If you own a business that relies on transporting goods to clients, you need insurance designed for the transportation industry. No matter the size of your fleet, your transportation insurance policy is there to ensure that all your goods, trucks, and employees are taken care of in the event an accident occurs.
Companies offering commercial transportation insurance combine collision, liability, and comprehensive coverage like personal auto insurance. Notably, commercial truck insurance requires high coverages that can account for more valuable vehicles and hauled cargo.
Understanding the different insurance types and the extent of their coverage before requesting a quote is vital for any truck driver. It is the only way drivers can know the price, premium plan, discount offers, and coverage options of the insurance company. This article will expound more on commercial truck insurance by explaining their available options and coverages possibilities.
1. Truckers Liability Coverage
The insurance protects truck drivers from lawsuits costs and helps individuals to qualify for contracts and leases. It is a general liability insurance covering common risks like advertising injury, customer injury, and property damage. The coverage will be needed when a vehicle hits a building, another automotive, guardrail or causes death or fatal injury. Notably, this insurance is an essential requirement for vehicles weighing 80,000 lbs.
2. Truckers General Liability Coverage
Unlike the truckers' liability coverage, this insurance covers any property injuries or damage claims that have occurred outside a truck's operation. For instance, if a truck accidentally knocks over a flower vase near a shop, the insurance will come in handy to repay the costs. It is suitable for low-risk expenses and has a relatively low premium.
3. Physical Damage Coverage
Physical damage coverage is another vital insurance that covers the physical damages after a truck accident. The trucking insurance will also cover the damaged truck after being involved in an accident or theft scenario. Companies offering this coverage advise that clients understand the price ranges that come with their insurance.
4. Motor Truck Cargo Coverage
There is more to consider when delivering products than simply the truck—there is also the cargo. The motor truck freight insurance protects a truck against damage, cargo theft, and other issues like debris cleanup. Not all coverages will cover all the mentioned areas. Experts from insurance companies explain the scopes of the available motor truck cargo insurances and advise clients on the best one for their needs.
5. Uninsured and Underinsured Driver
In many countries, having trucking insurance is not mandatory. Therefore, not every truck driver on the road has an insurance cover on their vehicle. This coverage is handy when a truck gets into an accident with an uninsured or underinsured driver. It will cover the injuries or damages posed to the truck.
Telematics monitor trucks by the use of GPS technology and onboard diagnostics. It plots how the trucks move from one place to another on a computerized map. The technology combines blackboard techs, GPS systems, wireless devices, and onboard vehicle diagnostics to record data. After registering the data, telematics submits the truck's location, speed, and maintenance requirements. Video telematics ensures that drivers have safer driving habits and reduced accidents, thereby lowering the costs associated with such damages.
The costs of commercial fleet insurance coverages vary depending on the type, purpose, and size of a driver's truck or fleet vehicle. For instance, delivery fleets pay more than service fleets since the delivery fleets must pay for an additional premium to protect the transported goods.
Insurance costs also depend on the company offering the trucking insurance company. Some companies permit their clients to combine liability with other transportation company insurance types, like collision coverage, to reduce total costs. Other companies only permit their customers to have one insurance cover at a time.
Transportation insurance will protect a truck against fire, lightning, theft in transit, cargo damage, loss during transit, or bridge breakage. However, the type of coverage will significantly be determined by the kind of insurance.
Accidents are unpredictable, and without transportation insurance, a driver may need to pay for damages from their pockets. Therefore, the primary importance of this insurance is to cover the goods in transit.
If the telematics device records that the driver does neither over-speeds nor drives carelessly, the insurer will reduce or lower the insurance premium cost.
Keep things moving forward with an insurance plan that’s uniquely designed for your business. Blue Ridge Risk Partners is here to help you get the coverage you need to manage the risks your transportation company faces. Get started today by filling out the form below.