Assured Standard Logo
FREE Quote
Owner Operator Insurance

Being an owner-operator of a commercial truck comes with plenty of advantages, but with an equal amount of responsibilities. Indeed, you DO have control over your truck operation, but you will need owner-operator insurance to protect your investment.

FREE Instant Quote for Commercial Truck Insurance!

    What kind of truck do you have?

    When do you need it?

    Commercial Truck Insurance
    Independent Owner Operator Insurance
    Get a Free  Tow Truck Insurance Quote Today

      What kind of truck do you have?

      When do you need it?

      Independent Owner Operator Insurance

      Just recently purchased your own truck and decided to go independent? Good for you! Now you have the freedom to haul your preferred goods and drive where you wish to!

      But slow down —  first, you need to make sure your investment stays safe. Independent Owner Operator Insurance is the answer to that.

      Independent Owner Operator Insurance

      Being an owner-operator of a commercial truck comes with plenty of advantages, but with an equal amount of responsibilities. Indeed, you DO have control over your truck operation, but you will need owner-operator insurance to protect your investment. As an owner-operator, there might be the potential for loss in your business due to an accident. This makes having the right insurance even more critical.

      Don’t wait for an accident to happen. Feel the maximum potential of your truck business with peace of mind that you and your vehicle obtain with proper insurance. This includes owner operator liability insurance, which covers damages that you might cause in case of a road accident.

      Read through to learn more about recommended commercial truck insurance coverages as well as the insurance requirements for owner-operators, as well as the insurance applicable to interstate drivers.

      What is Owner Operator Insurance?

      Independent Owner Operator Insurance

      Owner operator insurance is a liability insurance for all independent truck operators. Due to the massive size of a commercial truck, it can potentially cause larger damage and more severe injuries on the road. With that, as a truck operator, you are expected to obtain this insurance to cover the damages you might cause in case of a road accident. 

      Without liability insurance, an owner-operator may encounter financial difficulties if a major collision or road accident occurs. Many independent contractors face liability charges due to accidents and are forced to shut down their hauling business because of the lack of proper insurance to cover them. That's why insurance for owner operators is not just recommended but essential.

      Typically, truck owners are offered $750,000 to $5 million in insurance to maintain their hauling operations steady in case of an unforeseen accident. 

      What Other Additional Owner Operator Truck Insurance Coverages Are There?

      To assist you in deciding on the best insurance policy to obtain, take note of the following insurance coverage: 

      Bodily Injury Liability

      This insurance is frequently combined with property damage liability Insurance. If in case you get into an accident that places other people in danger, this insurance should pay the amount you are obliged to pay. Aside from that, you can obtain legitimate defense through this insurance in case you get sued by the involved parties.

      Other related costs that you could be legally obligated to pay due to the accident include:

      • Hospital and medical bills
      • Rehabilitation and aftercare recovery
      • Funeral expenses
      • Lost wages claim

      Property Damage 

      As mentioned beforehand, property damage liability is obtained together with bodily injury liability insurance. This insurance should prevent you from shelling out money out of your pocket to pay for any damage you may have caused on anyone else’s property. 

      When it comes to property, anything tangible that you cause damage upon is included in the coverage. For instance, if you swerved to avoid an animal on the road and accidentally collided with another car; you can pay for the damages using this insurance. 

      Similar to previous insurance coverage, property damage liability can cover legal defense expenses in case you are sued as a result of the damages. 

      Physical Damage

      Any insurance coverage that secures your vehicle belongs under physical damage coverage. The liability insurance could include collision and comprehensive insurance, depending on your preference. 

      Here we will further discuss the differences and benefits of each. 

      Collision Insurance

      truck collision

      Depending on the extent of damage to your vehicle and the amount of insurance you purchase, your collision insurance can cover the repairs or replacements your truck needs. 

      Comprehensive Insurance

      If the damage to your vehicle is not caused by a collision or accident, comprehensive insurance coverage can pay for the repair or replacement of the vehicle or its parts. 

      Damages other than collisions covered under this insurance include:

      • Fire accident
      • Theft of parts including wheels, bumpers, side mirrors, or the entire vehicle
      • Vandalism on the surface of the vehicle
      • Glass-breaking to enter the vehicle

      Motor Truck Cargo

      One of the most critical insurances for independent contractors is motor truck cargo insurance. This provides coverage for freight, commodity, goods, or items that you are hauling and transporting. 

      In case of lost or damaged cargo due to fire, collision, or theft, this liability insurance should pay for the amount required from you. 

      Motor Truck General Liability

      Frequently confused with previous coverage, motor truck general liability covers any damage or injury you may have caused while performing business activities. Take note that these damages or injuries are directly unrelated to ones caused by your truck; it focuses more on your trucking business operations. 

      How Much Do Owner-Operators Pay For Insurance?

      The amount varies widely across insurance companies. Some pay as low as 4 figures yearly or as much as 8 figures yearly. Factors that affect owner-operator truck insurance costs include: 

      truck insurance
      • Number of trucks
      • Truck’s specifications including size, age, model, and condition
      • Owner operator’s driving record or experience
      • Preferred annual coverage
      • Route distance 
      • Commodities 
      • Coverage options 
      • Preferred deductible

      Owner Operator Truck Insurance For Long-Haul Truckers

      If you are an interstate driver, often covering distances of thousands of miles, there is special insurance coverage for you. Typically, owner-operators that exceed a radius of 300 miles on a regular basis are eligible to purchase securities tailored for interstate business. 

      Once more, coverage varies widely across insurance companies. Some of the common coverage and limits for insurers that cover the business of long-haul truckers include the following:

      • Motor Truck Cargo General Liability
      • Physical Damage
      • Motor Truck Cargo
      • Property Damage
      • Bodily Injury Damage

      Ensure Your Business By Insuring It!

      Carefully examining the coverage presented to you is vital to obtaining the most comprehensive protection you can get for your trucking business. While affordable insurance may seem reasonable, it does not offer you the most extensive coverage. 

      Basic liability coverage like motor truck cargo general liability is similar across almost all insurance companies, so pay close attention to the limits and deductibles. You don’t want to get owner-operator insurance that costs $50,000 when you have to shell out almost half the amount as deductible. 

      Keep your trucking business and your revenue safe with reliable owner operator truck liability insurance. You will never know when an accident on the road happens. It’s more beneficial to invest in insurance now than pay for damages out of your own pocket later!

      Frequently Asked Questions

      What are the types of insurance coverage available for owner operators in the trucking industry?

      A variety of policies are available for owner operators, including auto liability coverage, physical damage coverage, motor truck cargo coverage, and non-trucking liability coverage. In addition, rental reimbursement and trailer interchange coverage can be beneficial for those who rent equipment or haul trailers that do not belong to them.

      Why is auto liability coverage critical for owner operators?

      Auto liability coverage is crucial as it covers the cost of bodily injury and property damage to others in the event of an accident where the truck driver is at fault. Given the risks involved in the trucking industry, this type of insurance is not just beneficial but often a state requirement.

      How can owner operators protect against losses not related to accidents?

      Owner operators can protect against a range of other losses using various types of insurance. Workers compensation can cover injuries to employees, while errors and omissions coverage protects against claims made due to negligence or failing to perform.

      What factors can influence the cost of insurance for owner operators?

      The cost of insurance can be influenced by a variety of factors including the type and value of the tractor and trailer, the motor carrier's authority and safety rating, the state in which the business operates, and the owner operator's driving history and claims record.

      How can I get a quote for owner operator insurance from Assured Standard?

      You can get a quote for owner operator insurance from Assured Standard either by visiting our website or by contacting one of our knowledgeable agents over the phone. When requesting a quote, be prepared to provide detailed information about your business, including the types of products you transport, the states you operate in, and specifics about your tractors and trailers. Our team at Assured Standard is committed to helping you find the right coverage for your needs.

      assured standard logo
      Assured Standard will protect your business with the right insurance, depending on your needs. Now more than ever, it’s crucial to have the right general liability insurance experts on your side. Protecting the future of your business starts today.
      Commercial Truck Insurance
      Business Insurance
      Copyright © 2024 Assured Standard. All Rights Reserved.
      cross linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram