Commercial truck insurance coverage is an essential kind of insurance that shields you from expensive costs if your truck is involved in a crash. If you drive an individual auto or truck, you possibly already know that you need some kind of car insurance policy to lawfully stay on the roadway.
Commercial truck insurance policy covers situations in which you use your truck for moving customers, pets, materials or products. If you use your truck for both personal as well as expert functions, a commercial insurance coverage fills out the spaces left by your individual auto insurance.
Commercial Truck Insurance vs. Automobile Insurance policy
Whether you utilize an entire fleet of commercial flatbed trucks or a solitary pickup, as quickly as you clock in for job, you need commercial insurance coverage. The difference between commercial insurance policy and also personal cars and truck insurance coverage appears basic on the start-- personal insurance covers individual journeys, while commercial insurance covers commercial trips and also automobiles.
However, if you leave a job website with a truck filled with devices to go get fast food for lunch, how are you covered?
Particular types of vehicles require commercial insurance policy regardless of just how they're used. This is since individual car insurance coverage is ranked to represent the average auto accident. As quickly as you start purchasing a commercial truck insurance policy, you'll promptly notice that plans are much more costly than what you pay on your individual lorry.
This is due to the fact that commercial vehicles have a tendency to be heavier as well as harder to steer-- which raises their possibilities of being associated with a more expensive crash. Your commercial truck insurance plan will include restrictions that are a lot more than your standard car policy.
In addition to higher limitations, commercial truck insurance coverage also has a variety of other benefits for company owners and independent operators. Your commercial insurance coverage is thought about overhead as well as you may be able to subtract your costs from your insurance coverage. If you own a vehicle that's only used for work, you can deduct 100% of the cost of your insurance from your federal income taxes.
Commercial policies may cover either named employees or blanket coverage for all of your employees. This is different than standard personal policies, which require you to name all of your insured drivers. This can be especially beneficial for large business owners who need to maintain their insurance with a high turnover rate.
Finally, commercial truck insurance covers structures and fixtures that aren't covered by standard auto insurance. For example, if you have your own towing company and you have a pickup truck with a crane attached, a commercial policy will cover damage to both the body of your truck and your crane. A personal auto insurance policy would likely not cover this type of vehicle.
What Is and Isn't Covered
Like with your personal auto insurance policy, there are a few different types of commercial truck insurance. What is and isn't covered under your commercial truck insurance depends on the type of coverage you buy.
Some of the most common types of commercial policies you'll see with both cars and trucks include the following.
Personal and property liability coverage compensates other property owners and drivers if you're involved in an accident. You're legally required to have liability insurance to drive a car or a truck. Most insurance companies sell personal and property liability together as a single policy.
Collision coverage provides you with compensation for repair bills if your truck is involved in an accident.
Comprehensive coverage protects you against damage from non-accident related incidents. Some of the most common comprehensive insurance claims include damage from vandalism, theft, and natural disasters like fires and thunderstorms.
Uninsured and underinsured motorist coverage pays you for medical and repair bills if you're involved in an accident with a driver who doesn't have coverage.
Here are some coverages you may only see only for commercial trucks.
Non-trucking insurance covers you when you take your truck on personal trips. If you have a truck that requires a commercial policy due to weight but you still use it on your off days, you should get non-trucking insurance coverage.
Motor truck cargo insurance covers the value of the product or materials you carry in your truck. If your vehicle is involved in an accident and your product is destroyed, motor truck cargo insurance will reimburse you for what you've lost.
Rental reimbursement insurance. If you depend upon your truck for your day-to-day business, a serious accident can mean days or even weeks of lost income. Rental reimbursement coverage provides you with money to rent a replacement truck while your vehicle is being repaired.
Commercial truck insurance usually doesn't cover:
Intentionally-caused damage. This is damage you intentionally cause to your truck and it isn't covered under any policy.
Personal items. Most commercial truck insurance policies don't include coverage for personal items in your vehicle. To learn more visit: https://www.socaltruckins.com/commercial-truck-insurance/
How Much is Commercial Truck Insurance?
Commercial truck insurance is significantly more expensive than both personal car insurance and commercial car insurance. Experts estimate that the average semi-truck owner pays between $9,000 and $15,000 per year for insurance. Higher policy limits, specialized license laws, awkward truck bodies and high weights are just a few of the contributing factors that make commercial truck insurance so expensive.
Like personal auto insurance policies, the amount that you'll pay for your insurance depends on a number of factors, including:
Do You Need to Get Commercial Truck Insurance?
Not many drivers would argue that commercial policy isn't necessary on a semi. But what if your landscaping business only uses a single pickup truck?
Do you really need to pitch for a commercial policy? If you only have a single pickup truck and you use the vehicle for both personal and professional use, you may be able to get away with a single personal policy. However, this depends on exactly how and where you use your vehicle. Before you buy a commercial policy, consider the following factors.
Personal policies don't cover trucks that require a special license to drive. If you need a commercial driver's license (CDL) to operate your truck, you need a commercial policy.
What you carry
If you use your truck to carry clients, materials, products, or equipment during the workday, you need a commercial policy.
Your vehicle's weight
Part of the reason why commercial policies are so expensive is that they cover very heavy vehicles that can cause more damage. If your truck weighs more than 10,000 pounds or has a load capacity of over 2,000 pounds, you need a commercial policy.
Your vehicle's modifications
If your truck has a special modification like a ladder rack or a cement mixer, your vehicle won't be protected under a personal auto policy. To know more about your vehicle's modification visit: https://www.socaltruckins.com/commercial-truck-insurance/
How to Get Commercial Truck Insurance
Getting commercial truck insurance is very similar to signing up for personal car insurance or private health insurance. If you already have car insurance, you're probably already familiar with the process of getting commercial insurance.
First, research insurance providers that operate in your area. Note that not every insurer that offers commercial car insurance is also certified to offer truck insurance.
Next, start collecting quotes. A quote is a professional estimate of how much you can pay in monthly premiums and deductibles with each company. Insurance providers offer quotes for free online and over the phone. The best way to make sure you're getting the best offer possible is by getting more than a few quotes, so try to get several.
After that, compare and read policy options and choose the one that's right for you.
Finally, contact the insurance company. A representative will help you get signed onto your new policy. Write down the date that your new policy goes into effect-- most new commercial policies have a waiting period of 7 to 30 days, during which you can't file a claim and may be dropped for poor driving habits. If you already have a policy, wait to cancel it until your new policy goes into effect.
What to Look for in a Company
Some things that you should look for in a great commercial truck insurance policy include the following options.
Discount options. Commercial truck insurance can be very expensive-- especially if you're an independent owner-operator and you don't have a corporation that foots your insurance bills. Look for policies that offer you ways to save. From maintaining a safe driving record to discounts for getting additional safety licenses, the best policy providers offer you plenty of ways to save.
Coverage for your current truck. While every insurance provider will offer coverage for pickup trucks, some providers might have limitations on specialized vehicles like dump trucks and semis. Understand the exact make and model of your vehicle and look for an insurer who offers protection for your investment.
Coverages across the country. Every insurance company isn't authorized to operate in every state-- and with a commercial truck, you may have areas of the country excluded from your policy. Look for companies that provide coverage in as many states as possible for greater protection.
SoCal Truck Insurance has been protecting people, their possessions and their businesses for 20 years. Since then we have insured hundreds of thousands with hundreds of plans rates and specials.