Veteran tower Jared Innis pulls back the curtain on the economic realities of the towing industry in this eye-opening conversation about survival in a challenging business landscape. With 31 years of experience and as president of the Missouri Tow Truck Association, Ennis offers a frank assessment of the issues threatening towing companies across America.
The financial mathematics of towing simply don't add up for many operators. When insurance companies cap towing reimbursements at $5,000 while actual recovery costs for major truck accidents often exceed $50,000, who absorbs that difference? Innis reveals a startling statistic: between 30-40% of towed commercial vehicles are never reclaimed, leaving towing companies holding worthless damaged equipment after providing essential public safety services.
"We're seeing they have cargo only and liability on the truck and trailer, and we're getting trashed trucks and trailers," Innis explains. "It's become more of a challenge because you're getting paid for basically a third of the bill and getting stuck with junk."
The conversation shifts to the legislative battles being fought in Missouri, where proposed regulations threaten to create a towing recovery review committee with just one tower among seven members who would have authority over billing disputes. Even more concerning, a provision would allow customers who dispute a bill to retrieve their vehicle without payment, effectively eliminating the tower's ability to secure compensation for services rendered.
Locally, Kansas City faces its own crisis following allegations of "predatory towing" that have prompted reactionary ordinances. Jackson County's proposed regulations would charge towing companies $1,000 plus $250 per truck for licensing—ten times what surrounding counties charge—while implementing a punishment structure where a single violation by one driver could potentially shut down an entire company.
Whether you're in the towing industry or simply rely on these essential services, this conversation offers valuable perspective on the challenges facing the businesses we count on to keep our roadways clear and safe. For more information about the Missouri Towing Association, visit motowtrruck.com.
