The Importance of Staying Safe on the Roads
Truckers understand the need of being safe on the road better than others. Even with the finest measures, it’s not always possible to prevent an accident—and the fact is that the longer you spend on the road, the more likely something will go wrong.
While there are actions you can take to lower your risk of a road accident, such as reducing the number of hours you drive per day and making sure your vehicles are in good working order, it’s also critical to carry insurance in case of unforeseen occurrences.
If you work in the trucking sector, you must have certain forms of insurance, but insurance is also a solid long-term investment. After all, owning and operating a trucking company isn’t cheap, and having to cover expenditures out of pocket if something goes wrong will put you in a financial bind.
Given the amount of money that may be lost in a road accident, a significant incident could put a trucking company out of business if they are not adequately insured.
It’s just as vital to make sure you’re getting the correct type of insurance for your business and needs as it is to get insurance in the first place.
What Is Commercial Trucking Insurance and How Does It Work?
Commercial trucking insurance is a specialized policy that covers the most prevalent needs and liabilities in the trucking sector.
Depending on your needs, a commercial truckers policy might include particular coverages for your whole fleet, including general liability, primary auto, uninsured or underinsured motorist coverage, physical damage, and more.
Although it may not always specifically include cargo insurance, you can buy supplemental truck and cargo insurance to protect the goods you transport.
What Is Owner-Operator Insurance, and How Does It Work?
Owner-operator insurance is a subtype of commercial trucking insurance; it’s a coverage designed for an owner-operator who runs their own truck rather than a fleet of rigs.
This type of plan may provide additional coverage in some areas related to your business, while not requiring you to carry an unnecessarily high amount of coverage in other areas, because your one-truck operation won’t require the same coverage as a large company with multiple operators, because it’s geared toward owner-operators as small business owners.
In essence, this sort of insurance will help to protect you, your trucks, and your business from the high costs associated with an accident or vehicle damage. It’s advisable to consult with an agent who specializes in owner-operator insurance to ensure you get the best insurance for your needs.
What Is the Cost of Trucking Insurance?
Your trucking insurance can cost a lot of money, just like any other sort of insurance. When the insurance agent calculates the ultimate cost, he or she takes into account a number of different elements.
Among the most important factors are:
- Insurance regulations in your state
- Any previous allegations leveled against your company
- The level of protection you require
- Your fleet’s size, including trucks and drivers. (This is where the cost of owner-operator insurance versus commercial trucking insurance for a large trucking firm will differ significantly.)
- Your drivers’ age, driving history, and experience
- What is the location of the trucks? (prices can go up if trucks are often being driven over difficult terrain or in poor weather conditions, as well as if they will be driving internationally)
- The kind of cargo you transport (hazardous items require more expensive policies)
There are a number of things you may do to reduce your insurance premiums. The first step is to make sure all of your vehicles are in good working order. Paying your insurance premiums in advance or boosting your deductibles might also help you save money.
Why Do Truckers Need Full Coverage Insurance?
At the end of the day, all types of trucking insurance exist to make the roads safer and more equitable for everyone—not only the trucking company, but also all road users. You’ll have piece of mind knowing that you’re protecting both your business and others on the road with the correct insurance.