Understanding The Commercial Owner-Operator Trucking Insurance You Need
If you have decided to purchase your own commercial truck, there are a lot of decisions you must make. You must determine if you will run under someone else's authority. Will you run locally or long haul? What type of cargo will you haul? But one question that may not be on your radar is what kind of commercial owner-operator trucking insurance you need. Here is some information that may help in that regard.
Trucker's General Liability Coverage
One of the essential components of your insurance packet is your liability insurance. This policy may keep your company from going under if you ever damage someone else's property or cause an injury.
General liability coverage pays for multiple things. Some of these include damaged property repairs, personal injuries, medical bills, and legal fees. The victim can sue you personally if you do not have general liability insurance and you cause an accident or injury. The coverage you need depends on the type of freight you haul, the miles you run, and the size of your business.
You will also find that many brokers, clients, or lessors require you to have this type of coverage. Even if others do not require it, it is an excellent policy for your peace of mind and business protection.
Physical Damage Coverage
This insurance policy protects your truck and trailer when accidents or other damages happen. It will pay for the repair or replacement for damages that may occur from the following:
- Acts of vandalism
- Natural calamities
Most lienholders will require this coverage as long as you owe on your truck or trailer. Physical damage insurance protects the lienholder from a potential loss and you from having to pay out-of-pocket for the repair expenses.
Most physical damage policies have three components. These components are collision, comprehensive, and fire and theft with combined additional coverage. These three components work together to provide you with the coverage you need.
Motor Truck Cargo Coverage
Not only is it essential to protect your truck and trailer, but it is also important to protect the cargo you haul. Motor truck cargo coverage will do that. This coverage protects your cargo from all types of risks. These risks include theft, wet loads, and malfunctioning refrigeration. If you are running under someone else's authority, that company may provide this coverage.
There are numerous other commercial owner-operator insurance products on the market your business may need. Contact a local insurance agency to learn more about commercial owner-operator insurance.