(For Hire) Trucker Insurance Explained

Being legally able to drive cargo for hire within the US, and if desired, Canada is a must for an independent trucker. The trucker has a need for insurance because it is required by law to protect the public and private interest of clients, workers and companies. Truckers file the truck tractors and trailers they own as well as the drivers they hire with their insurance carriers, and the insurance carriers file the needed forms to the state and federal regulatory agencies. Cargo insurance is purchased to give the needed protections against loss to the client. Physical damage coverage is purchased to protect finance companies or other owners against physical damage due to a covered loss. Often, companies will even assist with compliance reports/issues on behalf of the trucker, which is great because that is something the insurance company knows well.

Having a knowledgeable, helpful and accessible agent is invaluable when it comes to protecting your livelihood, and it’s important to understand which coverage is provided by the motor carrier to whom you’re leased and what additional trucker insurance you need to take care of on your own.

Your employer will generally cover you for protection against his liability should you be responsible for causing an injury, death or damage to someone’s property while under dispatch for his company. But there are other risks to address besides third-party liability. That’s where your trucker insurance comes in.

Additional Protections You’ll Likely Want

What about when you’re driving your tractor on your own time and become involved in a collision? You need liability protection then too, and it’s probably not covered by your employer’s policy when you’re off the clock.

There are many situations that put a trucker at risk, and for each of these, there are insurance options that can provide protection against financial loss. Whether it’s damaged or stolen cargo, a tree falling on your tractor while it’s parked somewhere, or slipping and falling off your trailer while tarping it, you need protection.

Find out what coverage your employer already has in place, and then ask your broker what else you need. Consider these insurance options:

• Bobtail or non-trucking liability
• Cargo
• Physical damage
• Commercial auto liability

Understand the risks you face and protect yourself from financial loss. It’s important.  

3 Benefits of Working With an Independent Insurance Agent

When shopping for good, quality insurance, whether it's life, health, auto, homeowners, business or some type of specialty coverage, consumers face the initial decision as to what type of agent they choose to use – direct writers or independent agents.   

    

Direct insurance writers are agents who work for a single insurer, offering only their companies' specific insurance products. Independent insurance agents are those representing an array of insurance companies and, as a result, they're beholden to no one, single provider.

When Buying Direct Isn't Necessarily Less Expensive

Ordinarily, you might think buying direct and bypassing any middleman (agent) would save you some money. When buying insurance, though, it's usually the independent insurance agents that have the best deals and can offer you the best prices.

In addition to the ability to often obtain better rates on your coverage, working with an independent insurance agent can provide you with several other benefits you may want to consider.

• Independent insurance agents work for their clients, not for a single carrier as do direct-writing insurance company representatives. As a client, your independent agent is your legal representative to the insurers with whom you take out coverage. They simply work to fulfill your specific needs as the insured.
• Since independent insurance agents rarely write only one or two types of coverage, your agent can bring you one-stop-shopping for a wide range of insurance products such as homeowners, auto, life, health and more. In addition to offering many various types of insurance, your independent agent has access to dozens (or maybe hundreds) of companies whose policies he or she can write. A qualified and competent independent agent can become a long-term advisor as your insurance needs change throughout your lifetime.
• An independent agent is licensed, insured and regulated to only act on your best behalf, as is his or her fiduciary responsibility. Just as medical doctors are insured against malpractice liability, independent insurance agents are insured against insurance sales malpractice. This gives you added protection that direct writers may not provide.

When choosing an independent insurance agent, select someone that provides dedicated, personalized service and who has access to the very best insurance providers in the industry. A good independent agent should be able to get you better coverage than you could find yourself and save you both time and effort while doing it.

How Does Replacement Cost Work in Home Insurance?

Purchasing homeowners insurance here in the Triad Region is much the same as buying it anywhere else except, of course, folks around here are extra nice! Like homeowners coverage everywhere, you buy it hoping you'll never need to use it, but if you ever have cause to file a claim you'll be glad you were wise enough to get good protection when you did.

Buying a homeowners insurance policy involves a substantial number of choices that have to be made. Besides deciding on which underwriter to utilize, you'll also have to select which of the insurance companies he/she represents you prefer, exactly what kind of coverage you require, how much of a deductible you're comfortable assuming, which of your possessions may require special, high value protection and more.

Another choice you'll be facing when taking out homeowners insurance is whether you want replacement cost coverage or actual cash value coverage. This decision will be a determining factor in the payout amount in the event you ever file a claim for a covered loss. It will also be a major factor in figuring your premium costs. Replacement cost coverage is more expensive to buy than actual cash value insurance but the amount paid on a claim will almost always be greater also. Here's how it works.

Benefits of Replacement Cost Coverage

Homeowners insurance covers you for losses in two distinct areas – dwelling and possessions. If you suffer a covered loss with a possession - if for example your TV and stereo system gets stolen - your insurer will settle the claim one of two ways:

1. With actual cash value (ACV) coverage, you'll be paid an amount equal to the cost of replacing your electronic equipment at its current value. This means buying like-branded and quality equipment, factoring in depreciation based on age and condition.
2. With replacement value coverage, you're reimbursed the amount required to purchase the same or similar equipment at today's prices with no depreciation included.

The same system applies when filing a claim for a loss involving some or all of your dwelling. If you were to lose your entire house to fire, a replacement value policy would pay the cost of replacing your home at today's prices, regardless of how much home values or the cost of building materials have increased. An actual cash value payoff would be based on the home's value with no regards to cost to repair or rebuild.

Buying Truck Insurance for the Local Indepedent Hauler

Staying safe, legal, and protected on the road is every truck driver's goal, whether operating under his/her own authority as an owner/operator or on lease to a motor carrier. Having the correct type of truck insurance is an important part of the puzzle, providing protection for you and your truck at all times, whether on the job, under dispatch, heading home with no load or on days off, when your rig is safely parked out of harm's way (or so you thought!).

As a local independent hauler, driving either here in the Triad area or elsewhere in North Carolina, affordable, quality truck insurance exists to fit your exact needs. Commercial truck insurance is specific to your particular industry and can be somewhat complicated, consisting of many different types of coverage, including:

• Commercial auto liability
• Physical damage coverage
• Cargo insurance
• Bobtail insurance
• Worker’s Compensation
• Non-owned trailer coverage

Who's The Boss?

If your rig and services are being leased out to a motor carrier then they will likely have you covered for liability while you're under dispatch for them. When on your own time, however, using your vehicle for personal reasons still opens you up to potential liability for which you need personal coverage. This type of liability coverage is designed to pay claims for personal injuries or property damage you cause while driving your truck for other than business use for the common carrier to which you're leased.  It's called Bobtail Insurance.

If you're an owner/operator driving under your own authority, you'll need to carry liability insurance covering you and your rig around the clock, regardless of what types of activities in which you're involved, business or otherwise.
Physical damage coverage comes into play if your truck is damaged as a result of a collision.  You can also add non-collision damage coverage for some losses not covered by collision or liability portions of the policy.

What Exactly Do You Need?

Since your truck represents your livelihood, protecting it with a quality truck insurance policy ensures that, even should something untoward occur, you'll have financial support to help cover your loss. It's important to understand exactly what coverage your motor carrier provides if you're leased out. This way, you can add coverage that they don't provide. Talk to your qualified, independent agent for assistance in understanding the options.