When you own a company with regular truck operation, carrying commercial truck insurance is a must. However, before you obtain the insurance you need, it's important to understand your coverage options and how commercial truck insurance works. This way, you don't pay for coverage you don't need and you are sure to have the coverage that you do need.
Do You Need Commercial Truck Insurance?
Commercial truck insurance isn't only reserved for trucking companies. Any company that regularly operates trucks needs to carry commercial truck insurance. So if you use semis to transport your company's equipment from job site to job site, you need to have commercial truck insurance.
Basic Commercial Truck Insurance Coverage
The basic commercial truck insurance coverage covers the same things that normal full-coverage auto insurance covers. This means your basic coverage includes your liability insurance, comprehensive insurance, and collision coverage. The medical coverage and property damage coverage is part of your liability coverage, just like it is with personal auto insurance. Keep in mind, you can increase the total coverage amount to protect your company from potential lawsuits. Simply discuss different liability limit options with your agent to choose the best one.
Extended Commercial Truck Insurance
Commercial truck insurance coverage has more additional coverage options than personal auto insurance. It's important to choose coverage for every possible scenario to ensure you're properly covered.
- Cargo insurance covers the cost of the cargo that your employees are transporting. While this isn't a coverage that's needed if your employees solely transport your equipment, it is needed if your employees are transporting consumer goods or property of another company. When purchasing cargo insurance, make sure the amount and type of cargo you transport is completely covered.
- Non-trucking coverage is liability insurance that covers the truck when it's not hauling cargo and a trailer isn't attached to the semi.
- Bobtail coverage is liability coverage that goes into effect after the driver delivers a cargo load and is driving home with an empty trailer.
- Personal belongings coverage covers your driver's' personal belongings up to a predetermined limit. This is important if you employ long-haul drivers.
Understanding commercial truck insurance before you purchase it helps you obtain the best rates possible. Be sure to get quotes from multiple companies and to discuss all of your coverage options in detail with your agent before purchasing a coverage plan. This way, you know that your truck, your company, and your drivers are protected properly.