Becoming a successful commercial truck owner and operator requires protecting your investments. Commercial truck insurance is not only a wise decision, the law requires liability insurance for the legal operation of your truck.
In 2019, the open road saw about 3.5 million commercial truck drivers. To protect other drivers on the road and the businesses that hire truckers to move cargo, you need the right type and amount of liability insurance.
Not all liability insurance is the same! When choosing your insurer and policy, how can truck operators decide on the best option for your truck business? Here are five things you need to know about commercial truck liability insurance.
1. Coverage Depends On Your Cargo
What type of cargo do you carry in your truck? The type of cargo you haul helps determine the type and amount of liability insurance you need.
Dangerous cargo requires more coverage than items that would cause less damage in an accident during transport. High-risk cargo can include:
- Heavy machinery
- Flammable liquids
- Oversized cargo
- Vehicle transport
When choosing your liability insurance, make sure you give an accurate description of your cargo to receive the right coverage.
2. Your Route Can Influence Coverage
Driving over dangerous roads, through mountains, and in unsafe areas can affect your commercial truck liability insurance cost and coverage. The distance you travel can also affect your liability coverage.
Truckers who drive across the country or transport cargo throughout a broader region need more coverage than a local trucking operation. Be sure your liability coverage adequately covers the terrain you cover during your routes.
3. Cargo Weight Comes With Coverage Requirements
The weight of your cargo helps determine how much coverage you need based on legal requirements. The Federal Motor Company requires a minimum of $300,000 coverage for non-hazardous freight below 10,000 pounds. If you carry a heavier load, you’ll need higher amounts of coverage to protect the company that hires you for transportation services.
The federal government also has requirements for minimum coverage amounts. When choosing your coverage, make sure it meets all minimum requirements for legal operation.
4. Coverage Varies Per Type of Truck
What type of trucking rig do you drive? Tractor-trailers, flatbeds, or liquid carriers all require different coverage. Your policy applies to the type of truck you drive since different types of truck and trailer combinations can cause varying degrees of harm in an accident.
5. Primary Liability Insurance Protects Others
Your mandatory primary liability insurance protects others if they become injured in an accident involving your truck. It also protects the company who hired you to transport their cargo.
Truckers need additional insurance coverage to help cover personal medical expenses, income loss, or truck repair following an accident while en route.
Get Expert Help With Commercial Truck Liability Insurance
Meeting all of the mandatory requirements for trucking general liability insurance can be confusing—but you can’t risk lacking appropriate coverage! Let the Truck Insurance Pros help you find what you need. Contact us to start the quote process!