If you have passed the commercial driver's testing, and are anxious to get a truck and start working, be sure you understand the different types of insurance coverage you need before taking that first trip. There is insurance required for legal purposes and other types to protect you financially. To be completely covered and safe, make sure you talk with an agent from a commercial trucking insurance company about the following coverage.
Commercial Auto Liability
While some insurance coverage is an option that will protect you and your business, liability coverage is mandated by law for every vehicle that is operated on public roadways. This is the insurance that you have on your personal vehicles. It pays for any damage or injuries another car or driver experience caused by you or your truck.
Physical Damage Coverage
This insurance pays for any damage to your vehicle, regardless of how it occurred. Paying for repairs can be quite expensive. Unless you have a sizable amount of money set aside, you could be out of business if you don't have the insurance coverage to keep your rig operating.
No matter what it is you are hauling, it needs to be insured. You do not want to have to pay for your load if something happens so that the recipient will not accept the delivery, or it is destroyed while in your truck. This coverage will pay for any product you are hauling that is stolen or damaged so you won't be paying for it out of your own pocket.
Bobtail insurance is additional insurance for the times when you are not hauling products for a customer. It is often an addition to the liability coverage you have and referred to as non-trucking business liability coverage. This is needed because your normal commercial liability coverage may stop once you are not actually doing business. In other words, while you are driving home, you are not covered commercially.
Non-owned Trailer Coverage
Because you will be hauling trailers that do not belong to you, it is important that you purchase insurance that will pay for any damage to or theft of them. While the customer will have insurance on them, it will not always. cover any damage that occurs while the trailer is in your possession. Having this coverage will keep you from having to buy your customer a new trailer or pay for any repairs.
A commercial trucking insurance agent can help you determine how much of each coverage you will need for the type of business you do. Consider how much it would cost you to pay for damages to property or injury to people. Paying a monthly insurance premium will save you a lot of money in the long run.
For more information, contact Truck Writers or a similar company.