Carrier Safety Rating Program
Questions & Answers
- How was the Carrier Safety Rating program developed?
- Why is the Carrier Safety Rating Program being introduced?
- How does the Carrier Safety Rating program work?
- What will the program mean to carriers?
- How will carrier safety ratings affect municipalities?
- How will ratings be assigned?
- How does a carrier get an Excellent safety rating?
- When will a carrier be rated as Satisfactory?
- What is a Satisfactory-Unaudited rating?
- When will a carrier be given a Conditional safety rating?
- When is an Unsatisfactory safety rating applied?
- What happens if a carrier's rating is downgraded (e.g. Excellent to Satisfactory, Satisfactory to Conditional)
- Can the Registrar consider the record of a related operator during the assignment of a safety rating?
- Can the Registrar consider other information during the assignment of a safety rating?
- How will an operator be notified of their assigned safety rating?
- Can an operator dispute the rating proposed by the Registrar?
- How will the public, shippers or insurance companies find a carrier's rating?
- Will an audit be mandatory for all carriers operating in Ontario?
- Can an operator request a facility audit?
- How is the Carrier Safety Rating Program being implemented?
- Where is the legal authority for the Registrar to assign Carrier Safety Ratings?
- Will all North American jurisdictions be assigning safety ratings?
- Why is Ontario rating carriers based outside of Ontario?
How was the Carrier Safety Rating program developed?
The Carrier Safety Rating program was developed through the Target '97 and Bus Safety Task Forces. These task forces included representatives from government, industry and road safety stakeholders (operators, shippers, police, safety associations and insurance) who met with a common goal of developing recommendations that contribute to improving the safety of commercial vehicles. Development of a Carrier Safety Rating National Safety Code Standard (#14) by all Canadian jurisdictions, also influenced and guided the development of the program.
Why is the Carrier Safety Rating Program being introduced?
Carrier Safety Ratings will provide information on the safety performance of carriers to shippers, insurance companies and the public and allow for more informed marketplace decisions. The introduction of this program into Ontario will also create a more level playing field for Ontario carriers, as they will now have access to safety ratings like those available to carriers in other jurisdictions. This will enhance the marketability and economic competitiveness of Ontario carriers. It is also expected that the public availability of safety ratings will encourage improved road safety, reduced collisions and fatalities.
How does the Carrier Safety Rating program work?
All operators of commercial vehicles (trucks, tractor trailers and buses) will be assessed and rated by the evaluation of safety performance information contained in their Commercial Vehicle Operator's Registration (CVOR) record and the results of available facility audits conducted at a carrier's facilities. This information will provide a clear indication of a carrier's overall safety performance, and will be available to the public, shippers, transportation industry, financial lending institutions, insurance agencies, and other jurisdictions.
What will the program mean to carriers?
Users of transportation services, such as shippers and bus passengers, will have access to a carrier's safety rating. The rating will help them to determine how safe the carrier is that they choose to do business with relative to other transportation service providers bidding on their business.
Carriers that maintain a good safety rating can develop a competitive advantage. They can use this rating as part of their marketing strategy, to build customer loyalty with existing clients, and to attract new business. They may also be able to use their rating to negotiate better rates with their insurance companies and lending institutions.
How will carrier safety ratings affect municipalities?
Municipalities will be affected by safety rating implementation in two ways. As a shipper, this will assist municipalities in selecting safe carriers. As a carrier, municipalities will be assigned a safety rating like all other carriers operating in Ontario
How will ratings be assigned?
On the basis of information contained in a carrier's Commercial Vehicle Operator's Registration (CVOR) record and available facility audit results, the Registrar will categorize carrier performance with ratings of Excellent, Satisfactory, Satisfactory-Unaudited, Conditional and Unsatisfactory.
The first step in assigning a safety rating will be to assess the carrier's on-road performance based on three separate safety indicators. These are the carrier's accident points per vehicle, safety-related convictions points per vehicle, and inspection detention points assigned per vehicle inspected. An overall violation rate that weights accidents at double the severity of the other two indicators will then be determined for each carrier operating on Ontario roadways.
How does a carrier get an Excellent safety rating?
Carriers can qualify for the highest level of safety performance and receive an Excellent safety rating by maintaining an overall violation rate not more than 10% of their overall CVOR threshold and by maintaining an accident violation rate not more than 10% of their accident threshold. To receive this rating, the carrier must also achieve at least 80% on both the driver and vehicle profiles of an approved facility audit, which has been conducted since January 1, 1999. In addition, a carrier must have operated in Ontario for at least two years to be rated Excellent.
When will a carrier be rated as Satisfactory?
Carriers who do not qualify as Excellent may receive a Satisfactory safety rating provided their facility audit score is at least 55% or better on each of the driver and vehicle profiles and they maintain a CVOR violation rate of 65% or less of their overall CVOR threshold level. In order for an audit to be assessed as part of the safety rating, it must have been completed by a qualified auditor and must have been completed after January 1, 1999.
A carrier must have operated in Ontario for at least six months to be rated Satisfactory.
What is a Satisfactory-Unaudited rating
A Satisfactory-Unaudited rating applies to those carriers who maintain an on-road CVOR rate of 65% or less of their CVOR violation threshold level, but who have not been audited. In order for an audit to be assessed as part of the safety rating, it must have been completed by a qualified auditor and must have been completed after January 1, 1999.
When will a carrier be given a Conditional safety rating?
A carrier will be proposed to receive a Conditional safety rating for a minimum of six months in any of the following circumstances:
- if the carrier's CVOR violation rate exceeds 65% of their overall threshold level;
- if the carrier does not achieve at least 55% in each of the driver and vehicles profiles of a facility audit (i.e. fails the audit-only for audits conducted after June 1, 1999);
- upon appealing a proposed sanction (Unsatisfactory safety rating)
- upon reinstatement of a suspended CVOR certificate (i.e. following an Unsatisfactory safety rating).
When is an Unsatisfactory safety rating applied?
An Unsatisfactory safety rating may be proposed for any carrier whose CVOR points (violation rate) exceeds their allowable threshold, and could result in a suspension or cancellation of their operating privileges for a period defined by the Registrar. The Unsatisfactory safety rating is effective for the period of the suspension or cancellation. When a carrier's operating privileges are reinstated, they will be rated Conditional for a minimum of 6 months, unless their subsequent safety performance results in a further sanction and rating downgrade. If the carrier appeals the sanction, the carrier will receive a Conditional safety rating until the appeal decision is rendered, again, unless their subsequent safety performance results in a further sanction and rating downgrade.
What happens if a carrier's rating is downgraded (e.g. Excellent to Satisfactory, Satisfactory to Conditional)
If a carrier's rating is downgraded due to an increase in their violation points or a failed audit, the carrier will stay at the lower rating for a minimum of 6 months unless their safety record or audit results in a further rating downgrade. This 6-month period allows a carrier time to consider the safety issues which resulted in the rating downgrade and make improvements to move back up into a higher rating by sufficiently reducing their violation rate.
Can the Registrar consider the record of a related operator during the assignment of a safety rating?
In assigning a safety rating the Registrar may consider the safety record of a person or company related to the operator. This includes business relationships where the Registrar believes that the safety of one operator is closely tied to those of another operator. This discretion is similar to that which the Registrar may apply in sanctioning or issuing CVOR certificates, where an operator's operating privileges may be suspended or cancelled or an application for CVOR denied if they are closely connected to a operator who has been found to have operated with poor safety performance. In both these cases the intent is to prevent a operator with a poor safety record from simply moving their operation from one CVOR to another to avoid a potential sanction and/or downgraded safety rating.
Can the Registrar consider other information during the assignment of a safety rating?
The Registrar may also consider out-of-province information, such as Level 1 CVSA inspection reports, accidents, convictions, audits, or any other information as defined in Regulation 424/97.
How will an operator be notified of their assigned safety rating?
When the Registrar proposes to assign a rating for the first time, or to change an operator's existing safety rating, the operator will be notified by mail. The rating letter will tell the operator what their proposed rating is and when it will come into effect.
Can an operator dispute the rating proposed by the Registrar?
Upon receipt of the Registrar's letter proposing the assignment of a safety rating, the operator has 30 days to submit documentation or make a written submission as to why the rating should not be assigned. Following consideration of any written submission, the Registrar will assign an appropriate rating to the operator. The decision of the Registrar in disputes is final and binding, with no further opportunities to appeal the proposed safety rating.
How will the public, shippers or insurance companies find a carrier's rating?
Ratings will appear on Public (Level 1) and Carrier (Level 2) CVOR Abstracts, which can be purchased for a fee of $5.00 from any ministry Drivers and Vehicles Office. Public Abstracts (Level 1) are also available at licensing kiosks across the province.
MTO is also investigating other ways to communicate safety rating information, such a through telephone or web site enquiries.
Will an audit be mandatory for all carriers operating in Ontario?
Ontario originally proposed to conduct mandatory facility audits every three years for all carriers that operate in Ontario. However, in the interest of achieving national uniformity, Ontario has redefined the circumstances under which a facility audit may be conducted.
Facility audits may be undertaken for a variety of reasons including:
- an carrier's CVOR record reaches the level of a "Conditional" safety rating;
- an carrier's collision record surpasses a pre-determined threshold;
- an carrier is involved in a high profile highway safety-related incident, such as a collision, criminal driving offence, commercial vehicle impoundment or wheel separation;
- an carrier has had little exposure to enforcement;
- requests received from other jurisdictions to perform audits on their behalf;
- in response to a significant safety- related complaint.
Can an operator request a facility audit?
As of August 1, 1999, an operator may request a facility audit to secure a "Satisfactory" or "Excellent" safety rating. However, audits will be done on a first come, first served basis, and all audits will be official ministry enforcement audits or ministry compatible audits conducted by other jurisdictions. If violations are detected during an audit, charges may be laid as per the usual process. A requested audit cannot exempt a carrier from non-compliance with the safety legislation.
Before requesting a facility audit from the ministry, an operator may wish to conduct a self-audit of their carrier operations using MTO's new self audit manual, entitled Your Guide to MTO's Facility Audit. This manual provides all the information needed for a carrier to collect the necessary information, analyse their driver and vehicle profiles, and reach a final audit score. A self-audit may also identify problem areas that should be corrected before a ministry sanctioned enforcement audit is initiated.
The self-audit manual is available upon request by faxing a contact name, company name and address to 905-704-2525
How is the Carrier Safety Rating Program being implemented?
The Carrier Safety Rating Program is being implemented according to the following schedule:
- January 1999 to April 1999 (and ongoing) - The Carrier Safety Rating Program has been explained to industry as part of an education and awareness period.
- June 1999 to September 1999 - The Ministry of Transportation began to assign safety ratings to the most non-compliant carriers on the basis of their CVOR safety record.
- September 1999 - A new, automated CVOR system was introduced to assist the Registrar of Motor Vehicles in assigning safety ratings to carriers. The focus will be on the assignment of "Conditional" ratings. Carriers may also volunteer for a facility audit to secure a "Satisfactory" or "Excellent" safety rating.
- December 1999 - MTO will begin the assignment of "Satisfactory-Unaudited" ratings to operators with acceptable performance based on the new CVOR system, but no facility audit.
Where is the legal authority for the Registrar to assign Carrier Safety Ratings?
The implementation and assignment of Carrier Safety Ratings is allowed under section 17 of the Highway Traffic Act and recent changes to Regulation 424/97 made through amendments contained in Regulation 197/99. Public guidelines are currently being developed by the ministry to accompany this regulation.
Will all North American jurisdictions be assigning safety ratings?
Yes. Ratings have been assigned to carriers in the United States for many years. Other Canadian jurisdictions are implementing their respective safety rating programs consistent with the National Safety Code Standard 14 (Safety Rating). Pending full national implementation, Ontario will assign ratings to every carrier operating within its provincial boundaries. This will ensure a level playing field for safe provincial and out of province carriers and equal treatment of carriers with poorer safety records while operating in Ontario irrespective of the carrier's base jurisdiction.
Why is Ontario rating carriers based outside of Ontario?
Ontario views this measure as necessary in the interim to ensure all carriers travelling in Ontario are treated equally. Ontario will consider discontinuing this practice when full harmonization with other jurisdictions is achieved.
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