From Fur Babies to Fire Hydrants: Your Home Insurance Premiums

When I got my kids a dog, I had no idea that it could affect my homeowners insurance. I happened to run into my insurance agent in the store when I was buying dog food and he asked me what kind of dog we had. When I told him, he said I should stop in the office the next day. I had no idea that things like this could affect premiums, so I started asking what else could do it as well. I created this site to help others understand some of the finer points of homeowners insurance and what they should think about to manage their rates.

Which Commercial Transportation Insurance Coverage Is Best For Your Company's Fleet?

Insurance Blog

If you transport people, equipment, or bulk cargo, you need more protection than a standard business auto insurance offers because higher risks are involved. Commercial transport insurance is suited for buses, commercial trucks, and specialty vehicles like dumpster trucks. This type of insurance has all the protection of ‌standard business auto insurance, plus shielding for risks unique to bigger transport vehicles, e.g., trailer damage. If you own a shipping and logistics business, it is highly desirable to have the protection of this kind of insurance. Which is the most desirable coverage in commercial transport insurance?

1. Motor Truck General Liability Insurance

This is the most popular form of commercial transport insurance. This primary insurance coverage is a legal requirement by the Federal Motor Carrier Safety Administration (FMCSA). It covers all third-party claims, including injuries and medical claims resulting from them. Damage to third-party property and commodities is also covered.

This insurance also covers cargo loss or damage while it is in transit, as well as products being loaded or unloaded, but only if a covered employee caused the accident. Finally, it protects your company from misleading advertising, libel, and slander charges.

2. Motor Truck Physical Damage Insurance

This is coverage for your vehicle's physical damage, such as collisions, fire, theft, vandalism, and natural disasters like wildfires. When a commercial vehicle is destroyed or stolen, this replaces a loss of value or actual repair costs. The compensation, however, differs from one provider to the next.

3. Commercial PIP (Personal Injury Protection)

This is the most expensive kind of commercial transport insurance. It covers medical expenses in the case of bodily injury, disability, or lost income for you and your employees. This is called "employers' liability" because it protects employers from liability claims caused by their employees.

4. Business Income Insurance

This provides income protection for your business if you have an accident interrupting your workforce. It meets wage replacement and out-of-pocket medical expenses from injuries incurred in the accident.

5. Pollution Liability Insurance

This is coverage for expenditures incurred due to pollution of the air or water caused by the cargo you transport. If there is a spill or overflow that causes property damage, bodily harm, or death in the area where you operate a business, you will require this. It may, for example, be used to mop up an oil leak caused by a crashed oil tanker.

Are you worried about the risk exposure to your transport business? Talk to an insurance agent about suitable commercial transportation insurance coverage.


13 January 2022