Common Mistakes When Purchasing Trucking Insurance
If you are in the trucking business or planning to start one, having the right insurance is crucial. Protecting your business and livelihood starts with securing proper coverage. However, many trucking companies make costly mistakes when purchasing insurance. Paramount Insurance Agency is here to help you avoid these pitfalls and ensure you get the best protection at a price you can afford.
1. Buying Insurance Online Without Professional Guidance
It may seem convenient to purchase trucking insurance online, but this approach can lead to gaps in coverage. Trucking operations involve unique risks that require specialized policies. Without expert guidance, you may overlook critical coverage areas, leaving your business vulnerable. A trusted trucking insurance broker can help you navigate coverage options, limits, exclusions, and provisions tailored to your needs.
2. Choosing the Cheapest Policy Without Evaluating Coverage
While saving money is important, choosing the cheapest insurance policy can be a major mistake. Low-cost policies often come with minimal coverage, leaving you exposed in the event of a significant claim. If your policy limits are too low, you may be responsible for paying damages out of pocket. Investing in comprehensive coverage ensures your trucking business remains financially secure in case of accidents or lawsuits.
3. Working with a General Insurance Agency Instead of a Trucking Specialist
Not all insurance agencies specialize in trucking coverage. A general insurance agency may offer trucking policies, but they may not fully understand industry-specific risks. Trucking insurance specialists have access to a wide range of coverage options from top providers, ensuring you get the right protection for your specific operations. Working with an experienced trucking insurance agency helps you avoid costly mistakes and ensures compliance with state and federal regulations.
4. Failing to Understand Policy Exclusions and Limitations
Many trucking business owners focus on policy premiums without carefully reviewing exclusions and limitations. Some policies may not cover cargo damage, environmental cleanup, or specific types of accidents. Understanding your policy details is essential to avoid unexpected costs when filing a claim. Always review your coverage with an insurance professional to ensure you have the necessary protection.
5. Not Carrying Enough Liability Coverage
Trucking companies are required to meet minimum liability insurance requirements, but minimum coverage may not be enough. Accidents involving commercial trucks can lead to costly claims, including medical expenses, property damage, and legal fees. Having higher liability limits provides better financial protection and ensures your business remains secure.
6. Overlooking Non-Trucking Liability and Physical Damage Coverage
Owner-operators who lease to motor carriers often assume they don’t need additional coverage. However, non-trucking liability insurance (bobtail coverage) protects you when operating your truck without a trailer or outside of dispatch. Physical damage coverage is also essential to repair or replace your truck in case of an accident. Failing to include these coverages can lead to significant financial losses.
Protect Your Business with the Right Trucking Insurance
Avoiding these common mistakes can save you time, money, and headaches. Paramount Insurance Agency specializes in trucking insurance and can help you find the right policy for your needs. Contact us today to ensure your trucking business has the coverage it needs to stay protected and compliant.
Call Paramount Insurance Agency at 336-869-3335 for expert trucking insurance solutions!
