Is trucking all — or a significant part — of your livelihood?
You owe it to yourself to protect the trucking company you’ve worked so hard to build with adequate trucking insurance coverage.
Finding the right truck coverage can be difficult. This article will reveal the 5 best trucking company insurance firms in the United States and explain what you need to know to purchase trucking company insurance.
- 5 best insurance for trucking companies
- What is trucking company insurance?
- Why do I need to buy trucking company insurance?
- What other insurance coverages should trucking companies buy?
- How much does insurance for trucking companies cost?
- How can I save money on trucking company insurance?
- How do I evaluate truck company insurance providers?
5 best insurance for trucking companies
I’ve done the homework and reviewed the insurers offering trucking company protection to make shopping for it easier for you. Here are the 5 best trucking company insurance providers for different reasons.
- Progressive: Best Overall and the only carrier offering quotes online
- Simply Business: Best for comparing several quotes
- Travelers: Best for buying coverage from an established insurer
- Commercialinsurance.net: Best for working with knowledgeable agents
- The Hartford: Best for trucking companies that want to purchase comprehensive coverage through a BOP
Progressive: Best Overall and the only carrier offering quotes online
Progressive is the biggest provider of commercial vehicle insurance in the United States. That alone should make you want to check out Progressive for your commercial truck company insurance needs. Progressive offers an extensive array of trucking company insurance coverage through its network of providers, so you’ll likely be able to get all the coverage you need through a single source.
Better yet, Progressive makes buying truck insurance from the company as easy and fast as possible. They are the only carrier offering truck insurance online. It takes less than 10 minutes for you to get a quote on Progressive website. You should definitely start with them, getting a quote online to use it as a benchmark as you continue shopping for a few other quotes to compare before making your final decision.
Simply Business: Best for compare several quotes
Simply Business isn’t a direct insurance provider. Instead, it’s a broker that connects trucking companies and other small business owners with business insurance through high-quality partners.
Simply Business does the work of getting quotes tailored to your unique business needs from its network of insurance providers. The rest of the process, including underwriting, claims, and customer service, is handled by third party insurers.
Simply Business is based in the United Kingdom and owned by Travelers — the second-largest writer of business insurance lines in the U.S.
The chief benefit of working through Simply Business is that it makes it easy to get quotes from multiple insurance companies through one website and compare them easily.
Travelers: Best for buying coverage from an established insurer
Travelers is the second-largest provider of business insurance in the U.S. Its comprehensive insurance offerings may be a good fit for larger trucking companies or those that haul unique or risky cargo. You may want to consider other options if your insurance needs are simple because the specialized coverage offered by Travelers can be relatively expensive.
You can buy insurance from an agent affiliated with Travelers. (You can’t purchase coverage online.) You can find an agent in your area on the Travelers website. Another plus with Travelers is its library of risk management tools that can help you keep your trucking company safe.
Commercialinsurance.net: Best for working with knowledgeable agents
Commercialinsurance.net is a United States based insurance broker. The company offers commercial policies for trucking companies and other businesses in all 50 states.
The firm was founded to help businesses with less than $10 million in annual revenue find high-quality yet affordable insurance coverage. Commercialinsurance.net prides itself on a network of hundreds of knowledgeable agents across the country who represent 50+ trucking insurance companies.
If you don’t mind with working with a knowledgeable agent who will help you navigate the process of buying the right coverages for your trucking company at the most affordable prices, Commercialinsurance.net could be a good choice. If you are new to trucking business and buying trucking insurance, you should definitely consider them.
The Hartford: Best for trucking companies that want to buy comprehensive coverage through a BOP
In addition to a great commercial truck insurance policy, The Hartford is known for selling comprehensive small business coverage through its customizable business owner’s policy (BOP). It provides trucking companies and other businesses with an easy and cost-effective way to purchase property and general liability insurance and add other coverages.
The Hartford’s BOP is unique. Most insurers only include general liability and property insurance under a business owner’s policy. The Hartford’s also has business interruption insurance. This can be a considerable advantage for trucking companies because it covers lost income resulting from being unable to operate your business for a reason covered by your insurance.
The Hartford makes it easy to purchase insurance online, over the phone, or through an agent.
What is trucking company insurance?
Trucking business insurance is a group of insurance coverages that protect trucking companies against the most common risks they face. Trucking policies usually include primary liability insurance and other coverages based on individual trucking business needs. Regulations make primary liability insurance a requirement to operate a truck. It protects people and property from damage caused by a truck if you or an employee is involved in an accident.
If you are a driver and want to operate on your own authority, you’ll need primary liability coverage along with other types of protection depending on:
- where you drive
- what you haul
- the unique risks you face
- and other factors depending on the insurer.
If you are an owner-operator of a trucking company, then you’ll want to increase your trucking insurance protection to include general liability and other types of coverage, as well.
Why do I need to buy trucking company insurance?
You must get primary general liability trucking insurance before operating a truck and hauling loads. It covers damage to other vehicles or property or people injured when you have an accident.
All trucks require at least $750,000 in primary general liability insurance coverage. Some need more, especially those that haul dangerous or valuable cargo or travel long distances across state lines.
General liability is only required if you rent a business location or own financed property. It offers protection if a visitor is injured at your work location or if you or someone who works for you damages someone else’s property while conducting business. It also covers you if your business is sued for libel, slander, or over an advertising issue.
What’s important is that you get enough insurance to protect your trucking company from the risks it faces. According to a study sponsored by a leading group of independent insurance agents, the average cost of a commercial truck accident in the United States is just under $60,000. Could you cover all or a portion of those costs if you didn’t have adequate coverage? The answer for the owners of most trucking businesses is NO, which is why they make it a priority to get adequate trucking business insurance protection.
What other insurance coverages should trucking companies buy?
Some other coverages trucking companies may need include:
- Cargo insurance covers the things you haul in your trailer. It’s not a coverage required by law or industry regulations, but most for-hire interstate owner-operators will make you purchase it. If you don’t have it, they won’t hire you. The standard limit for cargo insurance is $100,000, but you may need a higher level of coverage if you haul particularly valuable cargo. Learn more at the best motor truck cargo insurance companies
- Bobtail covers you when you drive your truck without a trailer attached to it. If you leased on your truck to a motor carrier, you may need bobtail coverage since they don’t usually provide this protection. You can find out whether you need this — or other — coverages on your lease agreement. Learn more at the best bobtail insurance companies.
- Physical damage protects your tractor or trailer if it’s damaged in an accident. This coverage is required if you finance your truck. Even if you don’t, it’s a good idea to purchase it. Your truck is your livelihood. If it’s seriously damaged in an accident, you could be forced to pay for repairs out of pocket. Repairing trucks is expensive, and the cost of an accident could jeopardize the future of your trucking company. Learn more at the best trucking physical damage insurance companies.
- Workers’ compensation insurance is required in most states if you have employees. It covers medical and other costs and protects against lawsuits if an employee suffers a work-related illness or injury. Learn more at the best workers comp insurance for truckers.
- Business interruption insurance covers income lost because you can’t operate your business for reasons covered by your insurance, as well as operating expenses and the cost to restore operations to normal. Learn more at the best business interruption insurance companies.
Your insurance agent or rep at your insurance provider can advise you on the coverages — and levels of protection — you need.
What kinds of trucks can I buy insurance for?
It’s possible to insure any type of truck. Different insurers offer coverage for different vehicles, so you may need to shop around to find the right protection.
Some common types of trucks covered by most insurers include:
- Dump trucks – Learn more at dump truck insurance cost and the best dump truck insurance companies
- Tractor-trailers – Learn more at the best tractor trailer insurance companies
- Box truck – Learn more at the box truck insurance cost and the best box truck insurance companies
- Pickup trucks – Learn more at the average pickup truck insurance cost per month
- Semi-trucks – Learn more at semi truck insurance cost and the best semi truck insurance companies
- Tow Truck – Learn more at tow truck insurance cost and the best tow truck insurance companies
- Log trucks, etc. – Learn more at the best log truck insurance companies
What doesn’t trucking company insurance cover?
It doesn’t cover intentional damage to a truck. For example, if you purposely damage a part of your cabin to replace it with a newer or better one, your insurance company won’t pay for it.
Truck insurance usually won’t cover personal losses or theft of personal items like cash, jewelry, or clothes. Contraband and explosives aren’t covered either. And if you haul live animals, they won’t be protected unless you get special insurance for them. If you’re not sure about what’s covered by a trucking company policy, connect with your insurance agent or insurance company representative.
How much does insurance for trucking companies cost?
The cost can vary significantly. Trucking companies pay, on average, $10,800 a year to cover a truck and a driver. And this is for a comprehensive coverage, including trucking primary liability, bobtail coverage, physical damage coverage, and workers comp insurance or occupational accident coverage.
This is just the average. Be sure to shop around with a few companies or work with a top broker like Simply Business, Commercialinsurance.net to get and compare several quotes before making your final decision. You should also get a quote online on Progressive website. They are the only carrier offering quotes online for trucking business.
What factors affect the trucking company insurance cost?
Many factors impact the price of coverage, including:
- Vehicle value
- Number of trucks
- What you haul
- Number of drivers
- Driving history
- Years in business
- Coverages you purchase
- Business size
- And more.
It’s a good idea to get several trucking insurance quotes and compare them to get the coverage you need at the best possible price.
How can I save money on trucking company insurance?
There are many ways to save cash on truck coverage. However, when it comes to insurance, cheaper is not necessarily better. If you spend too little on insurance, you may not get the coverage you need to protect your operation adequately. Here are some ways you can get premium costs down:
- Hire drivers with good driving records
- Drive carefully, so you don’t get citations
- Make employees attend driver safety classes
- Increase your deductibles
- Pay your premium in full each year instead of in monthly or quarterly installments
- Always pay for your coverage on time
- Haul less risky types of cargo
- Check on discounts.
When it comes to discounts, you can typically get a commercial driver’s license (CDL) discount if you have had one for several years and if you’ve been in business for a relatively long time.
How do I evaluate truck company insurance providers?
It’s essential to get quotes from several different insurers because the cost of insurance for trucking businesses can vary widely from company to company, even for identical coverage.
Look at the following things when comparing policies:
- Coverage: Check what is and isn’t included in the policies. Take note of coverage differences between providers.
- Liability limits: Check the maximum an insurer will pay out for different coverages, per incident and over the lifetime of your policy. If there are significant differences between policy prices, it’s often because the policy limits aren’t the same.
- Price: There are two numbers you must consider: your premium and deductible. Premiums are typically per year, though you may have the option to pay in monthly installments. (Insurers usually offer a discount if you pay the premium upfront when you buy your policy and renew it.) Limits are how much your insurer will pay on a claim.
- Ratings and reviews: Check online for insurance company ratings to make sure the insurers you’re considering are financially strong and can pay out claims. Read reviews to see what current and former customers say about the companies. Complaint databases, like the Better Business Bureau and the National Association of Insurance Commissioners, can help determine if insurers provide lousy service or have a history of not paying out claims.
You owe it to yourself to do your due diligence to find the ideal trucking business insurance coverage and provider for you.