Posted on May 17, 2014
Truckers travel long and hard to take care of picking up and delivering the goods that keep this economy going. So when it comes to protecting their valuable equipment and loads, trucking and hauling insurance is the only means for owner-operators and trucking companies to protect assets from accidents & mistakes that could potentially cause lawsuits leading to financial devastation.
Protecting Trucks from Risks
The trucking industry has unique risks that require specialized coverage to fully protect from potential hazards. These common types of coverage needs include equipment safety, cargo/load handling, DOT compliance, in cab & personal equipment and emergencies.
Dump Truck companies and drivers also have special insurance needs as well. Protecting sand and gravel hauling trucks from physical damage and liability issues is important to keep everything running smoothly and trucks on the road doing what they do best - hauling loads and making safe deliveries.
Commercial Truck Coverage Differs from Commercial Auto
Commercial truck and dump truck coverage is quite different from typical commercial auto insurance policies. Trucks deal with heavy duty industries that are tough on the vehicle and able to cause more extensive damage to property and others than a regular business automobile. Other considerations for insuring trucks are that they can easily tip over if weight distribution is not carefully monitored particularly during loading and off-loading. Add limited vision behind the truck to that hazard, and it is easy to see why dump truck and trucking insurance is far more expensive than commercial auto.
What Insurance Underwriters Review Prior to Pricing Truck Insurance
Choosing truck insurance requires understanding the policy details about coverage and how it pays in addition to the expense. Underwriters price truck insurance premiums on both the driver and truck. When pricing the risk, they take into account the driver's age, experience and accident record in addition to employment history. They also evaluable how many drivers operate the truck during a given period. Then they assess the truck itself by looking at the insurance and accident history. Where the truck is driven, types of cargo and the truck's condition all factor into insurance premium pricing. Finally, insurance underwriters hone in to the business owner and his or her experience operating the company.
What Trucking and Hauling Insurance Provides
Trucking, hauling and dump truck policies provide broad coverage to protect every aspect of the industry. The main component of most policies is liability insurance. It basically covers injuries and property damage. When an accident occurs, the liability coverage pays expenses such as medical bills, lost income and physical property damage. It will also pay for legal defense fees and any court awards or settlements.
Besides liability, trucking insurance also offers coverage for physical damage including collision and comprehensive insurance. When a dump truck is hit by another vehicle or object, collision pays for the damages. If a truck is damaged by a fire or is stolen, the comprehensive portion of the policy pays to repair or replace the vehicle.
Dump truck & hauling insurance also features motor truck cargo insurance that covers the freight or load being hauled. If cargo spills out of the truck due to an accident, this coverage will pay for cleanup, legal lawsuit expenses and the cost of the lost cargo.
Optional Truck & Hauling Insurance Coverage
Optional insurance coverage includes rental reimbursement for times when a truck is damaged in a covered accident and owner must rent another to stay in business during repairs. Uninsured motorist is an option for times when an accident is caused by someone without insurance or without sufficient amounts of coverage to pay for damages. Non trucking liability is available to provide protection for damage caused when a truck is off duty and involved in an accident.
Trucking companies also benefit from fleet coverage in that most insurance carriers offer discounts for these policies over single truck insurance. But cost is not the only factor to consider when purchasing dump truck insurance. Review the different available policies to understand the varying insurance benefits available and to make sure that every potential risk is covered.
Most trucking companies find that full comprehensive trucking and hauling insurance is needed to provide the most protection available in the marketplace. The high cost of lawsuits and claims have the potential to wipe out company savings so having the necessary insurance in place gives truck owners and companies the peace of mind needed should an unexpected accident happen.