Cover Your Trucking Company with Cargo Insurance

As an independent trucker, you understand the need for comprehensive insurance protection. Business auto and general liability coverage are legal requirements, but many truckers overlook a vitally important insurance add-on: load insurance.

Attract Potential Shippers

Safe Delivery of cargo becomes your obligation once the freight is in your possession, both while in transit or in temporary storage at your warehouse or loading dock. Consider the possible financial and legal ramifications if the cargo is damaged in the event of an accident. Will your company have the financial means to reimburse the shipper for the loss of the freight?

Because of the risk involved, more and more shipping companies now require for-hire truckers to carry load insurance. Having a quality policy in place makes your trucking concern far more attractive to potential customers.

Nuts and Bolts of Cargo Insurance

Typically, cargo liability covers damage or loss of freight due to a collision, fire or striking of a load. Coverage can also be written to include the time the cargo may spend in temporary storage on your premises.

Cost of cargo insurance varies from case to case. Some of the factors that will determine the expense include:

  • Value of freight
  • Size of trucking company
  • Amount of deductible
  • Limit of coverage

One way to cut costs on premiums is to choose a higher deductible, but it is vitally important that your company comfortably can pay the deductible in case of a claim. Consult an experienced load insurance agent or broker when determining your trucking concern’s plan of attack.