Commercial Truck Insurance: Understanding Your Options

Truck insurance is as varied and complex as any other industry and it is important that you fully understand all of your options before deciding on what coverage to buy.

You may find that you have very limited commercial truck insurance needs or that your needs are much greater than you previously thought.

Independent owner/operators should be especially careful when deciding on a policy, as their very livelihood depends on keeping them protected from extra financial burdens. They’re going to need to make sure their actual rig is covered in the event of accidents, even if the accident is ruled their fault by law.

Truck insurance provided to independent contractors by a motor carrier is usually only on-the-job coverage, so the independent driver may want to consider optional coverage to protect their own assets.

What follows is a quick and easy primer on a few readily available truck insurance options.

General Liability

This type of truck insurance covers company employees and vehicles from third party damage and bodily injury. It can also be used to protect companies from lawsuits related to medical costs or damage to property due to accidents where the company is found at fault. Think of this like typical business or event liability in terms of a trucking company, or a mirror to your basic auto insurance when applied to actual trucks.

Primary Liability

This is similar to general liability, but only covers costs associated with other drivers involved in accidents with commercial vehicles, and not the truck drivers themselves. Federal law requires this type of coverage for anyone operating a commercial truck in the United States.

Bobtail Insurance

Bobtail insurance is a specialized type of truck insurance that covers independent owner/operators when the trucking companies who contract them do not cover them. This way they can maintain coverage when not on the job without having to purchase a full liability policy.