The impact of new entrants and the new entrant program on motor carrier safety performance

Due to the importance of the recent Federal Motor Carrier Safety Administration requirement that all motor carriers participate in the New Entrant Safety Assurance Program (NESAP), the purpose of this study is to examine the relationship of the NESAP to motor carrier safety performance. Our study finds that carriers who entered the industry before the NESAP program (e.g., more experienced carriers) have significantly better safety performance in comparison to new entrant carriers. We also demonstrate that new entrants who successfully complete the requirements of the NESAP have significantly better safety performance than new entrants who fail to complete the program successfully. The implications of the study are also discussed.