Rep. Chuy Garcia, D-Ill., announced plans late last year to retire from Congress. However, that hasn’t stopped Garcia from resurrecting a bill to increase trucking companies’ minimum liability insurance by a whopping 566%.

On April 9, Garcia and Rep. Derek Tran, D-Calif., introduced the Fair Compensation for Truck Crash Victims Act. HR8218 would force motor carriers to carry at least $5 million in liability insurance. The current minimum is $750,000.

Garcia has attempted to force a gargantuan hike in the minimum insurance amount multiple times during his tenure in Congress. Proponents of the bill point out that the minimum insurance requirement hasn’t increased since 1980. Opponents contend that $750,000 is sufficient in 99% of cases and that the huge hike would devastate small trucking businesses.

Supporters

The Truck Safety Coalition, Road Safe America and several other truck safety groups support the bill.

“It is unacceptable that outdated minimum insurance requirements continue to leave victims without the support they need to cover medical care and losses,” Garcia said in a news release. “The Fair Compensation for Truck Crash Victims Act would help address this by ensuring trucking companies carry adequate insurance to cover the high costs of the devastating accidents their trucks can cause.”

Opponents

The Owner-Operator Independent Drivers Association opposes efforts to increase the minimum and has worked to prevent the passage of Garcia’s previous bills.

“This increase would cause insurance premiums to skyrocket and would be absolutely devastating for small businesses,” OOIDA Executive Vice President Lewie Pugh wrote in 2024. “It’s unlikely that small carriers could afford this increase, and many would be forced out of business. As a way to afford this increase, some truckers may cut back on maintenance and repair costs, which jeopardizes the safety of their operations.”

Rep. Mike Collins, R-Ga., agreed that a huge increase would destroy many small trucking businesses.

“They’re not even valued at $5 million,” Collins said. “There’s no way that 98% of trucking companies can afford a $5 million policy … If you were to implement that law and create a $5 million minimum liability insurance, you are going to destroy the trucking industry.”

Garcia also introduced the Fair Compensation for Truck Crash Victims Act in 2024. Under a previous name, the Insurance Act, Garcia attempted to increase the minimum amount to $4.9 million in 2019 and to $5 million in 2021. None of the standalone bills came close to passing the House. LL