Commercial Tow Truck Insurance

If you own a tow truck business or want to specialize in it you need to consider what is tow truck insurance and what it covers. Running a towing truck business has its unique risks on the road and each business owner or driver should be ready for the worse. Since you are going to share the road with other motorists, towing heavy vehicles sometimes even in lousy weather, insurance is necessary for this condition. Royalty will take this duty on it, as we provide tow truck commercial insurances or wrecker insurance to everyone, who owns a trucking business or sole proprietorship. We ensure that your trucks be in safe hands by giving you financial coverage and building trust with your customers.

What is Covered in Tow Truck Insurance

Running a trucking business without insurance will not work, as you will face many problems, especially for the towing business, when you are responsible for your client’s vehicle. The specified truck insurance coverage will be the best solution for this. At Royalty, we care about that part and deliver our customers the best service we have and the specified solutions that are necessary for each trucking company. The tow truck insurance coverage includes:

General Liability insurance - This covers the costs of injuring others and causing damage to their property. It is divided into two sections:

  • Liability Insurance for Personal Injury
  • Loss of Property Coverage of Liability

Medical Payments Insurance - This covers medical expenses for you and your passengers in the event of an accident or other auto-related injury.

Physical Damage Coverage - Pays for damage to your car as a result of an accident, such as a collision with another vehicle or a falling tree branch. Three types of coverage are included in this towing insurance:

  • Insurance for Collisions
  • Insurance that covers everything
  • With CAC Insurance, you can protect yourself from fire and theft.

Uninsured Motorist Insurance - This covers injuries to you and your passengers caused by drivers who don’t have insurance or enough coverage. It also safeguards you in the event of a hit-and-run. For commercial tow trucks, uninsured motorist coverage may include:

  • Insurance for Uninsured Drivers
  • Insurance for Uninsured and Underinsured Drivers
  • Where available, uninsured motorist property damage insurance

As you are towing another vehicle, you are responsible for that one, too. It does not matter if you own it or lease it. If you want that your tow trucking business goes well, you need to solve that part. Additionally, tow truck insurance includes certain policies that are recommended to consider for your business. It is advised to have them for your tow truck business. Those are:

  • Garagekeepers Legal Liability insurance - This insurance type is required in some states. It covers the damages caused by fire, vandalism, theft, or occurred unintentional damages when the client’s vehicle is parked in the garage or in any place, while you are providing a towing service.
  • On-Hook Towing insurance - While you’re towing your clients’ cars, this device protects them if they get injured. It pays replacement costs for the client’s vehicle damage.

How Much is Tow Truck Insurance

It is one of the most commonly asked questions that worries everyone, who wants to start a tow truck business. In general, the prices may vary starting from $4000 up to $14000 per year. Commercial tow truck insurance is rather expensive because it is based on the high risk of being hit on the road. Also, there are various factors that influence the price formulation process. The main factors include:

  • Driver’s experience - The more experienced you are, the cheaper will be the insurance coverage.
  • Type of insured trucks - Since the tow truck may vary with their sizes, the insurance costs may change too based on that. Additionally, the truck condition may play a significant role here. The older trucks will cost cheaper than the new ones.
  • Your location - Based on the state requirement, the insurance costs are different.
  • The offered service - Many insurance companies have their unique prices and offers. If you aim to get a reliable insurance partner, you need to consider our options and count on us.

The Benefits of Choosing Royalty Truck Insurance

It is rather challenging for truck owners to find a good and reliable insurance partner. The competition is rather high in the insurance industry. If you start to explore the industry to find the best insurance company you will waste too much time as well. At Royalty, we will fill that gap. Our professional agents will help you insure your tow truck business. During our 23+ years of experience, we explored more in the insurance industry and will provide specified coverages to help your tow truck business run legally. With the right insurance partner company, your business will continue to stand out in the competition.

Here are some benefits that you will get partnering with Royalty:


Before providing you with insurance we pay attention to every single detail. Our agents will help you to fill in the documentation accurately and appropriately. We are trying to avoid additional inaccuracies that may slow the process. They will help you during the whole process.

Fast Solutions

We care about our customers’ time and their efforts. As insurance is the backbone of the trucking business, we streamlined to deliver our insurance services quickly and efficiently within 24 hours to all our qualified candidates.

Customized Service

To formulate the best insurance offer, we need to have detailed information about your trucking business. What you will need is to answer all the questions from our agents. They are doing their best to provide specific and detailed insurance coverage for your trucks. Also, in this way we are focusing on clarity, making sure that the process goes safe and sound.


One of the main features that make Royalty stand out, is our clear and transparent service. Thanks to that we made 37k+ customers happy and made our collaboration successful. We believe that open collaborations should be transparent, so our experienced agents will explain every detail or question to you so that everything is clear. We will care that you have all the important information before getting your trucks insured.

Get a Free Commercial Truck Insurance Quote

Royalty provides insurance for truck businesses. Providing commercial truck insurance we help our customers to feel confident on the road and to earn their clients’ trust. We expand our clientele within the whole states of the US and want to help as many truck business owners as possible. The distance will not be an obstacle to getting an insurance quote from us.


Is It Possible To Save On Tow Truck Insurance?

There is a possible way to reduce insurance rates. By increasing the deductibility you will be able to save as large deductibility has the lowest premium to pay.

What Are the Requirements for Tow Truck Insurance?

The main requirements that Royalty asks for are detailed information about your company and your trucks. That may include truck type, radius, cargo type, driver’s experience, and so on. Based on this kind of information we will deliver specific insurance based on your needs.

Do You Deliver Tow Truck Insurance in California?

Yes, we provide insurance to all our customers residing in California. We don’t limit our services to one state and expanded our customer range up to all states in the USA.

What Types of Businesses Need Commercial Tow Truck Insurance?

Towing disabled vehicles is how a tow truck company makes money. If you do that, you should have tow truck insurance that is tailored to your needs. The following are some examples of enterprises that may require commercial tow truck insurance:

  • Service providers on the side of the road
  • Contractors for auto clubs
  • Towing in a circle
  • Repair shops for automobiles
  • Repairing automobiles mechanically
  • Stations with full service
  • Haulers for auto salvage and auctions