It doesn’t matter if you own a single truck or an entire fleet; there’s a good chance you already know the high cost of trucking insurance. The difference in truck insurance costs versus regular passenger vehicles can be thousands of dollars or more.

This price difference is due to many factors that are out of your control. Because of this, it is a good idea to learn more about what impacts the cost of trucking insurance.

Weight

The weight of your truck impacts the insurance rates you pay. Heavier vehicles require you to purchase higher coverage limits, which means higher insurance rates.

Part of this is because of the amount of damage a heavier vehicle can cause than a lighter one. It also relates to how much more difficult it is to stop suddenly. Because of this, it is highly recommended that you research the options and compare prices to find the best commercial truck coverage.

Location

Some areas charge more for commercial truck insurance than others. If your truck or fleet operates on busy highways and interstates or in neighborhoods with a high cost of living, your insurance rates will be higher.

The rates may also change based on how far you are traveling. The cost for interstate truckers is typically higher than what instate truckers pay.

Cargo

The value and type of cargo being transported will impact how much you pay for trucking insurance. Every state has unique laws and regulations related to trucking cargo and insurance.

Trucks that move people (i.e., passenger carriers) or any types of hazardous materials would have to pay more to compensate for the possible risk of damage or injuries if an accident occurred.

While there are several factors that you cannot control, there are others you can.

Driving Record

A trucker’s driving record is one of the most influential factors on trucking insurance rates. If several people drive for a company or share a truck, each of the individual’s records can impact the insurance costs.

When hiring drivers, it is best to conduct comprehensive background checks on each driver. This is done to ensure they won’t cause your insurance rates to skyrocket.

Claims History

The claims history of a policyholder or business will impact the cost of insurance, too. If the policyholder has prior claims, they may not be able to find affordable insurance.

Before you file a claim, get the damage appraised. If the cost to fix the damage is cheaper than the deductible cost, it may be smart to fix the damage yourself. In these situations, avoid filing an insurance claim, if possible.

Understanding Truck Insurance Costs

When it comes to truck insurance costs, many factors may impact what you pay. It is good to understand what these factors are to help ensure you know what you will have to pay.

If you find the information here helpful, be sure to check out some of our other blogs.