The insurance for commercial trucks is very important. Those who are experienced drivers know the complications that choosing insurance can bring. The article is about How to Get Fast & Permitted Truck, Semi or Bobtail Insurance? Even more so if you run a trucking company.
Insurance is an important annual expense, it can take a large part of the profitability of a company. For this reason, it is very important to understand the type of coverage that is needed, since having an accident will generate a significant expense.
There are several types of commercial truck insurance, some of these are:
- Civil Liability Insurance: Covers any damage to other parties involved in an incident.
- Physical Damage Insurance: Covers any damage to the truck due to various causes. The laws do not require physical damage coverage; however, having it is important as it covers the investment you have made in your truck. Covers a variety of incidents, from collisions, fire, theft, vandalism, hail, and wind.
- Cargo Insurance: The cost of damaged or stolen goods that are moved on your trailer.
- Reefer or Refrigeration System Insurance: Covers damage caused to the cargo inside your trailer due to engine failure of the refrigeration system. This coverage is crucial to have in the fruit and vegetable transport industry
- Bobtail Insurance: Covers when you are driving your tractor without the trailer, regardless of whether you are in service. Although not required, it is highly recommended for owner-operators who bring their trucks home when not on the road. As well as for owner operators who work under their own authority.
Whether it is bobtail or semi-bobtail, it is important that you get bobtail insurance quote one of the aforementioned insurances. They will be of great help, especially if you work on your own. Below we will mention some of the budgetary measures of each type of insurance mentioned. The The insurance for commercial trucks is very important.
Commercial truck insurance costs
If you choose more than one type of insurance because of the things you transport, the amount will add up little by little. For this reason, considering which ones you will acquire is important. On average, the insurance expense is:
- Primary Liability Insurance: $ 5,000 to $ 7,000
- Physical Damage: $ 2,000 to $ 3,000
- Cargo Insurance: $ 1000 deductible
- Reefer insurance: $ 2,500 deductible
- Bobtail: $ 350 to $ 400
You can total $ 7,350 to $ 10,400. One way to pay for this is to fund the payment for several months. In that case the insurer will add interest rate charges. If it turns out this way, the trucking insurance company will ask for an initial 10 to 20%. Another case is that they divide the payment into 12 equal parts.