What Type of Coverage Do Commercial Truck Drivers Need?
You'll need commercial truck insurance to protect your investment and limit liability after an accident.
16:25 30 November 2022
Hauling cargo is a rewarding and exciting yet risky venture. Whether you're a fleet owner, an independent driver, or the owner of a delivery service, you'll need commercial truck insurance to protect your investment and limit liability after an accident. Here, we will discuss different types of trucking insurance and provide the information drivers and owners need to make informed decisions.
Why is Truck Insurance Necessary?
If a truck is used for business purposes, it needs coverage from the top rated provider in the state. You'll need commercial truck insurance if the company:
- Uses the vehicle to provide services
- Transports goods or people for pay
- Tows equipment
- Employs professional drivers
Commercial truck insurance isn't just for companies that rent vehicles or carry cargo. All types of businesses—including caterers, landscapers, handymen, trash collectors, and manufacturers—need this valuable and protective coverage.
Jobs Requiring Commercial Insurance Policies
While most of us know that bus and truck drivers need commercial coverage, other occupational requirements come as a surprise. In today's gig economy, more people are using their personal vehicles to make money—which has created a gray area as far as insurance coverage is concerned. If you're a rideshare or food delivery driver, for instance, you may need commercial vehicle insurance.
Different Types of Commercial Truck Insurance
Commercial vehicle insurance providers offer several kinds of coverage based on a company's size, the type and number of vehicles it uses, and the cargo it carries. Below, we'll outline the most common insurance types required in the commercial trucking industry.
- Primary liability coverage. This type of commercial vehicle insurance covers property damage and bodily injury caused while a truck is in transit. The US government requires this kind of insurance before a truck is leased or used for commercial purposes.
- General liability. This state-mandated insurance coverage protects companies from events occurring off-road. General liability insurance covers events such as loading mistakes, slip-and-fall injuries, and more.
- Non-trucking coverage. Sometimes referred to as bobtail insurance, this type of coverage kicks in when a truck is used for non-business purposes during downtime.
- Physical damage coverage. This type of insurance covers repairs made due to natural disasters, collisions, vandalism, and theft. If a vehicle cannot be repaired, physical damage insurance may also cover its replacement cost.
- Truck cargo. This type of insurance offers coverage for transported goods, including losses related to fires and collisions. For instance, if a truck is stuck in traffic or in a flood, this insurance protects the cargo within.
This list is by no means comprehensive, as there are other policy additions business owners can use to protect their investments. Trailer interchange, refrigerator breakdown, rental reimbursement, and medical payments coverage are all available at varying costs. If you'd like more information on these types of insurance or need personalized coverage, talk to one of our agents today.
Come to Us for the Area's Most Reliable Commercial Truck Coverage
When owners and managers buy commercial vehicle insurance from trusted providers, they protect their investments, inventory, and workforce. We offer affordable policy options for all scenarios, including cargo coverage, non-trucking liability insurance, and general liability. Our dedicated team can help with state and federal insurance filings and claims. To learn about our commercial truck insurance products, get in touch with one of our licensed agents today.