Commercial trucking insurance is always a headache for truck drivers. Whether you have company insurance or you’re an owner-operator, getting insured is never easy.
There are many things you need to consider beforeyou decide on an insurance provider.
Continue reading below to find out the seven things you need to know before buying commercial trucking insurance.
7. Gather Information
Preparation is key to achieving almost any goal, and it’s no different for buying commercial trucking insurance. Before you dive headfirst into getting insurance, you need to gather some information.
Some information you should have on hand is:
- Current auto insurance, even if it’s just personal auto insurance
- VIN of your truck(s)
- Driver’s license and basic driving history
Some companies will give you quotes without these things, but you’ll get the most accurate quote when you provide the most information.
6. Which Insurance Is Mandatory?
There are four ‘main’ types of truck insurance. There’s liability insurance, bobtail insurance, cargo insurance, and physical damage insurance.
There’s an entire ecosystem of insurances, but only liability insurance is mandatory.
Bobtail insurance is for insuring your truck when you’re not on the job. Cargo insurance covers cargo damage, and physical damage covers things like fires and floods.
5. Shop Around
This may seem obvious, but you’ll need to get quotes from many companies before committing to one. Finding insurance isn’t easy, and you shouldn’t rush into it. It’s normal to take months to find the right one.
As we mentioned before, give them as much info as you can about your truck for an accurate quote.
4. How To Get the Best Premium
Before you pull the trigger on insurance, there are a few steps you can take to reduce the cost of your premium, such as:
- Ask for a multi-year policy, which will guarantee the same rate over a fixed number of years
- Pay insurance upfront at the start of the year instead of installments
- Have a written maintenance plan
- Don’t overstate the value of your truck (you will end up paying more in premiums)
- Invest in safety equipment and keep your vehicle clean and tidy during the inspection
Giving the insurance company confidence that you’re a responsible driver will likely lead to lower premiums.
3. Look at Your History
One thing that will affect your insurance cost is your driving history. This is something that insurance companies will scrutinize, and it’s something that you can’t change.
If you have many speeding fines or other traffic offenses, you can expect your premiums to go up.
2. Radius of Operation
Depending on where you operate also plays a role in how much your insurance will cost. A commercial trucking insurance policy will cover “unlimited” miles for a truck driver, but they typically factor in your mileage.
1. Be Ready to Fight for Your Payout
Subpar insurers that aren’t very reliable will try to pay you much less than what is claimed after an accident. This is especially common when medical costs come into play.
These insurance companies will hope that you’ll take the reduced payout by delaying and denying payout. Don’t be fooled because over 90% of the time they’ll payout if you don’t back down.
Only communicate through writing, prepare to sue, and they’ll usually fold.
Find and Stay With the Right Insurance Company
With high premiums and so many options, finding the right insurance can be a nightmare. However, now you’re equipped with knowledge, and you can find a reliable company.
After all, an insurance company shouldn’t be a burden but something that gives you peace of mind and help in a time of need.
