Advice on How To Save Dollars From Your Commercial Truck Insurance

Strong Tie Insurance October 17, 2019 Commercial Truck Insurance

Running a successful business involves making tough financial decisions. Juggling your budget is no easy task. Of course, going without commercial truck insurance could put your company in danger. Since skipping insurance isn’t an option, you want to find the best deal that fits your needs. Since not all insurance companies are created equally, it’s essential to do your due diligence when comparing options.

Here is the best advice on how to save money on your commercial truck insurance.

Check The Price Tag

While the actual price isn’t the only factor to consider, it’s undoubtedly going to be the most obvious. You need to find an insurance plan that offers exactly what your company requires. You don’t want to overpay for your plan, but you don’t want to skip essential elements. 

Understanding which factors impact price will ensure that you can get the best price for your coverage. Here the main factors insurance companies use to determine price:

  1. Types of coverage you want
  2. Kind of cargo you haul
  3. Where you store and deliver cargo
  4. Models and number of vehicles in your fleet
  5. Driving records of those who drive your trucks
  6. Your company’s safety and inspection history

Take note that the best value doesn’t always come from the lowest price. Make sure to consider additional elements of your insurance policy. You should always strive to find the exact coverage at a price that fits into your budget.

Read More: What Determines the Cost of Your Commercial Truck Insurance?

 

Understand The Types of Coverage

Since your company has unique needs, there is no one-size-fits-all insurance policy. Understanding the variety of insurance options and knowing your individual needs is the best way to find your best-fit package. Here are the most common types of insurance options and what they cover:

General Liability Insurance: The action of a driver on someone else’s property: loading docks, truck stops, and mistakes made in delivery.

Primary Liability: The damage your driver causes while operating your truck

Physical Damage: Property damage to your equipment from an accident or theft.

Non-trucking Liability: Physical damages or injuries to others while your commercial vehicle is not under dispatch.

Motor Truck Cargo: Shipment in case of theft, wet damage, a breakdown in refrigeration, etc.

Trailer Interchange: Non-owned trailer being used under a trailer interchange agreement.

Medical Payments: Medical bills for your driver or passenger who is injured while traveling in your truck.

Uninsured/Underinsured Motorists: If someone else causes an accident to your vehicle and does not have sufficient insurance to cover damages.

Stick with Insurance Companies that Know Your Business

While it’s easier to consider the individual pieces of coverage in your policy to save money, it’s wiser to work with an insurance provider who understands what you do. The primary role of an insurance company is to assess risk and responding to claims. You want an insurance company that understands the risks you face the kinds of accidents you might encounter. 

Imagine a scenario where your company hauls hazardous materials. If there is an accident, these materials could cause additional damage or create a health risk. An insurance company that knows your business understands the importance of getting that material cleaned up right away. If your company doesn’t act quickly, you could spend more money paying for damages while waiting for the local authorities to take action.

Read More: How to Choose a Commercial Truck Insurance Company

 

Go for Great Customer Service

When evaluating an insurance company, make sure to consider their customer service. You may not think this is something that will impact your wallet, but there is a direct link. Even if your plan has an excellent price from an experienced agency, it won’t do you much good if the service is poor.

If your insurance company’s hours are limited or they aren’t quick to return your calls, you could be losing money while waiting to get things back on the road. An accident that happens after regular business hours can turn into an even more expensive incident and expose your company to a higher risk.

Check Your Insurer’s Reputation

Always consider what other companies are saying about your potential insurance providers. Talk to current or previous clients, read reviews, and research the company. While you can’t trust every negative comment out there, you can look for patterns.

For example, a company might advertise services critical to your business. When researching the company, you find a theme where the specific service is poorly handled or not delivered as advertised. While this might seem like a low-impact item on your budget, paying for services that you can’t actually use is a waste of your hard-earned money.

What Else Do They Offer?

Insurance companies are starting to offer additional services and discounts that can help your business. Some companies provide safety training, hotlines, loss prevention manuals, professional development, and more. These services have the potential to produce better employees who cause fewer accidents and cost your company less in the long run.

It’s also important that you inquire about additional offerings in case there are discounts you can utilize. Make sure to ask about discounts. Some companies might take a percentage off if you pay in full every quarter while others might have special programs applicable to your business. More often than not, these kinds of discounts aren’t advertised, so you have to ask.

Saving Money on Commercial Truck Insurance

Whether you are shopping around for commercial trucking insurance or are looking for a policy for your brand-new company, you want to find the best deal for your needs. While it’s easier to just stick with the same insurance company each year, you might miss out on some serious savings.

Make sure to check your current plan and shop around each year. Doing your research might help you find better insurance options for your specific needs at a better price. As your business grows, your insurance needs may change. If nothing else, a yearly audit of your insurance carrier will give you the confidence that you’ve made the right decision to protect your company.

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