Leasing your commercial trucks from a motor carrier instead of purchasing them yourself will minimize your overhead. Driving under your own authority comes with a steep price tag, after all. While the state may have slightly lax guidelines on licensing lessees, you still cannot forego the proper insurance policies. In fact, most lessors only work with insured lessees.
Federal guidelines require commercial trucks to carry sufficient insurance based on their cargo. Trucks under 10,000 pounds hauling non-hazardous cargo, trucks over 10,000 pounds hauling non-hazardous cargo, private/for-hire carriers transporting oil, and private/for-hire carriers transporting hazardous cargo need 300K/750K/1M/2M worth of insurance, respectively.
Assured Standard shares that commercial truck insurance can cover third-party property damages in the event of a road accident. Read our resources to learn more about liability protection against property damages.
Always read the contract provided. Some underhanded motor carriers sneak in unfair terms and conditions without the lessee’s knowledge.
Compare the insurance quotes of at least four to five different insurance companies. See how the coverage terms vary.
Trust us—you’ll save at least a thousand dollars or two per annum if you pay your premiums in bulk.
For a faster application process, make sure you have your employed drivers’ driving records, certificates, paperwork, and licenses.
If you have doubts about how much insurance lessees need, consult your lessor. Most motor carriers already have sample policies for their lessees to sign and submit, although you have the freedom to select your preferred insurance provider—of course.
Unsure if your liability coverage covers potential truck damages? Refer to Assured Standard. Check out our quick guide comparing state-mandated liability requirements versus the average truck repair costs.
Arthur Williamson graduated with a degree in Business and Management at the University of California, Berkeley. He is knowledgeable about what small and big businesses require to keep operations moving.
