Few businesses are as regulated and differentiated as widely as commercial trucking, and because of this the commercial trucking insurance industry is just about as diverse. Coverage depends on the needs of the motor carrier, their employees, and the independent owner/operators they contract for their work.
The following is a list of some the typical insurance coverage in the commercial truck insurance industry and a little bit more about why they exist and who they’re designed for.
Learning basic commercial truck insurance policies can give you more of an opportunity to save money and gain better coverage with your agent.
Primary Liability
Primary liability is required coverage by law. It represents the dollar amount the insurer will pay out in the case that bodily injury or property damage is inflicted by a commercial truck during an accident.
Comprehensive Coverage
This coverage is not required by law so it’s often avoided by short-sighted industry members. Comprehensive covers damage to drivers’ trucks or property should any occur from an accident, vandalism, and theft—so it’s one of the most important coverage types you can carry.
Bobtail Insurance
This is a policy that’s held by many independent owner/operators which covers them when they are not on the job, and therefore not covered by an employer’s insurance policy. It’s also called deadhead insurance or non-trucking liability.
General Freight
The list of specific cargo insurance policies could go on for pages and pages—many state laws specify coverage amounts necessary for commonly hauled goods such as hazardous materials, chemicals or fuel. A good general freight policy is an affordable option for many motor carriers who typically haul regular non-hazardous goods. Coverage amounts typically vary between the ,000 to 0,000 range.
Trailer Interchange
It’s a common practice in the commercial trucking world to continue hauls for other trucking companies…these agreements are usually mutually beneficial between companies because they save on fuel, labor etc. Trailer interchange covers your partnered company’s assets when under your control.