Driver File Compliance: Why It Matters and How to Achieve It

By Jared Fritts & Nick Martin

Recently, a commercial driver was rear-ended by another motorist. When the attorneys investigating the crash requested the carrier’s DOT Driver Qualification File (DQ File) for the commercial driver, they found significant violations. For one, the driver was not medically qualified as their medical certificate had expired. In addition, the carrier did not have a system in place to ensure medical certificates were maintained accordingly. They also discovered that the carrier had not obtained and reviewed their drivers motor vehicle record (MVR) within the last 12 months as required by DOT regulations.

Though the driver had a good driving history, the company failed to keep a compliant DQ File. As a result of this oversight, the motor carrier faced monetary and reputational consequences, and risked being held liable for the accident damages even though the driver was not at fault.

All of this could have been avoided with a compliant driver qualification file.

Virtually all commercial carriers are vulnerable to this scenario without proper DQ file management — and it can cost you greatly. To avoid DOT violations, ensure that each driver qualification file is complete and each driver is qualified according to DOT regulations. It is vital to keep and maintain Driver Qualification files in compliance.

Here are common driver file violations to avoid.

1. Failing to keep a file for each driver

Each motor carrier must create and maintain a Driver Qualification File for each driver who operates a commercial motor vehicle (CMV). This file must include all required elements, such as the driver application, a copy of the motor vehicle record and certification of violations, just to name a few.

2. Not documenting previous employment verification

One of the most common violations is the failure to document previous work history. When completing a DOT driver application, applicants must disclose all jobs they’ve held in the past three years and all DOT jobs they’ve held in the seven years prior to that. Federal regulations also require carriers to show they have made a ‘good faith effort’ to verify the applicant’s previous employment for the past three years.

Failure to document previous employment verification is a DOT violation. Documenting these good faith efforts helps to maintain compliance even if the carrier received no reply from the previous employer.

3. Not keeping documents for the required time period

Each document type has a different retention period. Carriers must keep some documents for a year, while others, like the Medical Examination Report and Medical Examiner’s Certificate, have a retention period of three years from the date of execution. Some documents must be retained for as long as your driver is employed with you and three years after termination. Staying compliant with DOT regulations requires your business to be informed on the different types of driver documents and their retention timeframe requirements. File retention timelines can be found here: Driver Qualification Checklist (dot.gov).

4. Failing to keep inquiries into driving record

Carriers must investigate prospective drivers’ performance history with previous employers from the past three years. These efforts must be documented and that documentation must be retained in the driver’s file. This history should include driver identification and employment verification and details on any accidents and violations of alcohol or controlled substance prohibitions.

Additionally, the carrier must run a Motor Vehicle Report in each state where the driver held a permit or commercial driver’s license within the last three years and closely review them annually to ensure that drivers have had no disqualifying offenses. A copy of a previous employment form can be found here: Safety Performance History Records Request (dot.gov).

5. Overlooking medical certificate requirements

Commercial vehicle drivers are subject to mandatory medical exams under federal regulations. They may only operate a CMV if they pass these exams and receive a medical examiner’s certificate. Carriers must retain this certificate in each driver’s file and update it prior to the expiration date.

6. Keeping non-DOT required items in a driver’s file

Some carriers make the mistake of incorporating non-DOT required items into driver files. However, DOT Driver Qualification Files should only contain items that the DOT requires. Doing otherwise creates clutter and confusion and can make compliance more challenging.

Consequences of driver file violations

Carriers that don’t comply with DOT driver file regulations can face the following consequences:

Fines. Failing to have a driver’s employment application on file can result in a maximum fine of $13,885. Failing to perform a Safety Performance History on drivers and failing to obtain/review a driver’s motor vehicle report annually both have a maximum fine of $16,864.
Lost business. The Department of Transportation (DOT) can downgrade your safety rating for non-compliance with regulations, including driver qualification file regulations. Customers and potential clients can and often do review a carrier’s safety rating as it is public information. Anything less than satisfactory can put your company at risk of losing business.
Internal safety culture degradation. Not performing DOT employment verifications or having a basic understanding of the DOT regulations and required documents can jeopardize your organization’s safety culture.
Potential shutdown. If the DOT finds particularly egregious issues during an audit, such as hours of service or equipment record violations, it can downgrade or revoke your DOT authority.

It’s never too late to get compliant

The DOT can review all of your records during an audit. So, ask yourself: If they did, what would they find? If you’re not sure it could be a good time to audit the files to bring them into compliance.

IAT Insurance Group has DQ file folders available to our insureds. The front cover provides a QR code to our Loss Control website and a direct link to DOT regulations guidance. Additionally, the inside cover provides a DQ checklist to help maintain your driver files in compliance with DOT regulations.

ASK A LOSS CONTROL REPRESENTATIVE

Need DQ files or have a question on how to mitigate risk? Email losscontroldirect@iatinsurance.com for assistance.