Truck Insurance Buyers Guide: General Freight Cargo Insurance

Just like with any business that requires insurance coverage, commercial truck insurance offers a vast array of policies and configurations.

Commercial trucking itself is very diverse as an industry. Many aspects of the industry are regulated by law for reasons of safety, economic security and environmental factors. Since trucks are used in so many applications, certain trucking companies are affected by such regulation and some are not.

While all trucks on the road are required to carry financial responsibility in the form of primary liability, cargo insurance and even trailer insurance aren’t necessary commodities by law.

Certain truckers may not need to carry these policies at all—independent owner/operators, for example, are fine carrying simple bobtail insurance or non-trucking liability—a policy that covers their truck with primary liability during the times they aren’t covered by their contractor’s insurance.

If you’re a motor carrier or an independent driver that consistently uses your own trailer, you will definitely need some type of cargo insurance to cover your customer’s goods in the event of loss.

A good policy for those who typically haul general non-hazardous goods is general freight.

General Freight Truck Insurance

There are many types of cargo insurance out there to accommodate for the vast fluctuation in value of goods typically transported by commercial trucks.

While specialized policies tend to exist for fragile, dangerous, or simply high-dollar cargo, general freight policies offer blanket coverage to drivers who carry typical dry goods.

General Freight Pricing

A general cargo insurance policy tends to fluctuate in coverage amounts from about $10,000 to $100,000—usually anything greater than that gets into specialized territory. Hazardous materials, for example, like fuel or poisonous chemicals, are generally required by local or federal legislation to have higher coverage amounts.

Perishable goods can also require specific coverage to benefit the driver, shipper and insurance companies. Produce haulers insurance is an example of specialized cargo insurance for those transporting foods daily.

Other Policies to Consider with General Freight

It’s always necessary to have primary liability coverage and truckers often opt for comprehensive coverage to ensure their equipment is taken care of in the event of an accident.

Trailer insurance may be necessary as well in order to protect trailers owned by your trucking company.