89.2% of Kentucky communities depend on trucks to deliver their goods. Similar to other parts of the country, Kentucky is also lacking in truck drivers. If you drive a truck for your business in Kentucky, you must have commercial truck insurance. Are you sure you have met the insurance requirements of the state of Kentucky and the federal for your trucking business?
This article explains what you need to know to get legally compliant coverage and the right insurance to protect your interests.
- Top 5 Kentucky commercial truck insurance companies
- Understanding commercial truck insurance
- Who should get commercial truck insurance in Kentucky?
- What are commercial truck insurance minimum requirements in Kentucky?
- How much does commercial trucking insurance cost in Kentucky?
- How do I buy cheap commercial truck insurance in Kentucky?
Top 5 Kentucky commercial truck insurance companies
Businesses in Kentucky that depend on trucks have many options when it comes to commercial truck insurance providers. We’ve checked them out to come up with the top five in the state for different reasons. We also outline the pros and cons of each.
- Progressive: Best insurance from an industry leader
- biBERK: Best for cheap Kentucky truck insurance coverage
- Smart Financial: Best for working with knowledgeable agents
- Simply Business: Best for getting and comparing multiple quotes in minutes
- THREE: Best for all your business insurance needs
Progressive: Best overall commercial truck insurance from an industry leader
Progressive is the leader in the commercial truck insurance industry. They insure by the far more trucks than anyone in the industry. They have vast experience working with different trucking businesses from owner-operators to a fleet of hundreds of trucks.
Pros:
- Largest commercial vehicle insurer in the United States.
- Extensive commercial truck insurance experience
- Offer comprehensive commercial truck insurance to all types of trucks
- Offer quotes online and several discount programs
Cons
- Not all businesses qualify for Progressive’s well-known discounts.
- Progressive may not be the best for larger trucking companies
- Customer satisfaction rating may not be the best
biBERK: Best for cheap Kentucky truck insurance coverage
biBERK is a subsidiary of Berkshire Hathaway, the parent of Geico, so they know how to operate a vehicle insurance company successfully. biBERK specializes in providing low-cost truck insurance coverage and sells it directly to the end customers, bypassing agents and brokers.
Pros
- Unique approach to underwriting can save you up to 20 percent.
- Coverage backed by the financially solid Berkshire Hathaway family of companies
- Offer one of the best digital experiences from quoting, buying, and managing the policy online
Cons
- Best for basic truck insurance needs.
- Coverage may have low limits
Smart Financial: Best for knowledgeable and experienced agents
Smart Financial is an insurance broker. They have been serving small businesses with a special focus on commercial auto and commercial truck insurance for decades. They are known for experienced agents who can help you navigate the landscape to find the best coverage at the cheapest rates.
Pros
- Specialized coverage is available for most types of trucks and sizes of fleets.
- Very knowledgeable and experienced agents that can help you customize coverage to meet your needs
- Support a wide range of specialty trucking insurance
Cons
- Limited digital capabilities.
- You may have to file a claim with the insurance company, not Smart Financial
Simply Business: Best for getting and comparing multiple quotes in minutes
Simply Business is another broker specializing in serving small businesses. They work with many insurance companies and are focused on helping small businesses, including trucking ones, find coverage at the cheapest rates. They offer to compare several quotes from their partners on your behalf to find the cheapest one for you.
Pros
- Able to get several insurance quotes at once and compare several quotes online
- Agents can help you select the right coverages for your operation
Cons
- Insurance is supplied by Simply Business affiliates, not the company itself.
- Must file claims through your insurance provider, which is often inconvenient.
THREE: Best for all your trucking business insurance needs
THREE is another subsidiary of Berkshire Hathaway. Their trucking insurance policy is unique because it is both comprehensive, simple, and affordable. Their policy is the most comprehensive. It usually includes all coverages a trucking business would need. It is in plain English, with no insurance jargon and no fine-print exclusions. It is always 3 pages.
Pros
- Several business insurance coverages are included in a single policy.
- Easy to purchase all your business coverage at once.
Cons
- Unable to buy standalone commercial truck insurance.
- Challenging to customize coverage.
Understanding commercial truck insurance
Commercial truck insurance is a form of protection purchased by trucking businesses, people who use trucks for work, and companies that depend on trucks for operating their businesses.
The business owner usually buys commercial trucking insurance, but it covers the driver, passengers, and any individuals or property harmed in an accident or other incident.
Important point: Commercial auto insurance covers all kinds of vehicles used for conducting business, including certain types of (typically smaller) trucks. Commercial truck insurance is different in that it exclusively covers larger vehicles usually used for contracting, construction, and moving freight.
Who should get commercial truck insurance in Kentucky?
Everyone in Kentucky who drives a large truck for business reasons must get state or federally mandated commercial truck insurance coverage, depending on where you drive. Personal auto insurance will not cover you if you have an accident or another incident occurs while driving a truck for work purposes. You cannot drive a truck in Kentucky — or other states — if you don’t have legally-mandated insurance protection. In most cases, it makes sense to have a higher level of protection.
What are commercial truck insurance minimum requirements in Kentucky?
Kentucky state law requires local truck drivers and trucking companies to purchase the following minimum levels of coverage if your truck is more than 10,000 GVW:
| Coverage | Minimum requirements: |
| Liability for household goods: | $300,000 |
| Liability for general freight: | $750,000 |
| Liability for oil: | $1,000,000 |
| Liability for hazmat: | $5,000,000 |
| Cargo insurance: | $5,000 per vehicle / $5,000 per catastrophe |
If you drive your truck across Kentucky state lines, you must secure the coverage limits required by the Federal Motor Carrier Safety Administration (FMCSA). Similar to Kentucky mandates, current FMCSA minimum insurance requirements depend on the cargo you transport and the weight of your truck:
- $300,000 for non-hazardous freight in vehicles under 10,001 pounds
- $750,000 for non-hazardous freight in vehicles over 10,001 pounds
- $1,000,000 for oil carried by for-hire and private carriers
- $5,000,000 for other hazardous materials
The state of Kentucky and the United States government require certain forms be submitted by your insurance agent to prove you have required trucker coverage, including:
- Form H
- The BMC-100
- Form MCS-99
- Form E.
What does commercial truck insurance cover?
Commercial truck insurance protects truckers and trucking businesses from risks associated with driving their trucks and running their trucking businesses. Here is what some of the most common types of trucking insurance cover:
Trucking primary liability insurance
This covers the other person’s vehicle repairs and medical bills if the truck driver causes damage to the other vehicle or harms the driver in an accident. However, trucking primary liability insurance does not cover the at-fault driver and his truck. This coverage is required by law in all 50 states. If you drive a truck, you must have this coverage. This coverage is also the most expensive in your commercial truck policies.
Trucking physical damage insurance
This covers damage to the policyholder’s trucks. Trucking physical damage insurance has two types, collision coverage and comprehensive coverage.
Collision coverage only covers damages sustained in an accident, while comprehensive coverage covers non-accident losses or damages to trucks, such as theft or vandalism.
Non-trucking liability insurance
Non-trucking liability insurance covers damages that occur while using the truck for non-business purposes, such as grocery shopping. In such cases, the insurance would pay for related medical and property damage costs.
Non-trucking liability coverage is relatively inexpensive. Learn more about non-trucking liability insurance cost.
Bobtail insurance
Bobtail insurance covers your trucks after the cargo has been delivered and the truck is no longer used for trucking purposes, or when there is no trailer attached to a truck when it is involved in an accident.
Bobtail insurance and non-trucking liability can be confusing. However, you can learn more about the differences between bobtail and non-trucking liability
And learn more about bobtail insurance costs
Trucking general liability insurance
Trucking general liability insurance protects trucking firms against lawsuits filed by victims of accidents caused by their drivers. This insurance is a standard requirement for states and risk managers for any business that runs commercial vehicles.
Some companies do not offer this policy to all truckers. Make sure to double-check with your agents or insurance companies to see if they offer this coverage.
Truck cargo insurance
Motor truck cargo insurance covers the contents being transported by your commercial trucks. This coverage protects the truck owner-operators and the trucking firm if the products being carried are damaged, lost, or stolen. It is usually required by shippers or freight brokers because they want to protect their goods. Having this coverage may be able to help you increase your revenue. Some shippers and brokers require up to $1 million cargo insurance coverage, which may be costly, but it will help you get more work and increase your revenue.
What doesn’t commercial trucking insurance cover?
It doesn’t cover:
- Purposeful harm to your truck, such as damaging a part to get a newer or better replacement.
- Theft of personal items like cash, jewelry, or clothes.
- Contraband and explosives.
- Live animals, unless you get special insurance for them.
How much does commercial trucking insurance cost in Kentucky?
Experts estimate the average cost for commercial truck insurance in Kentucky is just over $11,400 per year or $950 per month.
The typical trucker in the state can expect to pay between $6,000 to just under $14,000 annually on protection for their truck. These cost estimates are for a single-person trucking operation and include liability, cargo, and physical damage protection. Below are the cost breakdowns for different coverages:
| Trucking coverages | Average costs in Kentucky |
| Trucking primary liability coverage | $565 per month |
| Bobtail insurance | $60 per month |
| Physical damage coverage | $275 per month |
| Truck cargo insurance | $150 per month |
These are just the averages. Be sure to shop around with a few companies. Getting quotes from the top companies such as Progressive, biBERK, or THREE or working with a broker like Simply Business to get and compare several quotes to choose the cheapest one for your trucking business.
How do I buy cheap commercial truck insurance in Kentucky?
Even though Kentucky is a relatively low-cost state for commercial truck insurance, there are ways you can drive your costs lower when you get coverage. Just remember these four words when you purchase insurance.
- Discounts. Some insurers will offer you a discount if you allow them to monitor your driving habits electronically. Many insurers reduce premiums if you have multiple business policies with them. Of course, having a safe driving record could also cut dollars off your premiums. Always ask about discounts. Even if you don’t qualify for them currently, you may in the future.
- Bundle. Many insurance companies will lower premiums if you carry more insurance with them.
- Maintenance. Proactively maintain your vehicles, always being on the lookout for mechanical or electronic issues that could cause accidents.
- Shop. Different insurance companies calculate premium costs in different ways. You may find that rates vary significantly from one provider to another. That’s why it makes sense to get estimates from several insurers when you get coverage and renew it to ensure you get the right coverage for you at the best possible cost.
If you keep these four words in mind when you buy your insurance, you’ll be able to rest assured knowing you’re getting a fair deal on your insurance protection.
