Nearly every state requires insurance for all sorts of vehicles, including big rigs. Risk managers also require that “for-hire” truckers have insurance before they can get a contract for trucking assignments. Insurance, such as general liability, can be purchased through a Texas truck insurance agency and pays for any Texas or injury sustained as a result of activities not directly related to the operation of the truck.
General liability typically comes into play when you experience any physical injury, property damage, advertising injury liability, or damages to rented premises. Many truckers take it upon themselves to get trucking liability insurance in order to be compliant with the laws. This is the minimum insurance needed in order to be able to operate a big rig and is often the costliest aspect of any trucking insurance policy.
You should buy a policy that will answer for any damage to persons or properties in the course of driving your truck. The amount of your premium will depend on the kind of truck and the cargo that is being transported. The minimum is generally $75,000, but most shippers will require you to carry up to $1,000,000 dollars worth of coverage. Haulers of hazardous materials, such as gasoline and other dangerous chemicals, may be required to carry up to $5,000,000.
The cost of insuring a truck is determined by a wide variety of factors, which includes the type of cargo being hauled, distances traveled, the operator’s driving record and other factors can come into play as well. Average for-hire operators can be expected to pay up to $12,000 annually for a policy.
Commercial truck insurance can be broken down into four main types:
Liability insurance – this is mandatory insurance that pays for any damage you cause with your truck. Driving without this insurance is against the law and could result in heavy fines and penalties.
Bobtail insurance – also known as deadhead or non-trucking liability, is voluntary and covers your truck when you’re on the road, including when you’re having it serviced.
Motor Truck Cargo – this insurance specifically covers the load you’re carrying. While not mandatory, most shipping companies insist on it being in place.
Physical damage coverage – While not a legal requirement, this insurance covers your truck against perils like fire, theft, and flood damage.
Make the smart choice and speak to a Texas truck insurance agency about your personal needs and concerns regarding coverage.