The Different Types of Commercial Trucking Insurance

Whether you’re an employee or the owner, the demand for goods and services is always high. This means your business relies on moving products from one place to another.

These moves include navigating through heavy traffic, unpredictable weather, and busy ports. But did you know that there are around 388,000 truck accidents each year?

Without the right commercial trucking insurance, your company could lose a lot. Keep everything protected with the different types of insurance available. Find out what suits you best with this guide.

Primary Liability Insurance

Primary liability insurance is the most basic and essential form of trucker insurance. It covers bodily injury and property damage caused by a truck operator’s negligence while operating a commercial vehicle.

It also typically covers judgments against the operator and their company in the event of an accident. This type of insurance is required by all states that regulate commercial trucking and by the federal government.

Cargo Insurance

Cargo insurance helps protect the company and the driver from any damages or losses related to the cargo they are transporting. Cargo insurance covers a variety of items. This includes any loss of cargo due to theft, fire, or weather.

It reimburses the business for the full value of the cargo if anything should happen. Cargo insurance also covers any legal expenses associated with any lawsuits that may occur due to the transport of the cargo. It also helps in protecting the driver from colliding with other vehicles while on the road. 

Physical Damage Insurance

Physical Damage Insurance covers payouts for vehicle repairs (or replacements) due to collisions, theft, and fire. It also covers damages due to natural disasters. Towing and storage are also included in trailers or reefer breakdown coverage.

Coverage limits and deductibles can vary depending on the policy and driving history. Even if an accident is not the fault of the insured, this insurance still covers the costs of repairs.

It even covers the complete replacement of some components. This often includes brakes, transmissions, radiators, and tires. This type of commercial truck insurance may also protect the insured in the event of a lawsuit brought by another injured party.

Bobtail Insurance

Bobtail insurance provides coverage on a truck when it is not under dispatch or hauling a trailer while still being used for business purposes. An example of this is when traveling to the next job.

Bobtail insurance covers incidents such as collision, property damage, and on-the-job injuries for the owner-operator and their employees. It can also provide insurance coverage for leased drivers.

Bobtail insurance also gives operators emergency road services within certain limits. It also covers damage to uninsured motorists while on the road without a trailer. Without this coverage, repairs and medical bills after an accident can put a trucking company out of business. 

Protect Your Business With These Commercial Trucking Insurance Options

Commercial trucking insurance is an invaluable asset for any trucking business. There are many types of coverage available, from physical damage to liability.

Each type of insurance provides different coverage and benefits. It is important to carefully consider your needs before purchasing any policy.

It is important for truckers to do research and speak with insurance agents to find the right plan for their trucking company. Start searching for the right coverage today for the best protection possible.

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