commercial trucks

Common Misconceptions about Commercial Truck Insurance

Commercial truck insurance comprises a set of distinct auto insurance plans tailored to cater to the requirements of trucking enterprises. Fundamental policies for commercial truck insurance protect your trucks in case of accidents. Collision and comprehensive coverage encompass various perils, offering extensive protection against most damages. Tailored options for your fleet within commercial truck insurance include safeguards against additional risks and specific liability concerns. Enhance your coverage with an economical add-on to protect your investment while transporting valuable or time-sensitive materials nationwide.

Who Needs Commercial Truck Insurance?

Determining the necessity of Commercial Truck Insurance involves various entities, such as independent owner-operators, truck drivers, commercial transportation businesses, and any enterprise engaged in trucking, transportation, or related activities. Whether you possess a solitary truck or manage an extensive fleet with a nationwide reach, adhering to the law mandates the acquisition of basic commercial truck insurance. This insurance category satisfies legal requirements and presents a range of options for tailoring protection according to specific needs. Notably distinct from commercial auto insurance, commercial truck insurance is meticulously crafted to address the unique aspects of trucks and cargo. The Federal Motor Carrier Safety Administration (FMCSA) stipulates that any commercial operation involving trucks must possess a commercial truck insurance policy to ensure compliance with regulatory standards.

3 Common Misconceptions

Undoubtedly, the foremost misconception revolves around the assumption that an insurance policy extending coverage to a truck or a fleet inherently includes any driver operating those vehicles. Succumbing to this misleading belief can lead to significant complications in the aftermath of an accident. In truth, most insurance policies exclusively cover drivers explicitly named in the policy. To broaden coverage to encompass any driver, requesting a Permissive Use endorsement for your policy is imperative. This endorsement ensures protection for any driver granted permission to operate the truck and possessing the requisite credentials, such as a CDL license, in case of an accident. We strongly advise you to permit drivers explicitly listed in your policy to operate any of your commercial vehicles if this endorsement is in effect.

Almost as often, owner-operators and fleet managers believe that their commercial trucking insurance automatically safeguards their vehicles, regardless of usage. Regrettably, this assumption falls short, as insurance policies typically do not protect outside official business operations in the event of accidents. Additional coverage may be necessary to secure coverage for situations like personal use, being on clients’ property, or any other uses not encompassed by the existing insurance. Consulting with your insurance agent is invaluable in navigating the specific required coverages tailored to your circumstances.

The last common misconception grinds our gears. Your insurance policy does not automatically cover losses arising from a truck being inoperable due to an accident. These expenses can accumulate rapidly, with each day of downtime resulting in lost income. Renting a replacement truck and addressing emergency expenses can significantly impact your operation’s profits. Downtime insurance alleviates concerns associated with truck inactivity. Generally encompassing any income loss, towing expenses, and reimbursement for rented trucks, this insurance ensures your operations continue smoothly even during unexpected interruptions. It is strongly advised to consult with your trucking insurance agent before forgoing downtime insurance coverage.

The Daniel & Henry Company provides comprehensive, value-added insurance solutions specifically designed for your trucking business, evaluating your needs and risks while improving loss control programs to bring down overall insurance costs.