Do you have the right coverage?
If your business involves the use of tractor-trailers, you’ll want to make sure you have the proper coverage in addition to your general policy. A good insurance agent will piece together the components needed to fully cover you depending on your individual situation. If you are leasing the tractor-trailer, additional insurance may be required, including Physical Damage, Non-Trucking Liability Insurance, and Bobtail Insurance. Primary Liability, Cargo Insurance, and Physical Damage are baseline coverages that should be included in any standard policy.
How Costs Are Determined
To calculate tractor-trailer insurance rates, several factors must be taken into account. The insurance agent will need to know what you are transporting, how far you plan to travel, what your driving record looks like, your CDL experience, your credit rating, where the trailer is being garaged, and how much the truck is worth. It can seem like a lot of information, but statistics show that these specific considerations impact the likelihood of damage occurring. Being honest with your insurance agent will help you secure the best protection for your tractor-trailer and business.
Managing Insurance Costs
Depending on your insurance needs, the price can put a dent in your commercial business revenue. You could always request a higher deductible, but this is not recommended. Opting for higher deductible plans means you will pay less for insurance now but can expect less coverage in return. If anything happens, you’ll need to have the money available to cover a large portion of the damages yourself and meet your deductible before insurance kicks in to help. Instead of going down this route, start saving money by asking your agent about discounts. You may qualify for a discount if you have a clean driving record, for instance. If you can make a lump sum payment instead of paying in installments, there is often a discount offered. Never let the cost of insurance prevent you from securing adequate coverage, especially when your business is on the line.