Things You Need to Know About Commercial Trucking Insurance

When it's your first time getting into the trucking company or have owned one for years, commercial trucking insurance is an investment you need to make for your business. A trucking business is a really challenging business, thus you have to protect yourself from financial loss associated with an accident and/or theft.

Commercial trucking insurance will protect you from the risks that are typical to a trucking company like vehicle harm, theft, and worker injury. Getting commercial truck insurance makes the difference between going bankrupt or continuing with the company with a minimal loss.

Knowing the totality of commercial trucking insurance may be confusing but knowing the basics will make it much easier to choose the right insurance package for your company. A typical trucking insurance generally covers four areas, namely Primary Liability, Non Trucking Liability, Motor Truck Cargo, and General Liability.

Principal liability insurance is what truckers will need to legally drive on the street. It covers damage to property and injury to individuals. At least750,000 policy is required to legally drive a truck. When an accident happens, this amount will be used to cover the damages. If the amount of harm is greater than the insurance coverage, you may be required to cover the remainder of the prices.

General liability insurance covers all accidents that do not happen on the street. Aside from being on the road, trucks also stop for loading, unloading, and rest stops and injuries can happen during that time period. Common dangers with stops include vandalism and theft.

Motor Truck Cargo covers the freight that you are carrying in your truck. This coverage isn't mandated by the authorities but your customer might require it. This makes sure that the freight will reach safely to its destination and also is protected against damage and theft.

Non-trucking liability insurance is called a bobtail insurance and provides coverage to your automobile when you aren't working. A typical truck insurance insures your truck only when it's on the road but while it is at the repair shop, you're personally accountable for it. With this particular insurance, you're covering all your bases.

These are the four covers of commercial truck insurance. Basically, truck insurance is just like regular automobile insurance. It's a greater premium to cover though because it supplies an extensive coverage.