Understanding the basics of commercial truck insurance can help ensure that you get the right insurance protection for your commercial truck and commercial trucking business. Whether you own and operate a single truck or an entire fleet of commercial trucks, it is better to understand the basics of your insurance protection needs before you find yourself in need of insurance protection you do not have. These are a few vital basics you need to know about your commercial truck insurance needs.
Commercial Truck Cargo Insurance Protection
One size does not fit all when it comes to insuring your cargo. It's not all about the value of your cargo, either. Certain types of cargo will require specialized insurance protection. For instance, trucks carrying certain chemicals or environmental hazards will require hazmat insurance to cover the cleanup and extra liability insurance to cover the potential environmental impact of your cargo.
Additionally, trucks carrying refrigerated cargo may require additional insurance protection against cargo spoilage and equipment breakdowns. These additional protections are in addition to general insurance to recover the costs of cargo lost as a result of accidents or theft.
Commercial Trailer Interchange Insurance
Occasionally, commercial trucks haul trailers that do not belong to the company or individual driver. When this occurs, you usually have a trailer interchange agreement of some sort. This insurance protection covers the non-owned trailer you're using under the terms of the agreement against damage.
Non-Trucking Liability Coverage
While commercial liability insurance is a necessity for all commercial truck drivers, it isn't the only liability protection you need. Essentially, it doesn't cover all possible situations. Another protection to consider is non-trucking liability insurance that covers your truck when it is not in use for commercial purposes. For instance, this insurance is effective if you're returning home without cargo. You may also need bobtail liability insurance for when you're not pulling a trailer at all.
Medical Payments Insurance for Commercial Trucks
This essential insurance protection covers medical bills for the driver and passengers injured in an accident. The specifics of the coverage vary widely from one state to the next. Regardless of the state, this coverage offers vital protection for drivers and their passengers from costly medical treatments after accidents occur.
Commercial Truck Umbrella Insurance
One other type of insurance that is important for commercial trucking needs is umbrella liability insurance. This protection offers additional protection beyond your existing liability coverages and kicks in once you reach the limits of your existing policies. It offers an additional financial buffer for judgments against your business or settlements you reach after accidents.
These are a few commercial truck insurance basics. Work with a trusted commercial truck insurance agency to determine your unique and specific insurance needs.