Types of Commercial Truck Insurance

Types of Commercial Truck Insurance


Types of Commercial Truck Insurance

For motor carriers and large commercial trucking firms, trucks and trailers play a huge role in business success. If you’re an owner-operator, you go to great lengths to keep your truck in top condition. One of the most important things you can do to safeguard your livelihood is to choose the right type of commercial truck insurance. Having insurance helps your business in several ways:

  • Protects your reputation
  • Protects your company from liability
  • Fulfills state and federal requirements
  • Allows you to take care of repairs quickly
  • Puts your customers at ease

Business customers expect to work with professional trucking companies that are fully insured. Here are some of the most important kinds of fleet insurances available.

Essential Types of Commercial Truck Insurance

Commercial Auto Liability

This is a basic auto insurance policy that’s a must for company vehicles, including delivery vans and corporate automobiles. It covers liability for injuries and damage to property that happen if you or your drivers are at fault in an accident. Without this, vehicles usually can’t legally be on the road.

Non-Trucking Liability Insurance

Owner-operators aren’t working 24/7. There are times when you need to rest at home or take care of personal business. That’s why non-trucking liability insurance is valuable. It covers your truck when you’re operating it off dispatch. This coverage is only valid if you are under lease to another motor carrier and they are covering you under their primary Commercial Auto Liability

Motor Truck Insurance

There are two main types of insurance that motor carriers need: motor truck general liability insurance and cargo insurance. General liability insurance offers valuable coverage in many non-driving situations:

  • Incorrect deliveries of perishable products
  • Damage during loading and off-loading caused by driver
  • Accidents or falls on your business property

While other types of commercial vehicle insurance are designed for your truck, this type of insurance is more related to drivers and their actions.

Cargo Insurance

Motor truck cargo insurance focuses on the cargo you carry in your truck. If products are damaged during transport, you’re not liable for cargo loss. This includes damage caused to perishable items if refrigeration equipment stops working as well as property loss from vehicle accidents.

Collision Insurance

This type of insurance protects your truck if it collides with objects. For example, if icy roads make you hit a tree or stop sign, collision insurance protects you. If you accidentally run into a building while backing up, you’re covered.

Comprehensive Insurance

What if your truck gets stolen or damaged indirectly, perhaps while drivers are sleeping? That’s where comprehensive insurance comes into play. Business owners use this to avoid suffering economic harm from truck damage. Comprehensive insurance also covers damage to truck windshields, which can otherwise be costly to replace.

Trailer Interchange Insurance

It’s not unusual for motor carriers to haul trailers that belong to the customer or a third party. You may use your tractor to tow everything from heavy machinery to corn. When you don’t own a trailer, it’s not covered by your truck’s insurance policy. Trailer interchange insurance protects you from liability in case the trailer has problems with fire, theft, collisions or explosions that you are liable for. Most trailer interchange policies require that you have a trailer interchange agreement with the owner of the trailer.

Find the Right Commercial Trucking Insurance for Your Business

There are many different types of insurance for business owners. The insurance you need depends on the size and focus of your business and whether you hire other drivers or work for yourself. For example, towing companies need specialized on-hook towing insurance and garage keepers’ legal liability insurance. This protects damage to towed vehicles on the road and in the shop.

The best commercial trucking insurance options are custom packages designed specifically for your needs. That way, you’re always covered when you need it most, and you save money by choosing what works best for you. To find out more about specific insurance types, contact us at American Insurance Brokers right away.

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