Physical Damage Truck Insurance
Physical Damage Insurance covers your truck or trailer if it is damaged. It consists of two different parts, Collision and Comprehensive and a deductible.
- Collision – This part of the coverage pays for damage to your truck when it collides with another vehicle or object.
- Comprehensive – This pays for almost every other peril your truck might face such as vandalism, fire and theft.
Physical Damage Insurance Rates
So, typically, what does truck and trailer physical damage insurance cost?
Physical Damage Monthly Premium is based on the value of the truck, years of CDL experience, and you or your drivers Motor Vehicle Record (MVR).
We can not determine the value of your truck or trailer. Your best option is to find out the value of your equipment and research equipment similar to yours online to find out what the purchase price could be or you may get the equipment appraised through a dealership.
Bobtail Insurance Coverage
What is Bobtail Insurance Coverage?
Definition: Bobtail insurance is a liability coverage for truckers when they are not under dispatch or the process of work. Bobtail pays for property damage or injuries to others that you cause while the trailer is detached from your truck.
How Bobtail Coverage Works…
Bobtail insurance is for owner-operator who has a signed lease agreement with a motor carrier. If an insured is no longer leased to a motor carrier, Bobtail Liability is not in effect. So, if no lease agreement is in place and an accident occurs causing property damage or bodily injury it will be covered by the insured directly.
Example of Bobtailing:
If the owner-operator drops off their load and trailer and while in transit but not under dispatch going to their next load has an accident causing property damage or body injury this is known as bobtailing and should be reported to their insurance carrier.
Cost of Bobtail Insurance:
Limits for Bobtail are $500,000 to $1,000,000 and the cost of Bobtail Insurance is a low monthly fee.
Non-Trucking Liability Insurance
What is Non-Trucking Liability Insurance?
Non-Trucking Liability Insurance is liability coverage for property damage and bodily injury to others. Non-Trucking Liability is coverage for non-business related errands, when you’re not under dispatch or in the process of work. You must be under a signed leased agreement for this coverage to be in effect.
Cost of Non-Trucking Insurance:
Typical Limits for Non-Trucking are $1,000,000 and the cost of Non-Trucking is a flat monthly fee and usually a few dollars cheaper than Bobtail.
Many truckers need this coverage because there will be times that the truck is driven for personal reasons. For instance you may drive the truck home or run to a store.
Bobtail Insurance vs Non-Trucking Liability
Non-Trucking Liability Insurance and Bobtail Commercial Insurance coverage are often confused with each other because of their similarities. Primary Liability coverage is provided by motor carrier and the Non-Trucking and/or Bobtail Liability is provided by the owner-operator. These additional types of liability coverage can offer coverage for incidents which the primary liability would not take responsibility for.
Trip Insurance (Trip Coverage)
Provides a Temporary Non-Trucking Liability Policy along with Physical Damage Coverage to an owner-operator to move the equipment from one point to another. This coverage is typically needed when purchasing a new truck or taking your equipment to a new motor carrier.
Anytime you are not leased to a carrier, you need to get Trip Insurance. Without Trip coverage in place there is no liability protection, and any accident that occurs causing property damage or bodily injury to another would be paid directly by the Owner-operator.
Trip Insurance is available to owner-operators who are not currently under lease with a motor carrier, but need insurance on their equipment.
We offer 3 types of Trip Coverage policies:
3 day Trip Coverage: This coverage is a 3 day Non-Trucking Liability policy, which averages around $150.00. Unlike other programs this program will provide the Trip coverage to older trucks. Physical Damage coverage can be added as well for additional fee.
10 day Trip Coverage: This is a 10 day Trip coverage policy. This coverage provides Non-Trucking Liability and Physical Damage for up to 10 days. This coverage is voided once an insured signs a lease agreement with a motor carrier even if the 10 days has not expired. This coverage is for equipment that is 15 years or newer. A one time payment is due at the time of activation.
30 day Trip Coverage: This is a 30 day Trip coverage policy. This coverage provides Non-Trucking Liability and Physical Damage for up to 30 days. This coverage is voided once an insured signs a lease agreement with a motor carrier even if the 30 days has not expired. This coverage is for equipment that is 15 years or newer. A one time payment is due at the time of activation.
Once leased on with a motor carrier, you also have the option to convert the temporary Trip policy to a permanent policy through Pennco Insurance Services.
Auto Liability
In order to run your own trucking company you will need Auto Liability Coverage.
Auto Liability coverage consists of two main components: Bodily Injury and Property Damage. These coverage will react in the event of an at fault loss, is reported.
Bodily injury will cover medical expenses, hospital bills, rehab/physical therapy, long-term nursing care, lost earnings, funeral expenses, pain and suffering, and other medical related expenses resulting from bodily injury or death of a third party when your equipment was at-fault.
Property damage will cover repair or replacement of damaged property, buildings, signs, etc. up to the policy limit which you are insured.
The Federal Motor Carrier Safety Administration requires all trucking and transportation companies to carry a minimum limit of liability coverage, which is $750,000 but most brokers and shippers require a million.
Cargo Liability Insurance
Motor Truck Cargo Legal Liability Insurance, more commonly referred to as “Cargo Insurance” covers losses or damage to the commodities the trucker is hauling while they are being transported. Cargo liability is purchased to cover any direct physical damage to these commodities. It’s one of the first coverage items a prospective shipper/broker wants to verify before offering a load to a motor carrier. Cargo Insurance policies are usually endorsed or modified to meet the needs and exposures of the particular carrier for hire. Insurance premiums and deductibles vary depending on the commodities hauled.
General Liability Insurance
Commercial General Liability or CGL as it is known is a standard insurance policy designed to protect your business/premises, against liability claims for bodily injury or property damage arising out of an accident associated with your business and/or business premises.
The coverage generally provides for a broad array of coverage options.
Coverage is subject to the exclusion noted in the policy.
Passenger Accident Coverage
Provides accidental death and dismemberment coverage and accidental medical expense coverage for guest passengers, with no deductible and no minimum age limits. (No coverage provided for co-drivers and/or employees).
Provides accidental death and dismemberment coverage and accidental medical expense coverage for passengers other than co-drivers and employees (guest passengers).
Gap Coverage
Gap insurance is an optional insurance coverage for newer equipment that can be added to your collision insurance policy. It may pay the difference between the balance of a lease or loan due on a vehicle.
Trailer Interchange
Trailer Interchange insurance provides Physical Damage insurance for trailers being pulled under a trailer interchange agreement. This is essentially Physical Damage insurance for non-owned trailers. This insurance protects you if the trailer is damaged by collision, fire, theft, explosion or vandalism.
Workers Compensation
Providing Workers Compensation is a statutory requirement for employers to provide medical loss of earnings benefit an accidental death benefits which are the result of a work related accident and or illness the rates vary on a state-by-state basis and are based on payroll.
Occupational accident coverage may be an alternative if you meet the state requirements see occupational accident coverage.
Occupational Accident Program
Occupational Accident Insurance is a work injury protection program.
To qualify you must be an Independent contractor, paid by a 1099, and have a signed lease agreement with a motor carrier. Occupational accident coverage protects the independent contractor if they are injured in an on-the-job, trucking-related accident.
Occupational Accident Insurance provides benefits up to the stated limits of the policy in the event of:
- short and long-term disability
- medical expenses
- accidental death
The benefits provided can assist you with:
- truck payments
- insurance
- rent/mortgage payments
- living expenses
Additionally, most motor carriers require owner operators to carry work injury insurance as a requirement of the owner operator lease agreement. In many cases, Occupational Accident Insurance can satisfy this requirement and is a more cost effective work related injury program then Workers Compensation Coverage.
Roadside Assistance Program
Our Roadside Assistance Program provides coverage for the following for a low monthly fee:
Tractor & Trailer Towing Together (up to 50 miles or 2 hours FREE )
- Flat Tire Assistance.
- Tire Replacement Assistance.
- Tire Repair Assistance. Mobile Mechanic Service. Oil, Fluid and Water Delivery Service.
- Truck Financing NEW ($500 Coupon) Engine Overhaul Financing NEW ($500 Coupon)
- Fuel Delivery Service. Lockout/Replacement Key Services.
- Jump-starts.
- Pull Start. Replacement Battery Delivery. Replacement Part Delivery.
- Light Winching/Extricating Assistance
- Discounted Hotel Stays
As a member, you are entitled to one full year (12 month period) of the full emergency roadside assistance and benefits described within the handbook beginning *15 days from date of purchase.