Did you know it is estimated that 15.5 million trucks operate in the US alone? With the rise in internet shopping and dropshipping, the haulage industry is bigger than ever. However, insuring trucks and fleets can be an expensive job.
There are many factors to consider when pricing up insurance. Read on as we give a must-know guide on the average cost of trucking insurance.
Commercial Truck Insurance Prices
Truck insurance varies in price, depending upon what your needs are. Depending upon your status, you will need different types of insurance.
If you work under your own authority as an owner or operator, you need full insurance for trucks and drivers. However, if you have a lease with a motor carrier they will have their own insurance, which means you only need to cover bobtail and physical damage. If you are new to an owner operating system, you can expect prices to be a lot higher until you build up a no-claims reputation.
Full insurance is required for any owner-operator business that does not have leased vehicles. It covers a number of factors, most importantly your liability cover. This protects you in the event anyone is injured by one of your trucks or property is damaged.
It also includes physical damage. This covers you if anyone damages one of your vehicles, either one of your own drivers or another party. This can be upgraded to a comprehensive cover to protect against theft and vandalism.
Finally, it will include uninsured and underinsured coverage. This protects you if your car becomes damaged in an accident. Should the at-fault driver not have adequate insurance, this policy will pay for injuries and damage.
Full insurance is not cheap and can range from $9,000-$15,000 per truck. You can, however, tweak the different parts of the policy to get the best trucking insurance prices. For the best trucking coverage, make sure you shop around with a number of providers.
Bobtail insurance is a policy that insures drivers and vehicles for damage when they are not carrying a load or trailer. Most motor carrier leases have their own insurance that covers load transit. As such, many people just need insurance when they are not under the motor carrier insurance jurisdiction.
Generally, this type of insurance is very reasonable. You can expect to pay $350 to $600 for a yearly policy.
Motor Truck Cargo Insurance
Motor truck cargo insurance is another policy you may wish to add. It covers loss or damage to the goods you are hauling, either due to collisions, fires, or impact. To add cargo insurance, you can expect to pay around $400 to $1200 per truck.
Average Cost of Trucking Insurance
As you can see, there are many factors that impact the average cost of trucking insurance. Do not be afraid to tweak policies, getting rid of parts you do not need, and adding others you do. Shop around and you are sure to find one to suit your business needs.
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