Supporting heavy vehicle industry’s evolving norm

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Amid a stabilising commercial motor insurance market, NTI is helping Australia’s heavy transport sector adjust after years of severe disruption

IN 2022, spotting a half-million-dollar truck outside of a farm or at a dock was a rare occurrence. But these days, many regular freight routes are a veritable convoy of pricey workhorses. “Over the past two years, NTI has seen the number of prime movers we insure that are worth more than $500,000 increase sevenfold,” says Brett Paterson, the company’s product manager for fleet. “Not long ago, these items were few and far between, primarily being found in remote mining locations being used to tow multi-trailer road trains. These high-valued units are now considerably

The vehicles, vessels and equipment NTI’s customers rely on have become safer, faster and cleaner. The cargoes they carry are now more delicate and time-sensitive than ever before. With over 50 years’ experience in the insurance industry, NTI has always been successful in finding new ways to keep its customers moving, across the heavy vehicle, mobile plant and equipment, and marine industries. Its combination of tailored products, experienced people, accredited repair and recovery networks and industry advocacy has seen NTI ranked as Australia’s #1 specialist insurer. Yet insurance is just a piece of paper, a promise. It’s not until you really need an insurer that you understand its point of difference – the NTI Difference.

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change in Used truck prices since pre-COVID

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“Over the past two years, NTI has seen the number of prime movers we insure that are worth more than $500,000 increase sevenfold”

Brett Paterson, NTI

more common and can be seen driving down your nearest highway doing B-double work.” This dramatic shift could leave a lesser insurance provider scrambling. But as Australia’s largest and longest-standing specialist in commercial motor insurance, NTI hasn’t just kept pace with change – it’s shaped the response. From deep industry ties and unmatched repair capabilities to rapid claims turnarounds and real-time tech insights, NTI’s scale and speed make it the go-to partner for transport operators. With industry awards and data-driven safety programs under its belt, NTI remains firmly in the driver’s seat regardless of the conditions, setting the benchmark for resilience in the industry. Paterson takes a deep dive into the dynamics of the above example, explaining that when production lines closed early in the pandemic, new vehicle manufacturing halted completely. Simultaneously, government infrastructure projects continued to be planned, creating a perfect storm for price escalation once restrictions eased. “When COVID initially hit, we saw production lines close with no new vehicles being built,” Paterson says. “To exacerbate the problem, whilst lockdowns were enforced, many – if not all – state governments continued to plan infrastructure projects with an aim to use these as a catalyst, in part, to kick-start the economy once COVID was behind us.” The resulting supply-demand imbalance hit at exactly the wrong time for the transport industry. Australia found itself at the back of the queue for new vehicles as manufacturers prioritised their domestic markets. This squeeze on supply drove prices skyward for both new vehicles and the parts needed to maintain existing fleets.

Beyond the inflation story, a trend has emerged in the form of increasingly severe insurance claims across the heavy transport sector. “We have seen a rise in volatility,” says Paterson. The national driver shortage is thought to be a significant contributor to this trend. The combination of Australia’s ageing driver population and reduced immigration during the pandemic created substantial workforce challenges just as demand for transport services surged. A survey from the International Road Transport Union showed that there were more than 26,000 unfilled driver positions in 2024, with close to half (47%) of all drivers now over 55 years old. The knock-on effects are widespread. “There is also the consideration that these driver shortages then place additional pressures on existing drivers. Although we have seen several large claims that we can attribute to driver inexperience, conversely, we also saw a number of losses that occurred where long-term experienced drivers have been involved in serious accidents.” The dynamics make commercial motor an outlier in terms of claims.

NTI understands that to remain the leader in commercial heavy transport insurance, a deep knowledge of the issues is crucial. The company actively embeds itself in the industry’s education and technological frontiers to bridge practical experience with cutting-edge insights, positioning itself as a critical partner in improving driving safety and efficiency. One example of NTI’s commitment to industry education is through targeted initiatives like the ‘Spilt Milk’ safety program. When claims data highlighted an alarming trend of dairy tanker rollovers, Paterson says the NTI team took action.

“Australia has around 5,700 dairy farms, producing some $4.3 billion in revenue and exporting some $621 million of milk annually. Dairy tankers are nearly two and a half times more likely to roll over than other combinations,” says Paterson. “When we saw these figures, we knew something had to be done.” The program, developed in consultation with industry practitioners and supported by federal government funding, created targeted training and education materials. By closing critical knowledge gaps, NTI demonstrated how data-driven insights could translate directly to improved safety outcomes.

NTI consistently goes the extra mile in its approach to learning about technology. That was clear at the Knorr-Bremse Smart Braking and Technology event in Shepparton, where Paterson experienced first-hand the potential of advanced safety technologies. “The standout was [spending] some time in the cab of a prime mover/articulated trailer combo on the skidpan,” Paterson recalls. The demonstration highlighted the critical difference electronic braking systems can make in preventing potential accidents. During the test, a prime mover and trailer combination was driven at 70km per hour and thrown into a sharp turn. With the electronic braking system off, the trailer’s wheels were unpredictable. “You didn’t know it was happening until it was too late,” Paterson explains. But when the system was activated, the difference was remarkable, he says. The braking signal travelled electronically in milliseconds, keeping the wheels firmly on the ground. The most compelling aspect? This life-saving technology is remarkably accessible. “At just a few thousand dollars to install per combination, it’s accessible to almost all operators,” Paterson says. NTI’s efforts have not gone unnoticed. In December, it received the 2024 Safety Innovation Award at the Heavy Vehicle Industry Australia National Awards Gala – a testament to its genuine commitment to advancing industry standards. By engaging directly with technological demonstrations, analysing claims data and creating targeted educational programs, NTI has established itself as a proactive partner in shaping a safer, more efficient transport sector.

As Australia’s transport sector adjusts to its new normal, the combination of stabilising costs, advancing technology and evolving risk management approaches suggests a path towards greater resilience.

a fleet of moving trucks lined up at dawn, ready for the day's work

Unexpected claims shift

Journey to widespread technology adoption

Published 28 Apr 2025

“In all likelihood, we will never get back to where we were pre-COVID – and that’s OK. It’s about finding the ‘new normal’, determining how we respond to it and supporting industry”

Brett Paterson, NTI

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Source: Datium Insights Monthly Used Truck & Equipment data

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Technology transfer in action

While these technological solutions show great promise, their widespread adoption is still aspirational. Regardless, Paterson remains optimistic that, over time, uptake will grow and there will be a change in safety outcomes, especially given the increase in options available in market. “We’re seeing new entrants with new offerings entering the market consistently,” he says. “While this technology is relatively accessible, we know it’s an investment that needs time and consideration.” Despite some barriers, the business case for technology adoption continues to strengthen as insurance providers recognise its value in risk reduction. “NTI views the usage of this technology as a fantastic risk-mitigation tool,” Paterson says. “We can show that the application of this technology can improve a client’s claims profile.” A key payoff is in how downtime can be minimised for transport businesses – a critical factor in an industry where time truly equals money. “NTI’s most recent independent audit found, on average, NTI gets our clients’ vehicles back on the road nine days faster than our competitors,” Paterson says. “Consider the fact that every day a vehicle is off the road is costing a business money and then think about how many claims per year that operator is having. Being nine days quicker than our competitors means that insuring with NTI can equate to less downtime.” This speed advantage comes partly from NTI’s established repairer network and parts procurement systems, which help streamline the repair process in ways that benefit transport operators directly.

Disclaimer: This article contains general information only and you should obtain your own professional advice based on your personal and business circumstances. When making decisions about our insurance, consider the PDS and TMD at https://www.nti.com.au/. NTI bears no responsibility, and shall not be held liable, for any loss, damage or injury arising directly or indirectly from your use of or reliance on the information in this article.

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