The type of commercial truck insurance required is dependent on the type of driving you to do or the business that you own. As a driver, you’ll need primary liability insurance which is required as part of acquiring a trucking license and protects third parties and their property from damage that your truck causes. Conversely, if you are the owner-operator of a trucking company, then you’ll also need general liability insurance. The difference between these two types of insurance is that general liability also offers the policyholder additional protection in the event of a lawsuit or a libel/slander claim against your trucking business. Gantt Agency in Farmville, VA offers this guide on choosing your trucking insurance.
What is Trucking Insurance?
Whether you are a loan operator or own multiple trucks, the Federal Motor Carrier Safety Administration and the Department of Transportation require proof of liability insurance for your Operating Authority/MC Number application. Failure to carry insurance within your truck or not having enough coverage can result in significant penalties including loss of license, jail time, fines, and more. Most trucking insurance policies will include the following coverage:
- Bobtail Coverage: Protects a truck that is being operated without a trailer.
- Limited Depreciation Coverage: Helps pay the difference between the market value that the insurance is likely to pay you and what is still owed on the truck.
- Motor Truck Cargo Insurance: Offers protection for non-hazardous freight and cargo liability.
- Non-Trucking Liability Coverage: Protects your truck when it is used for non-business purposes.
- Physical Damage Coverage: Covers physical damage that is incurred to your tractor-trailer.
- Trailer Interchange Agreement Insurance: Protects non-owned trailers when they incur physical damage.
For more information on trucking insurance, Gantt Agency in Farmville, VA is here to help. We can assist in answering your trucking insurance questions and help customize a policy that best protects you from liability.