, such as; physical abilities, last-minute route changes by a dispatcher, the weather and road conditions, traffic, the lack of good sleep, the lack of home time to take care of family business, hours of service, truck breakdowns, unrealistic expectations from the boss, and I'm sure you can name many more. Just because you are aware of them doesn't mean that they go away. In most cases, you have to find a way to deal with each one. The Four A's of Managing Stress can serve as a reminder that you can have control over lowering your stress level.

• Avoid • Alter • Accept • Adapt

Stop and think about these four words when you recognize that you are dealing with increased levels of stress in your life. It seems everyone right now is experiencing additional stress, so know that you are not alone.

AVOID

You are in control of your surroundings, so by planning ahead for traffic, stops, and routes that are less stressful, you can be proactive when dealing with stress.

Learn to say "no" when something is just too much to take on when possible. If possible, avoid things and people that raise your stress level.

ALTER

You are in charge, and you can alter your surroundings or change situations for the better to reduce your stress level. It's okay to ask others to change their behavior as long as you do it in a respectful manner. Don't be afraid to communicate how you are 6

FMIC 3RD QUARTER 2023

feeling. Make sure to use the word "I" when stating your frustration. This is a way to communicate without attacking. Don't hesitate to share your personal limits. Managing your time more efficiently will always work to reduce the stress in your life.

ACCEPT

"It is what it is," a statement that's been used a lot lately. This is a way of acknowledging that there are things that just cannot be changed. Accepting things the way they are and then striving to improve on the situation is a solid approach for managing stress.

Forgiving others and learning from our mistakes can strengthen our character, as well as help others.

Find someone you can share your concerns with, and remember to be good to yourself.

ADAPT

The ability to adapt is crucial in dealing with stress.

Adjust your standards. When you adjust what you expect, you are less likely to be disappointed, thus reducing the stress in your life. When you re-frame an issue and look at it from a new perspective, things can also seem better. It's helpful to look at the "big picture" and recognize how some issues have little impact in the grand scheme of things. Adopting the attitude that you will make lemonade out of lemons can reduce your stress and create a more carefree attitude. Stress is unavoidable, but utilizing the Four A's can help you be in control of reducing the amount of stress that you actually need to allow into your life!

AM BEST upgraded our insurance ranking in 2022 to the A- Excellent rating. Forestry Mutual now offers our outstanding insurance programs and phenomenal customer service to a new list of companies like never before. If you have any below-listed services or know of someone who does, keep Forestry Mutual in mind and get your quote today.

Together we can make a difference.

LOGGING OPERATIONS: - Log Hauling - Non-Mechanized Logging - Mechanized Logging - Excavating - Stump Removal Operations - Grading (Forestry Roads) - Right of Way Clearing - Chipping Operations SAWMILL, PALLET, LUMBER MILLS: - Sawmill Operations - Permanent & Portable - Planing Operations - Pallet Manufacturing - Mulch & Grinding Operations - Barrel Manufacturing - Log Home Manufacturing - Plywood Manufacturing - Veneer Mills - Dry Kiln Operations - Resaw Operations - Box & Crate Manufacturing - Truss Manufacturing - Wood Flooring Manufacturing WOOD RELATED OPERATIONS: - Cabinet Manufacturing - Wood Furniture Manufacturing - Furniture Stock Manufacturing - Furniture Frame Shops - Furniture Assembly Operations - Wood Turning Operations - Carpentry Shops - Church Pew & Altar Manufacturing - Moulding & Millwork - Wooden Door Manufacturing - Casket Manufacturing - Wood Component Operations

To learn more about the added lines of insurance service Forestry Mutual can offer.

Visit www.forestrymutual.com Call 866-755-0034 to have an agent reach out to you today!

Email us at info@forestrymutual.com to set up an appointment.

FMIC 3RD QUARTER 2023

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By Paul Dyess, Forestry Mutual Insurance Company

Scotty Rountree, known by his CB Handle as Rountree, is married to his wife Sarah and has two children, Carson and Truett. Mr. Rountree has been driving trucks for about twenty-seven years. His driving career has been with the same company, Sands Logging, out of Daisy, Georgia.

It all began for Mr. Rountree with his father, Ronnie Rountree, who would drive flatbeds, sand, and refrigerated trailers for about forty years. So, Mr. Rountree said that truck driving was in his blood. Driving for Mr. Rountree began around 1995, learning the ropes of truck driving, and in 1996, he started working fulltime as a log truck driver with Sands Logging. He said that he has never been an over-the-road driver.

is not just saying all this because he is his Son In Law but because he is just an all-around good guy and is very thankful to have him around.

MR. ROUNTREE SAID THAT ONE OF THE THINGS THAT HE LIKES IS JUST BEING IN THE TRUCK AND BEING BY HIMSELF.

Mr. Rountree said that one thing that has changed during his log truck driving career is that there is a lot more traffic, and there seems to be more and more each year. He also said that the mills are more focused on Personal Protection Equipment (PPE).

One of Mr. Rountree’s dislikes of driving is that he feels the FMCSA is over-regulating the trucking industry.

And that the people on the road are in such a big hurry and don’t understand the trucks on the road, so they just cut them off constantly or expect them to stop or get moving as fast as they do. Along with that is that the public perception of truck drivers is just so negative.

Mr. Rountree also said that new drivers need to be around someone with experience and pay attention when they are telling them something so they don’t have to learn stuff the hard way. Because if they are ever put in a particular situation in the truck, they may already have the knowledge to get out of it or have a less drastic outcome.

Rountree Family - Prom 2022

Mr. Rountree says he doesn’t have any time that he is not working, but when he finds the time, he enjoys being with his family and doing a little bit of hunting and fishing. His family working hand in hand has been a big help in making his career a successful one.

Mr. Carson Sands, the owner of Sands Logging, said that Mr. Rountree could run any piece of equipment and wishes he had more people like him. He also said that he is a very dedicated employee and very safe. Even though he is driving a truck, he keeps the operation safe, and the company trucks up and running, and he is a very good mechanic. Mr. Sands also said that he

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COLLABORATION:

A RECIPE FOR SUCCESS IN THE FORESTRY INDUSTRY

(Left to Right) Ryan Layle, Ryan Barton, Shawn Fulks, Mike Powell, David McLean, Scott Bunch, Jordan Rose, Derek Breedlove, Jonzi Guill, Greg Plumley, Nick Thomas, Jim McCraney.

By Jean-Paul Damé Communications Director, FMIC

Date: June 28, 2023

Location: Mt. Gilead, North Carolina

In a joint effort to promote safety and express gratitude, the North Carolina Forestry Association (NCFA) partnered with Jordan Lumber Company to organize a truck driver appreciation and safety lunch.

This event, held in collaboration with the Carolina Loggers Association (CLA), Vestige View Solutions, and the Loss Control team from Forestry Mutual Insurance Company, aimed to support log truck drivers and enhance industry-wide safety practices.

With the increasing number of claims in the insurance industry, it has become essential for truck owners and drivers to prioritize safety measures. Dashcams and telemetrics have emerged as crucial tools, providing visual evidence in fraudulent lawsuits and absolving drivers of blame in accidents. Derek Breedlove, Senior Solutions Partner at Vestige View Solutions, a strong supporter of Forestry Mutual, has been instrumental in advocating for these technologies.

Recognizing the scarcity of log truck drivers and the inherent risks they face in one of the world's most dangerous professions, the collaboration among NCFA, Forestry Mutual, CLA, and Vestige View demonstrates the industry's commitment to working

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together for the benefit of all stakeholders. Greg Plumley, Loss Control Director at Forestry Mutual Insurance Company, expressed his enthusiasm for the event, stating, "Working alongside the CLA, Vestige View, NCFA, and Jordan Lumber is a great way to show our appreciation and ensure safety."

Jordan Lumber cooks up the dogs and burger to say "THANK YOU" drivers.

The Forestry Mutual team, consisting of eight loss control representatives, provided valuable safety tips and expressed gratitude to the drivers. Jordan Lumber Company generously prepared a to-go lunch comprising hamburgers, hot dogs, chips, and beverages during the event. Log truck drivers, such as Ashley Harrison from Zimmerman Farm and Trucking, appreciated the safety advice provided by Forestry Mutual, emphasizing the value of such initiatives in promoting their well-being on the roads.

This collaborative effort highlights Forestry Mutual's commitment to "Setting the Standard" in the industry and exemplifies how mutual collaboration can yield mutual benefits. By joining forces with regional partners and fostering a culture of safety, the NCFA, Forestry Mutual, CLA, and Vestige View Solutions are actively working towards improving the forestry industry.

In an industry where safety and cooperation are paramount, the successful collaboration showcased in this event is an inspiring example of how your insurance company can impact the industry.

Organizers of the Truck Driver Appreciation Day, Mike Powell, Director of Forestry Programs, NCFA and Mike Cheston, Procurement Forestry, Jordan Lumber

Mike Powell, NCFA - Greg Plumley, FMIC and Jonzi Guill, CLA

Ryan Layle, FMIC

FMIC 3RD QUARTER 2023

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TFA/TN Dept. of Agriculture Dashcam & Safety Equipment Cost Share Program

TENNESSEE

Tennessee Forestry Association

In 2022, TFA was provided a very generous grant from the TN Dept. of Agriculture to provide costshare funding on dashcams, safety gear, and other safety related items for loggers, sawmills and other wood industry. To date, there have been 230 dash cam packages purchased by loggers and the wood industry in Tennessee, with 75% of the cost reimbursed back to the logger or industry by the State of Tennessee. Also, PPE gear, wilderness tracking equipment, other safety items are reimbursed back to wood products industry at 50% cost share.

TFA provides a quarterly safety e-newsletter to all Tennessee Master Loggers. This is a key component of the safety grant. TFA staff particularly asks loggers’ wives to read the newsletter, we believe thinking safety starts at home as well as in the woods!

FMIC HELPS TENNESSEE FFA STUDENTS LEARN SAFETY IN THE WOODS The Safety grant also provides for wood industry Candace Dinwiddie

Executive Director, Tennessee Forestry Association

The Tennessee Forestry Association is so appreciative of FMIC’s Chainsaw Trainer Greg Helton attending the Future Farmers of America Forestry Camp and providing chainsaw and safety instruction to 60 Tennessee students who are looking to make forestry their future. For years, the Tennessee Forestry Association (TFA) and the Tennessee Dept. of Agriculture have sponsored the FFA Forestry Camp, where high school juniors from across the state participate in the week-long program at Falls Creek Falls State Park.

truck driver safe driving courses, and Federal Motor Safety Carrier Administration compliance courses.

TFA members have taken advantage of these classes across the state to operate safely and legally on our roads and highways in the Volunteer State.

Future training programs will include CPR/First Aid, wilderness safety, dust management and other sawmill related safety courses.

The safety leadership that FMIC provides in Tennessee is top-notch. The Tennessee Forestry Association is so proud to partner with FMIC. All of us in Tennessee appreciate the extra efforts by FMIC staff to educate our industry on safety practices. Thanks, Forestry Mutual, for making Tennessee a safer place for present and future folks in the wood products industry.

The campers visit logging and sawmill sites, learn how to mark trees for harvesting, the importance of water quality and harvesting with wildlife habitat in mind. For 2023, TFA is so very appreciative of Greg Helton bringing the FMIC message of safety in the woods to these future leaders in the forest industry.

Thanks also to Greg Plumley for his help making the safety presentation happen.

So many of the FFA students said that Greg was the best part of the week. Feedback from students indicated the chainsaw and safety in the woods program just needs to be longer next year!

Thanks so much, FMIC staff! The safety message is resonating with the young and not so young in the Volunteer State.

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GREG HELTON WITH CALEY PEYTON, TFA EDUCATION AND OUTREACH COORDINATOR

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SAW SHOP

By Greg Helton, Chainsaw & Logging Safety Trainer

WEDGING AND MECHANICAL ASSISTED FELLING

I

n past articles, the Five Step Felling Plan has been addressed. Step two of the plan deals with the lean of the tree. Every tree is going to have two types of lean; side lean, left or right, and lean forward or backward.

If the tree is leaning forward toward our intended target, we usually do not worry too much that it will fall. Gravity will help us in that situation. But when the tree is leaning back from our desired target, gravity works against us. So, there are several options when it comes to dealing with back lean. Once we have read our tree and determined it has back lean, we should look to see if we can change our direction of fall or our target.

If there is nothing around to impede the tree from going opposite of our first objective, then the simplest solution could be to change our desired direction of fall. If that is not an option, then we must move the tree in our desired direction of fall by pushing, pulling, or lifting the tree.

LIFTING

The most common tool for dealing with back lean is our wedges. "To be effective in directional felling, a timber cutter must have wedges". Proper placement of a wedge can help lift the tree to counter the back lean. During training, I am often asked, "Where do I put the wedge?" Once the bore cut is made and the hinge is established, a wedge can be placed directly behind the hinge. This will cause the tree to lift faster, but it will take more effort to drive the wedge.

Placing the wedge in the back of the tree, pointing toward the hinge, will allow the wedge to drive in easier but will lift slower. Setting two wedges side by side near the hinge can help with lifting. Alternate hitting of the wedges will help lift the tree faster without as much effort.

The back lean may be greater than the amount of lift that one wedge will provide. In this case, wedges may be stacked to provide more lift. When stacking the wedges, be sure to cross the wedges and tap carefully to prevent the wedges from kicking out. A little tip, adding a little dirt between the wedges will also help.

Some wedge manufacturers have designed wedges with grooves to help lock the wedges in place when stacking.

When dealing with side lean and back lean, there are times a wedge on the bad side near the hinge will help protect the hinge and keep the tree going in the intended direction. Keep in mind placing a wedge on the good side, opposite of the side lean, will lift your tree toward the lean and cause your direction to be off.

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When dealing with large amounts of back lean and

side lean, it is important to estimate the amount of lean. Wedging may be ineffective if the tree has more than 6 to 8 feet of back lean and more than 8 feet of a side lean (species-depending).

Another option is using a hydraulic jack to lift the tree.

There are many different types of jacks that could be used, such as a tree jack to even a bottle jack. A proper slot must be removed from the tree to allow for the jack to be inserted.

PUSHING

When equipment is available, pushing a tree is a very effective method for dealing with back lean. The most important part of pushing a tree is the safety of the timber cutter. If the tree is small, it may be possible to push the tree, stump, and all. If not, a proper notch and hinge should still be used to control the direction of the fall. Once the machine is against the tree, the back cut may be made.

establish the hinge, and leave the trigger on the back.

The timber cutter can then escape away from the tree and allow the feller-buncher to cut the trigger and push with the arch of the cutting head. Marking the outside of the tree where the trigger helps the operator line up with the cuts already made.

PULLING

Depending on the situation, a conventional back cut can be made, but keep in mind that the desired hinge thickness may not be reached before the tree starts moving. This could cause a tree to split or bust. A bore cut would allow the hinge to be set without the tree moving. A trigger should be left on the back side of the tree. Once everything is ready, the trigger is released, the timber cutter clears the area, and the machine begins pushing. Remember, the higher in the tree the machine can reach, the more push it has.

A skidder or dozer blade cannot reach as high as a cutter or track hoe.

The machine mustn't push too fast or too hard.

Pushing too low, fast, or hard could push the tree off the stump, severing the hinge wood. Without hinge wood, we cannot control our tree. Another very useful method for pushing back-leaning trees is with the feller-buncher. A large, back-leaning tree can be set up by the timber cutter. Place the notch, bore in to

Pulling the tree may be required when pushing is not an option. Placing a cable or bull rope in the tree will allow the machine to be a safe distance away and pull the tree in the desired direction. As with pushing, the higher in the tree the cable is, the more pull you have.

The tree is still cut in the same manner, notch, hinge, and trigger. Once the cable is pulled tight, the timber cutter can make the cuts needed. When the "all good" signal is made, the timber cutter releases the trigger and escapes from the tree. The cable is pulled, and the tree falls in the desired direction. When dealing with heavy side lean, it may be advised to put the cable at an angle that will help pull but also help guide the tree to maintain the direction without breaking to the side.

The most important part of dealing with heavy back and side-leaning trees is to only do what you are comfortable doing. It is better to walk away from a tree than to be carried away. Do not attempt to do something if you are not comfortable with it. Step back, re-assess it, and ask for help if needed. When using equipment to help deal with problem trees, it is always good for the operator and the timber cutter to work well together. If the team cannot come to a safe solution, walk away! There is not a tree out there that is worth a life!

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Why Commercial Auto Premiums Are Going Up So Fast!

By Mitchell Brown FMIC Agency

When you own a business that uses vehicles for work purposes, you have surely noticed that your commercial auto insurance premiums have been increasing significantly over the past few years. You may be wondering why this is happening and what you can do to lower your costs. I have been asked this question a lot lately, and I wanted to take the time to address it. In this article, I will explain some of the main factors that are driving up commercial auto premiums and offer some tips on how to save money on your coverage.

If you have any questions don't hesitate to reach out.

WHAT ARE THE FACTORS BEHIND THE RISING COMMERCIAL AUTO PREMIUMS?

Commercial auto insurance is a type of coverage that protects your business from the financial consequences of accidents, injuries, and damages involving your vehicles or employees' vehicles when used for work purposes. It covers liability, physical damage, medical payments, uninsured/ underinsured motorist, and other optional coverages depending on your needs and preferences.

The cost of commercial auto insurance depends on various factors, such as the number and value of your vehicles, the type and frequency of your business use, the driving records and experience of your drivers, the location and mileage of your operations, and the level and limits of your coverage.

However, some external factors affect the overall pricing of commercial auto insurance in the market.

These include: 16

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1.

Advanced in-vehicle technologies. Modern vehicles are equipped with sophisticated features such as sensors, cameras, navigation systems, collision avoidance systems, and electric components that make them safer and more efficient. However, these features also make them more expensive to repair or replace in case of an accident. Advanced in-vehicle technologies can increase repair costs by 2% to 3% per year.

2.

Distracted driving. The widespread use of smartphones and other devices has increased the risk of distracted driving, which is a major cause of accidents and injuries on the road. According to NHSTA.gov nearly 9% of all crash deaths in the U.S. in 2019 involved distraction. This is only increasing, in 2021 distracted driving was responsible for 3,522 deaths in the United States. Distracted driving not only increases the frequency and severity of claims but also exposes businesses to higher liability lawsuits and settlements.

3.

Legal cannabis. No matter where you stand on this issue, the legalization of medical and recreational use of cannabis in some states has added a new dimension to impaired driving, which also raises crash rates and claims costs. An Insurance Institute for Highway Safety (IIHS) study shows crash rates have increased by 6% in states that have legalized recreational cannabis compared to neighboring states that have not.

4.

Inflation. The general rise in the prices of goods and services affects the cost of commercial auto insurance as well. Inflation drives up the cost of cars, parts, labor, and car rentals, which all affect the insurers' expenses and claims payouts.

HOW CAN YOU LOWER YOUR COMMERCIAL AUTO PREMIUMS? While some of the factors behind the rising commercial auto premiums are beyond your control, there are still some steps you can take to lower your costs and get the best value for your coverage. Here are some tips:

1.

Choose the Right Independent Agent. Different insurers may offer different rates and discounts for commercial auto insurance depending on their underwriting criteria and risk appetite. You must choose an agent who understands your business and the insurers that will insure you. It pays to compare quotes from multiple insurers and find the best deal for your business needs. An independent agent who specializes in your industry can find you the best coverage and the best rate for that coverage that the market has.

2.

Review your coverage. Make sure you have adequate but not excessive coverage for your vehicles and drivers. You may be able to save money by adjusting your deductibles, limits, or optional coverages depending on your risk exposure and budget. Talk with your agent and make sure you understand what your exposures are and how this all fits within your Total Cost of Risk (TCOR).

5.

Reinsurance rates. You don't hear a lot of people explaining how this is a major factor in the rise of premiums. Reinsurance is a type of insurance that insurers buy to transfer some of their risk exposure to other insurers. Reinsurance helps insurers maintain their financial stability and solvency in case of large or catastrophic losses. However, reinsurance also comes at a cost, which insurers pass on to their customers through higher premiums. Reinsurance rates for commercial autos have been increasing due to the high loss ratios and low profitability of the line.

6.

Social Inflation. Is how insurers describe the rise in claims costs above the rate of general inflation.

This is driven by the shifting social and cultural attitudes of who is responsible and for how much when dealing with an accident. The most affected line for social inflation is commercial auto. The Casualty Actuarial Society found that social inflation alone accounted for $20 Billion in claims between 2010 and 2019.

Between 2009-2019 the American Transportation Research Institute examined 600 large cases during the first 5 years there were 26 cases with awards over $1 million in the last 5 years of the study that number hit almost 300.

3.

Manage your fleet. Keep track of your vehicles' condition, maintenance, mileage, and usage. You may be able to reduce your premiums by upgrading or downsizing your fleet, choosing safer or more fuel-efficient vehicles, or limiting non-business use. Add telematics and video to your fleet, these add a level of safety for you and the driver when things happen. You can use telematic data to identify problems before they become accidents.

4.

Train your drivers. Educate your drivers on safe driving practices and policies, such as avoiding distractions, impairment, speeding, or aggressive driving. You may also consider implementing a driver monitoring or incentive program to reward good behavior and discourage bad habits. Some insurers offer this training for free or at a reduced rate. Talk to your agent about this.

Commercial auto insurance is an essential part of protecting your business from the risks associated with using vehicles for work purposes. However, it can also be a significant expense that affects your bottom line.

By understanding the factors behind the rising commercial auto premiums and following some tips on how to lower them, you can manage your total cost of risk and get the best coverage for your business.

FMIC 3RD QUARTER 2023

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MISSISSIPPI

Mississippi Forestry Association

IS IN FULL-SWING HOSTING EVENT! Casey Anderson, Mississippi Forestry Association Executive Director

S

ummer is here, and Mississippi Forestry Association (MFA) is in full-swing hosting events, teaching classes, and preparing for the remainder of 2023. We have added a new hire to our staff, Jonathan Smith, who serves as our education and outreach coordinator. He is currently working part-time as he finishes his Master of Science in Wildlife, Fisheries and Aquaculture from Mississippi State University (MSU) College of Forest Resources but will begin his full-time role with the association on January 1, 2024. We are excited to have him on board and look forward to further expanding our workforce development and educational efforts across the state.

In the month of June, MFA is hosting three workshops for a total of 65 teachers across Mississippi. During these Teachers Conservation Workshops, teachers are equipped to use the Project Learning Tree environmental education curriculum in their classrooms and are taken to tour an active logging site, a sawmill, tree farms, and other industry-related businesses and locations. Allowing teachers to see parts of our industry in-person gives them a better understanding of sustainable forestry and the work that goes into producing the forest products we all use each day.

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Effective July 1, 2023, there is a new weight tolerance of 88,000 pounds on Mississippi Harvest Permits.

The owner and/or operator of a vehicle may apply to the Mississippi Department of Transportation (MDOT) for authorization to receive a Harvest Permit.

The permit will entitle the vehicle to haul sand, gravel, fill dirt, agricultural products, or unprocessed forestry products to an authorized maximum gross weight not to exceed 88,000 pounds (80,000 pounds legal weight limit + 10% tolerance = 88,000 pounds). If you have an existing Harvest Permit, it will remain effective until its expiration date. However, the 88,000 pounds tolerance will not go into effect until July 1, 2023. You can view a one-page document prepared by Mississippi forest industry partners by going to: https://www.msforestry.net/resource/resmgr/Mississippi_Harvest_Permit.pdf Also, remember that the Mid South Forestry Equipment Show will be held in Starkville, Mississippi, September 22-23, 2023. This is the longest-running, live, in-woods equipment demo in the South. Attendee and exhibitor registration are both available online at midsouthforestry.org. Earn continuing education credits, meet with vendors from across the United States, and have a great time with your family. Forestry Mutual will be at the show, so come see all of us at this fun and educational event!

In addition to your typical safety checks, make sure you and your employees remember to stay cool and well-hydrated through these hot summer months!

We appreciate the hard work by the dedicated men and women in our industry and, like Forestry Mutual, want to make sure everyone makes it home safely each day.

JONATHAN SMITH, EDUCATION AND OUTREACH COORDINATOR MISSISSIPPI FORESTRY ASSOCIATION

Expertise in Forestry Workers’ Compensation!

Forestry Mutual has been SETTING THE STANDARD in providing Workers’ Compensation Insurance for over 50 years.

You can count on these critical attributes when you let us care for your business and employees: We cover medical bills, lost wages, and return-to work assistance.

We have proven injury management programs and a loss control team of experts that give hands-on training and safety advice to control your costs and provide the best possible outcome.

The wood products industry has counted on Forestry Mutual to protect their businesses and employees so they can get back to work.

P

Check why Forestry Mutual Sets The Standard in workers’ compensation insurance.

Trust. Integrity. Honesty.

Get A Quote and learn more about Forestry Mutual and how you can become a broker agent. Scan the QR-Code Now!

Proudly Endorsed by Regional Associations!

CAROLINA LOGGERS ASSOCIATION

www.forestrymutual.com

Call Toll Free @ (800) 849-7788

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even deeper to see loggers were not represented well by other trade associations and needed to become the masters of their own destiny.

VIRGINIA

Virginia Loggers Association

COLLABORATION BUILDS ON MUTUAL SUCCESS Ron Jenkins, Executive Director, Virginia Loggers Association

Forestry Mutual Insurance and Virginia Loggers Association (fill in your favorite trade association) have and continue working together to create or achieve great safety and strong growth for loggers and wood products businesses.

You might question the idea of how a trade association and an insurance company could collaborate and create something great.

This short message will tell you exactly how it can be done.

We will lay out a scenario for your consideration to clearly and precisely show that collaboration between different types of organizations is all part of an important team effort and that collaboration builds on mutual success.

You see, it was not too many years ago, Virginia Loggers Association was a fledgling trade association created by and held together by a small band of dedicated loggers who wanted something better.

They worked long hours while putting together a trade association that would one day help all loggers.

One day in the first years of VLA's development Forestry Mutual Insurance came along and took an interest in what loggers were trying to accomplish and said this is "good." Forestry Mutual Insurance looked

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Loggers wanted to have sound, sustainable businesses that were the safest in the industry. Forestry Mutual Insurance saw the loggers' commitment and shared with VLA that they wanted to serve and be the best.

FMIC could provide great Workers' Compensation Insurance and a superior loss control program to help logging, and wood products businesses grow and build upon their achievements with a peace of mind if a disaster did occur.

Both were seeking to be great organizations with the goal of providing superior services. The collaboration began in the mid-2000s and continues today.

FMIC brought great Workers' Compensation Insurance to logging & wood products businesses. This would help them sustain during major calamities that can put companies out of business and create unimaginable pain and suffering.

Competitive industry best policies were backed with intense loss control with emphasis on details, training, and repetitive message reinforcement. Loss control agents, administrative, and management became friends with business owners, and deeper bonds were built.

Logging and forest products' companies could now work towards achieving their political and policy goals with the expansion of VLA as their Voice grew in legislative and regulatory matters. These businesses could now grow, expand, and new businesses would be created while the owners could know their deepest vulnerabilities would be protected and secured.

The two entities found that collaboration could build rapidly and securely on mutual success, and each is genuinely helping the other with important things.

A strong, undeniable trust developed and remained deeply seated within many of the business owners.

FMIC and VLA grew over the years and achieved much independent success as well as mutual success. Over time the two became mutually dependent on each other, and each achieved much growth.

Lessons from the relationship between FMIC and VLA are many, but one of the most important is how two independent and different organizations can help each to grow and build on mutual success. During the good and bad times, the power of collaboration prevails without waiver, and VLA is proud to have this in their history and legacy.

For more information about Forestry Mutual and see why we set the standard in insurance coverage.

Click or Scan the QR code now!

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course and continuing education efforts. Each year, the NCFA adds approximately 100 new members to the ProLogger program and provides continuing education to 1,500 loggers. ProLogger’s success is dependent on the strong partnership and collaboration with FMIC.

NORTH CAROLINA North Carolina Forestry Association

A HISTORY OF PARTNERSHIP Mike Powell, Director of Forestry Programs Amanda Murphy, Director of Communications North Carolina Forestry Association

The North Carolina Forestry Association’s (NCFA) partnership with Forestry Mutual Insurance Company (FMIC) began in 1971 with the inception of the NCFA’s self-insured fund. The mission at inception was to provide affordable workers compensation insurance for the forest products industry and develop safety programs to keep loggers safe and stabilize insurance rates. Over time, the self-insured fund evolved to become Forestry Mutual Insurance. While the structure of the fund has changed over time, their mission and partnership with NCFA has remained the same.

In 1994, the NCFA and FMIC teamed up with the North Carolina Department of Labor, the North Carolina State Highway Patrol, and the North Carolina Forest Service to develop the ProLogger program, which promotes business, safety, and environmental stewardship in the logging sector. The ProLogger program continues to be first in class thanks to the data-driven contributions that FMIC brings to the table each year. FMIC’s analysis of claims and current incident trends in the industry helps to guide NCFA’s development of content that is timely, relevant, and reduces accidents and logger expenses every year.

One recent example of this approach is recognizing the need for additional Truck Driver Safety, which has recently been expanded on in both the base

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In addition to FMIC’s commitment to the ProLogger program, the NCFA and FMIC are constantly looking for opportunities to work together for a common goal.

Most recently, the NCFA, along with member companies, worked with FMIC on kickstarting a Truck Driver Appreciation Day held at Jordan Lumber Company.

As drivers came into the facility, the FMIC team offered a brief safety meeting, while taking orders for a lunch provided on the outbound scales. We hope these efforts, and more in the future, shows our deep appreciation for those working this incredibly challenging job to keep our supply chain humming along.

FMIC and the NCFA maintain an extremely collaborative relationship throughout the year.

FMIC remains active on NCFA’s board of directors and the Safety, Logging, and Transportation committee, and plays a role in the successful planning and production of the biannual Mid-Atlantic Logging, Biomass, and Landworks Exposition (EXPO).

Stay tuned for more details on the next EXPO schedule for November 2024: https://www.ncforestry.org/events/mid-atlantic-expo.

OUR MISSION

To provide the forestry community with high-quality insurance that emphasizes safety, excellent customer service, and competitive pricing while advocating for our forest resources’ sound use and management.

CUSTOMER SERVICE

DRIVEN GENERAL INDUSTRY

LOGGING INDUSTRY

Truck Driver Safety Awareness Training

Annual OSHA Required Training

Classroom and/or on-site instruction

Safety Policy and Rules

Company Safety Program & Written Procedures

Lockout/Tagout Training

New Employee Training Guide Safety Policy & Rules

1 2 3 4 5

Logger Safety Workshops Logging Equipment Familiarization

Forklift Safety Training

Storm Damage & Salvage Training

Lockout/Tagout Training

On-site Chainsaw Training

On-Site Safety Meetings

Overhead Hazards Training

Supervisors Safety Training

Safety Alerts Weekly Text

Mock OSHA Inspections

FMIC Quarterly News Magazine Safety Meeting Sheets (Quarterly)

ACCIDENT INVESTIGATION

Safety Meetings On-Site Slip, Trips & Falls Training Supervisor Safety Training

CLAIMS ANALYSIS AND REVIEW WHOLESALE PRICED SAFETY EQUIPMENT SAFETY TRAINING MATERIAL AND SAFETY VIDEOS ANNUAL/QUARTERLY ON-SITE SAFETY INSPECTIONS

Fire Prevention (T.E.A.M.)

Forestry Mutual is more than an insurance company. We offer safety training and safety programs tailored to meet your specific needs.

Our experienced loss control staff delivers your customized program in a hands-on personal approach to keep you and your employees safe and promote open discussion.

FOR MORE INFORMATION ON

FORESTRY MUTUAL INSURANCE WWW.FORESTRYMUTUAL.COM

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Happy Fourth of July.

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