The transport industry can be confusing to navigate when it comes to commercial insurance. As you meet with an agent, they will throw out terms like commercial liability, non-trucking liability, occupational accident and so many more. There are many policies that can bundle the needed coverage, but be sure to include motor truck cargo insurance.
Whether or not you want to add this additional and sometimes expensive coverage, most carriers and clients will not do business with you unless you have a substantial policy in place. Cargo insurance protects the insured and the owner of the goods being transported while it’s in the care of the transporter.
Here are a few tips to understanding what your policy will need:
- Coverage limits that satisfy clients and any state regulations. The average limits usually fall between $20,0000 to $100,000.
- Exclusions and limitations may apply depending on your cargo. Liquor, electronics and garment hauls are often the target of such exclusions.
- The limits for loss due to theft of cargo often have a higher deductible but a capped limit beneath that of the cargo limit.
- Exclusions almost always apply when loss occurs due to leaving the vehicle unattended.
Motor truck cargo insurance bridges the gap in coverage often left by commercial coverage policies. Speak to a broker specializing in truck insurance for more details.