Save Money By Choosing The Right Commercial Insurance

November 8, 2021 by Susan Paige

One of the most important things you need to think about when establishing your trucking business is the right commercial insurance. Federal laws require you to meet a minimum when it comes to primary liability coverage, and some states may also impose their own minimums.

But if you’re new to the business, you might be feeling a little lost and confused as you try to navigate the world of commercial trucking insurance. Don’t just settle for any standardized plan that’s offered to you — seek the right coverage so you can save money in the long run.

Choosing The Right Coverage Can Save You Money — and Headaches

Although you’re usually only legally required to meet a minimum amount of primary liability coverage, full coverage truck insurance has the potential to prevent a lot of headaches. It can save you a ton of money, protect your business, or help you with legal fees if anything untoward occurs. Even if you don’t have full coverage, having just the right kind that suits your business’s needs can be a life-saver in the most unexpected of times.


For example, you won’t have to pay for everything out-of-pocket if you are hauling a load of significant value and some of the goods get damaged or lost due to vandalism or theft. Cargo insurance can help to reduce the cost of replacing the goods significantly.


And if you find yourself getting into an accident when you are driving a tractor without a trailer, bobtail insurance (which covers accidents and events that occur when trucks are driven off-duty without a trailer) can help you pay for damages.

No Need to Pay for Extras


Making sure you have the right commercial insurance coverage also means that you can save money by only paying for the coverage you need. Often, insurance policies can get bloated by contingencies and clauses for things that you would never encounter in your line of business. Sometimes, there may be clauses that simply aren’t worth it at all.


The national averages for commercial truck insurance vary depending on the industry. Specialty truckers (in niche industries such as logging, septic waste, or garbage) pay an average of $640 every month. Transport truckers (goods haulers) average out at $982 per month.


If you work with your insurance provider to make sure you are only paying for exactly what you need, you might find yourself saving a significant amount of money on your premiums in the long run. Remember that insurance costs may also vary from state to state, so yours may be higher or lower depending on the average prices in your area.

Figuring Out The Correct Insurance Coverage for You

When you’re still trying to figure out the insurance coverage you need, the best place to start is by assessing your truck or equipment and the potential risks you may find yourself in. Having this knowledge at hand can help you in the next step: shopping around for quotes.

One of the best ways to make sure you’re getting a fair and honest deal is by seeking quotes from multiple insurance providers and comparing them. Figure out the best value and narrow down your choices, then research the companies to see whether they have good reviews and histories with their customers. Don’t settle on a company until you’re comfortable with your choice.

Speak with your insurance provider to make sure that every aspect of your risks is covered, and ask them whether there are any potential risks you should also seek coverage for. Once you have a tailored plan, you can then look into the best payment option for your business.

You can choose monthly payments if you don’t have enough to pay for the yearly cost. However, you may often find there are some discounts for paying annually.

There’s No One-Size-Fits-All

Commercial insurance can be confusing sometimes because what might work for one company may not work for yours. Every business has different needs that can only be fulfilled by a customized policy to cover any potential risks. Work with your insurance provider to ensure your policy is up to date with your needs and doesn’t include any unnecessary clauses!

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