Commercial Truck Insurance: Covering The Needs Of Independent Drivers

Independent owner/operators are a vital part of the commercial trucking industry and all need truck insurance policies that mirror those required of motor carriers.

Over 400,000 truck drivers are independents, representing about 10 percent of the trucking industry. They help out large-scale motor carriers in times when they need extra drivers to haul their goods.

These motor carriers provide the basic primary liability truck insurance that the law requires. In some cases, they may also provide extra insurance to cover cargo and trailers.

If you are working as an independent owner/operator, you need to be aware of the truck insurance coverage being provided to you and the coverage you may need to purchase for yourself.

Bobtail Insurance

Bobtail insurance—also called non trucking liability or deadhead insurance—is a less-expensive form of primary liability truck insurance that covers your truck during the times you are not under contract.

Once you have completed your haul, you are no longer considered to be acting in service of your contracted employer. Your liability coverage, therefore, is no longer valid.

Bobtail insurance works by covering you during the times that you are not on the job. You save money in this way because you do not pay for extra coverage when a motor carrier is providing it to you.

Comprehensive Coverage

This coverage is not required by law and it covers damage to drivers’ trucks or property should any occur from an accident, vandalism, and theft. This serves as a complement to primary liability by ensuring that you have coverage damage to others as well as yourself. It is also referred to as physical damage insurance.

Cargo Insurance

This is another type of policy that covers the cost of damage to cargo while in possession of the driver during transit. It should probably be coupled with bobtail insurance to insure more comprehensive coverage. In some cases, cargo insurance will also cover trailers, but not always—it’s important to check with your agent for specific coverage info.