Motor Vehicle Records (MVR) are crucial tools in maintaining both safety and compliance within any organization that includes driving in its operations. As we drive into the significance of MVRs, discover below why they are indispensable, when to utilize them and how to effectively implement MVR checks within your organization.
What is an MVR?
An MVR isn’t just a report; it’s a comprehensive profile that offers insights into an individual’s driving history, revealing details such as license status, traffic violations, and accident reports. More importantly, this data can reveal trends in unsafe driving behavior before it impacts an organization negatively. For this reason, the MVR is a critical tool that is essential for organizations that depend on drivers or require employees to operate vehicles for business purposes.
Why Prioritize MVR?
Risk Management and Safety: Ensuring that only competent and safe drivers are behind the wheel is not just a precaution—it’s a necessity. The National Highway Traffic Safety Administration (NHTSA) supports that drivers with clean records significantly reduce the risk of accidents, promoting a safer operational environment. Studies have also shown that the risk of motor vehicle accidents increases by up to 113% when a driver has a history of moving violations or accidents on their MVR. Choosing drivers with a safe driving history lowers an organization’s risk.
Legal Compliance and Liability: The U.S. Department of Transportation highlights the legal ramifications of negligent entrustment, where organizations can be held liable if accidents occur due to employing drivers with poor records. This extends to both company-owned and personal vehicles used for business tasks.
Organizations should also consider the evolution of nuclear verdicts in the commercial auto space, which have implications in liability claims outcomes. According to the Chamber of Commerce Institute of Legal Reform, auto accidents accounted for 22.8% of nuclear verdicts between 2010 and 2019 with a mean verdict award of $33.8 million. The cost of nuclear verdict outcomes continues to rise. Additionally, the Federal Motor Carrier Safety Administration (FMCSA) outlines the scope and importance of maintaining accurate and updated MVRs to avoid compliance pitfalls and safety hazards for DOT regulated fleets.
Hiring Decisions: Integrating MVR checks into the hiring process is not just about compliance; it’s about smart hiring practices. Hiring employees who exhibit the ideals of an organization’s safety culture promotes a mutual safe workplace environment and is a factor in employee retention. According to OSHA, screening out unsafe drivers is important since they are more likely to cause problems for an organization in the future.
Optimal Timing for MVR Checks
Pre-Employment: MVR checks can help in making informed decisions and avoiding potential hires that could pose risks. Ensure prospective employees have a clean driving slate before joining your team.
Annually: The Federal Motor Carrier Safety Administration (FMCSA) also recommends regular checks to ensure continuous compliance and safety standards are met.
Continuous Monitoring: Stay ahead of potential risks with real-time updates on driving records, enhancing your response time to any new violations. A robust MVR monitoring program can decrease motor vehicle crashes by up to 14%.
Strategic Implementation of MVR Checks
Crafting Clear MVR Policies: Develop a robust MVR policy that categorizes violations and outlines criteria for evaluation, ensuring it aligns with state-specific regulations provided by the National Conference of State Legislatures (NCSL).
Actionable Grading System: Implement a grading system to classify driving records and determine suitable corrective actions, from training to potential termination, ensuring these measures are clear and enforceable. Utilize reputable services for conducting these checks, ensuring comprehensive and accurate reporting.
Integration with Employment Protocols: Seamlessly integrate the outcomes of MVR checks into both hiring processes and ongoing employment evaluations, maintaining a high standard of safety and compliance.
Looking Ahead
For detailed strategies on implementing effective risk management practices in your organization or to learn more about MVR best practices and vendor solutions, visit our Risk Management page, or contact an Agent.
The information provided in this article is for general informational purposes only and does not constitute legal advice. We recommend consulting with an employment attorney to ensure compliance with all applicable laws and to receive legal advice tailored to your specific circumstances.
