If you are shopping for truck insurance, then you may be aware that a CAB report affects your premiums. If you are like most people, however, you are probably not sure what CAB is or how it works. Here is a little background on this agency to help you understand its effect on your business.

What Is CAB?

CAB is short for the Central Analysis Bureau. This small, New Jersey-based agency, which only employs approximately 30 people, has been in the business of collecting and selling information about vehicles for the past 75 years. For example, from just a vehicle identification number, CAB can tell you a vehicle’s life story, including the following:

  • Place of manufacture
  • Previous owners
  • Crash history
  • Violation history

How Does a CAB Report Affect Insurance?

Insurance carriers use CAB reports to estimate risk and calculate premiums. Many agencies use these reports more than they do the client’s actual driving record or vehicle history, and some will deny coverage based on a CAB report alone.

Let the knowledge that CAB is out there, monitoring your fleet, help you be more vigilant in self-inspection. Doing things like checking your taillights, performing routine inspections, and monitoring your drivers’ hours can keep CAB reports working for you and not against you.