We recently blogged on the Arrow Trucking situation as it related to warrants being issued by a Cleveland County judge on members of the now defunct companies executives. The warrants were issued after Arrow Trucking failed to appear for a hearing regarding their failure to pay on a civil judgment from a trucking accident. While that issue seems to be ongoing news now comes that the company has filed for Chapter 7 bankruptcy in the Northern District of Oklahoma. Those involved in civil litigation from a trucking accident against Arrow Transportation may be fearful that this could affect their ability to collect compensation for the injuries they have suffered. They may or may not be correct.
Typically many large carriers are self insured. In a nutshell, self insurance is where money is set aside using actuarial and insurance information and the law of large numbers so that the amount set aside (similar to an insurance premium) is enough to cover the future uncertain loss. Many large trucking companies carry this type of insurance then have another policy that kicks in cases where the injuries are catastrophic and pose a risk for a loss at a certain number. However, other carriers still carry liability insurance that covers a loss similar to what you would be familiar with in a typical personal auto insurance policy.
When the lawyers at McIntyre Law receive a claim against a motor-carrier one of the first actions we take is to access the Federal Motor Carrier Safety Administration’s website which can allow us to ascertain general information about the at-fault trucking company. It is our hope that Arrow Trucking has sufficient insurance and/or assets to satisfy those who have needlessly been harmed in a trucking collision.
Another complicating issue is for those employees of Arrow Trucking who have workers compensation claims against the now defunct company. Once again, Oklahoma requires companies to carry workers compensation insurance. Accordingly, as long as Arrow Trucking was complying with Oklahoma law there should be applicable coverage. At McIntyre Law we are actively investigating those workers compensation claims for injured employees.