If you operate a truck for work purposes, including a semi-truck, obtaining suitable insurance coverage is essential. The MarketWatch Guides team will clarify what truck insurance entails, outline the costs involved, and suggest top auto insurance companies for acquiring truck insurance.
Key Takeaways
Factors influencing truck insurance costs can vary significantly.
Semi-truck insurance not only fulfills legal obligations for operating trucks but also safeguards you financially in the event of accidents.
Primary liability, physical damage, occupational accident, and general liability coverage are typically required for trucks.
What Is Semi-truck Insurance?
Similar to standard car insurance, truck insurance is required by law. Since driving a truck entails greater risk, you can expect much higher premiums than regular car insurance. These costs help shield you and your business from financial repercussions related to accidents. To find the most cost-effective rates, it is advisable to compare quotes from various companies.
Types of Truck Insurance Coverage
Several types of coverage are mandated for operating a semi-truck.
Primary Liability Insurance
Mandated by federal law but subject to state regulations, primary liability insurance covers damages for which you are at fault. It encompasses:
- Property Damage Liability: Covers repairs to another party’s property if you cause an accident.
- Bodily Injury Liability: Covers medical expenses for injuries caused by your accident.
Physical Damage Insurance
This insurance covers damage to your vehicle and includes:
- Collision Insurance: Covers damages to your truck regardless of fault.
- Comprehensive Insurance: Protects against non-collision incidents like theft or weather damage.
Occupational Accident Coverage
This insurance is crucial for truck drivers as it provides benefits for work-related injuries, similar to workers’ compensation, but with more flexible coverage options.
General Liability Insurance
General Liability insurance protects the business from damages that fall outside the physical damage policy.
Average Cost of Truck Insurance
Experts estimate the yearly cost of commercial truck insurance ranges from $9,000 to $16,000 for independent truckers with clean records. The costs can be lower, around $250 to $450 monthly, if you lease to a motor carrier. Rates vary by state and are increasing steadily.
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