What Businesses in Massachusetts Need Commercial Truck Insurance?
Most Massachusetts businesses in the freight industry should carry commercial truck insurance. This tends to be the most applicable insurance for these businesses, and not carrying adequate coverage can leave businesses exposed to property, liability and legal risks.
Some examples of businesses that can likely benefit from this insurance include:
- Local and regional freight companies
- Long-distance and inter-state freight companies
- Long-haul truckers who operate as their own company
- Waste removal and recycling companies
- Moving companies that use tractor-trailers and/or box trucks
- Contractors who have commercial trucks
- Farmers and other agricultural businesses with commercial trucks
In some cases, businesses may need commercial truck insurance alongside other insurance products. Contractors and farmers often need this type of policy for their vehicles, but more coverages are usually needed to protect against other risks. In these situations, the commercial truck coverage might be purchased on its own or folded into a more expansive policy.
An insurance agent who specializes in commercial truck insurance can help businesses determine whether this insurance is right for them. An agent can assess transportation-related risks, make an informed policy recommendation and suggest other insurance policies that might be helpful.
What Protections Are Offered by Commercial Trucking Policies?
Although a policy’s exact protections can differ, most commercial trucking policies offer coverages such as the following:
- Physical Damage Coverage, which may insure owned trucks and owned trailers with collision and comprehensive protection
- Interchange Coverage, which may insure non-owned trailers with collision and comprehensive protections
- Motor Truck Cargo Coverage, which may insure cargo that’s transported within a truck or trailer
- Downtime Coverage, which may extend physical damage coverage for a truck and trailer to when they aren’t in use
- Non-Trucking Coverage, which may extend physical damage coverage to when a truck is driven for personal use (i.e. going home)
- Liability Coverage, which may cover injuries and damage to others that occur during an accident
- Uninsured and Underinsured Motorist Coverage, which may cover accidents caused by improperly insured drivers
Some of these coverages are also known by other names: motor truck cargo coverage is also called trailer cargo coverage, and interchange coverage is sometimes called unidentified trailer coverage.
Additionally, there is a nuanced difference between downtime coverage and non-trucking coverage. Downtime coverage typically covers periods when a truck isn’t in use, perhaps when a truck is parked in a parking lot for example. Non-trucking is normally for when a truck isn’t just not used for work, but it’s temporarily being driven as a personal vehicle.
These specialized coverages and the nuances between them are largely what set commercial trucking policies apart from many other commercial vehicle insurance options. It’s also these coverages that make working with a knowledgeable agent so important when selecting a policy.
What Are Commercial Trucking Policies’ Premiums Based On?
Many factors go into determining what a commercial trucking policy’s premiums will be. Some of these factors often include:
- Training and certifications of employees who will be driving
- Whether trucks are operated within an area requiring hard hats (e.g. construction site)
- Whether trucks are transporting heavy equipment or hazardous material
- Distance that trucks will be driven on an annual basis
- What states trucks will be operated in
An independent insurance agent who’s able to compare policies from different companies can help freight companies find out how much properly insuring their trucks will cost.
How Can Freight Companies in Massachusetts Get Commercial Trucking Insurance?
For help insuring commercial trucks that are registered in Massachusetts, contact the independent insurance agents at Scott Insurance Agency. Our team will help you determine what coverages your trucks need, and we’ll work hard to find a commercial trucking insurance policy that meets those needs well.