Nevada bill proposes doubling trucking liability insurance, sparking industry and legal debate.
A new bill making its way through Nevada’s legislature has stirred up strong feelings across the trucking world. Senate Bill 180, recently passed by the Nevada Senate, would raise the minimum liability insurance for large freight trucks operating within the state. The new law would double the current federal standard of $750,000 and push it up to $1.5 million over the next few years. While the bill’s supporters say it’s long overdue and needed for today’s conditions, trucking groups and insurance experts worry it could hurt small businesses and make it harder to keep trucks on the road.
Bill 180 applies only to certain types of carriers. Specifically, it targets companies that move freight within Nevada and drive vehicles that weigh more than 26,000 pounds. It does not affect long-haul, out-of-state trucking. But it does cover a large number of local operators, many of whom are already struggling with high operating costs. According to critics, this kind of increase could be the last straw for smaller companies already on thin margins. Many of these businesses operate just a few trucks and can’t easily absorb a big jump in insurance premiums.

Opponents include the Nevada Trucking Association and national insurance groups. They argue that getting coverage for $1.5 million may not be easy, especially in today’s insurance market. Mark Sektnan from the American Property Casualty Insurance Association said truckers might even need two separate policies to meet the new limit. That’s because insurance carriers are more cautious now, with large claims and expensive lawsuits becoming more common over the past twenty years. He also pointed out that serious truck crashes — the kind that go over the current $750,000 limit — are very rare. Federal data backs that up. Only a tiny fraction of crashes, around 0.06%, end up with damages that high.
Paul Enos, head of the Nevada Trucking Association, says the higher costs could push smaller companies out of business. He gave an example of a former member who shut down after a 30% spike in insurance rates. Instead of raising liability limits, he thinks the state should look at how lawsuits are handled in Nevada. The state had more than 180,000 civil cases last year, much higher than similar states like Utah or Nebraska. Enos thinks legal reform could do more to protect both businesses and the public without driving up costs.
The bill passed the state Senate by just one vote. Every Republican voted no, and two Democrats joined them. Those who voted against it said it makes Nevada an outlier. Only New Jersey has a similar rule. The other 48 states follow the old federal limit. They also questioned whether the change really improves safety. One senator said the law would mostly benefit lawyers by giving them bigger targets in lawsuits, not drivers or the general public.
Still, supporters of the bill think the state needs to move forward. They argue that the current coverage amount hasn’t been updated in over 40 years and doesn’t reflect how expensive medical care and property damage have become. Senator Edgar Flores, who introduced the bill, said that even $1.5 million doesn’t fully match inflation. He added that if a truck crash causes serious harm, $750,000 might not be enough to cover hospital bills, damage, or even protect the trucking company itself. Some unions, like Teamsters Local 631, backed the bill, saying it was a step toward fairness and protection for everyone on the road.
Bill 180 now moves to the Assembly, where it’s expected to face more debate.
Sources:
Nevada Senate approves bill to double trucking liability insurance coverage by 2030
Nevada bill to increase truck minimum insurance gets yes vote
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