COMMERCIAL TRUCK INSURANCE COVERAGES

 

 

MOTOR TRUCK GENERAL LIABILITY INSURANCE

Often we think that risks associated with truck drivers are exclusive to their vehicle or the road. In truth, however, motor carriers face multiple liabilities outside of operating their motor truck or fleet. Various policies within commercial auto insurance encapsulate these different liabilities to ensure that coverage is robust and specific to the needs of the insurer.

Motor Truck General Liability Insurance is designed to handle injuries, losses and damages that arise from normal, day-to-day operations. More specifically, it protects the insurer from litigation and lawsuits that are the result of common workday tasks.

Motor Truck General Liability Insurance is distinct in that it covers damages that are in unison with the trucking business but do not involve the act of driving the truck. Coverage examples include but are not limited to:

  • Damages on location such as delivery sites, loading docks and truck stops
  • Injuries relating to falls or accidents that occur on premise
  • Losses due to incorrect distribution
  • Libel and slander

Motor Truck Cargo Insurance is a separate type of liability coverage.  Motor Truck Cargo Insurance covers the freight that is being hauled. It encompasses liabilities such as lost or damaged cargo due to fire, collision, theft or striking of a load. Some policies include cargo debris clean-up costs arising from accidental dumping, pollutant extraction from said dumping, further loss prevention, legal expenses and freight charges.

Why Is It Important to Have Motor Truck General Liability Insurance?

More and more companies are requiring Motor Truck General Liability Insurance for their motor carriers and for-hire truckers. It is the beginning of a commercial insurance policy and a lot of times there is a minimum amount of coverage required. State and federal regulations often mandate this type of truck insurance and necessitate proof to be compliant.

It is also important to carry Motor Truck General Liability Insurance because things happen in daily operations that are out of our control. Mistakes happen. Accidents happen. This type of liability coverage insures a broad range of situations including:

  • Bodily Injury
  • Personal Injury
  • Property Damage Liability
  • Advertising Injury
  • Medical Payments
  • Product and Completed Operations

Bodily injury covers the financial element of injuries sustained by a person or persons that have become hurt while on your insured premises. A person may slip and experience a broken bone or an item may fall during the delivery process and cause harm that warrants a trip to the Emergency Room.

Personal Injury is not limited to physical injury but rather includes mental and emotional suffering. Mental trauma experienced due to long-term physical pain can be classified as personal injury. Emotional suffering brought on by a cosmetic injury can likewise be classified as personal injury.

Property Damage Liability assumes repair or replacement costs for another person’s property.

 Advertising Injury is not a physical-type injury but rather an offense that causes sales decline and monetary harm to a competitor. It encompasses libel, slander, invasion of privacy, copyright infringement and product disparagement. Examples include, using defamatory statements against a competing business or utilizing a logo that does not belong to you.

Medical Payments are covered for persons who are injured on your premises. Your policy will define payment terms and conditions but general examples include coverage for doctor visits, hospital visits and stays, surgery, X-rays, EMT and ambulance fees, prostheses along with professional nursing service and care.

Product and Completed Operations protects you from the product that you are delivering. For example, if you are delivering devices meant for oral care and they contain a faulty mechanism that causes a person to choke, you will not be held liable.

Restrictions and Exclusions

Motor Truck General Liability Insurance is exclusively for motor carriers and for-hire truckers that interface with for-hire trucking risks. Fee-based hauling projects and fleet policies are not eligible. Additionally, if you operate a business in conjunction with for-hire trucking, you will not be able to secure a trucker’s general liability policy.

Motor Truck General Liability Insurance is not available in all states and drivers are limited to a 500 mile radius.

The following types of vehicles are excluded:

  • Buses
  • Cement trucks
  • Garbage trucks
  • Hearses
  • Ice cream trucks
  • Limos
  • Passenger vans

General liability insurance is available and the aforementioned restrictions and exclusions may qualify for liability coverage outside of Motor Truck General Liability Insurance.

Associated Costs

Costs surrounding commercial auto insurance are unique to the needs of your business.

Motor truck general liability insurance can be applied to a range of vehicles with date and time parameters or it can be all-inclusive 24-7. A hybrid plan can be implemented for a span of vehicles and you can work with your commercial insurance agent to incorporate pricing that works within your specified budget to hit your target overall cost per trucking unit.

Finding the Best Business Motor Insurance

Motor Truck General Liability Insurance is designed to protect the public and property. For this reason it is not set up to recover personal losses or business losses related to self. It is set up, however, to prove to for-hire businesses that you are capable of assuming the operational risks of a commercial carrier.

No matter what vehicle you have in your fleet or business, Commercial & Farmers has the commercial vehicle insurance to keep you covered.

Commercial & Farmers offers a wide variety of commercial vehicle insurance and has policies specific to commercial truck coverage.  Dedicated to understanding the needs of your business, Commercial & Farmers will work with you to find the best insurance at the lowest cost.

Commercial insurance auto coverages run the gambit from liability to driver protection to vehicle protection and cargo protection with specialty coverages as well. The team at Commercial and Farmers actively pursues up-to-date training and has the knowledge and expertise to be your trusted business motor insurance company.

MOTOR TRUCK CARGO INSURANCE

Motor Truck Cargo insurance provides insurance on freight or commodity hauled by a for-hire trucker, covering liability for cargo damaged. Some causes of lost or damaged cargo include fire, collision, or striking. Some Motor Truck Cargo insurance pays for debris removal and prevention of further loss to damaged cargo, legal defenses, and freight charges lost by the customer.

Motor Truck Cargo insurance is available on for-hire trucking risks with policies with one or more of the following body types:

  • Box Trucks
  • Car Haulers
  • Cargo Vans
  • Cement Mixers
  • Dually Pick-Ups
  • Dump Truck
  • Flatbeds
  • Tractor
  • Most Trailers

However, Motor Truck Cargo insurance is not available on garbage trucks, limos, hearses, buses, passenger vans, and ice cream trucks. Please contact Commercial & Farmers for additional information on how certain Motor Truck Cargo insurance plans may not be available for different industries.

ON-HOOK INSURANCE COVERAGE

 

Most On-Hook insurance covers repairs or replacement of vehicles not owned by your business when towing or hauling if damaged by collision, fire, theft, explosion, or vandalism. If your business offers towing services, On-Hook insurance is an important part of your coverage.

In order to be eligible to purchase On-Hook insurance, you must purchase Liability insurance and all vehicles insured on the same policy must have On-Hook insurance. The following businesses are eligible for On-Hook coverage:

  • Towing or service station services
  • Trucking for hire when hauling vehicles not owned by your business

A coverage limit must be selected for On-Hook insurance which determines the maximum amount your insurance company will pay per occurrence for damage done to all vehicles. Additionally, a deductible will be chosen for the amount you agree to pay out of pocket when there is a claim. Choosing a higher deductible could lower the price of insurance, but it should be an amount you can afford to pay out of pocket as well.

MOTOR CARRIER INSURANCE

 

Motor Carrier insurance protects your trucking business when using permanently leased independent contractors, such as for-hire owner-operators. To be eligible for Motor Carrier insurance, you must purchase Liability insurance. Additional coverages you can choose include:

 

  • Medical Payments insurance to pay for medical bills for you and any passengers in the truck if hurt in an accident or auto-related injury.
  • Motor Truck Cargo Insurance to pay for damages to cargo you are hauling.
  • Physical Damage coverage to pay for truck repairs if damaged in an accident.
  • Uninsured Motorist insurance to pay for injuries and damages to you or passengers and vehicle caused by drivers who do not have insurance or enough insurance to cover your injuries and damages.

BOBTAIL INSURANCE

Bobtail insurance protects a tractor when operated without a trailer, whether or not it is under dispatch. Often Bobtail insurance is confused with Non-trucking Liability Coverage. The difference is Non-Trucking Liability insurance covers a vehicle when driven for personal use instead of business use.

NON-TRUCKING LIABILITY INSURANCE COVERAGE

Non-Trucking Liability insurance covers use of a truck for non-business purposes. When using your truck on your days off, Non-Trucking Liability insurance may cover medical and other expenses associated with injuries to others or damage to others’ property you may cause. Non-Trucking Liability modifies the liability portion of your primary liability coverage policy.

Additional coverage for physical damage may be required by owner-operators driving on lease to a motor carrier. Physical Damage coverage will pay for truck damages caused by collision, overturn, theft, or natural disaster.

TRAILER INTERCHANGE AGREEMENT INSURANCE

Trailer Interchange Agreement Insurance covers non-owned trailers from physical damage in case the trailer is damaged. Please contact Commercial & Farmers for more information on this insurance product and we will be happy to assist you in deciding if it is the coverage you need!