Average Costs of Box Truck Insurance: Essential Things a Truck Operator Needs to Know

Strong Tie Insurance January 24, 2022 Our Blog

The cost of box truck insurance is determined by a number of factors. These factors differ from one provider to the next. That’s why it’s crucial to search around for commercial truck insurance that’s right for you.

After all, you don’t want your coverage to be more expensive than it needs to be.

What is Box Truck Insurance?

The short-haul champions of the trucking and transportation industry are box truck insurance. Box trucks transport freight from warehouses, depots, and distributors, or convey materials and equipment to the job site, where rail and tractor-trailer shipments leave off.

Box truck insurance is a type of commercial auto insurance that includes liability coverage as well as collision and comprehensive coverage. It can also be combined with other coverages to cover cargo and other items.

Trucking is more dangerous than ever before, thanks to congested highways and inattentive drivers, putting truckers, business owners, and owner-operators at risk. We offer box truck insurance to help protect your company from the growing amount of risks on today’s roads.

What You Need to Know About Box Trucks

A box truck is a commercial vehicle with a cargo and cab compartment that is separated.

The truck’s unusual moniker comes from the fact that the cargo section of the vehicle is designed like a box.

Commercial box trucks are versatile vehicles that can transport a variety of cargo. These commercial trucks are valued by business owners across industries for their secure cargo space and powerful engines.

A cargo area door is another distinguishing feature of a box truck, every basic box truck has one. However, box trucks with side doors or even rear-hinged doors are not uncommon.

What is the Average Cost of Box Truck Insurance?

The cost of box truck insurance varies greatly from one company to the next. This is due to the fact that each business is unique and confronts unique risks.

When determining insurance rates, insurance firms consider a variety of criteria, and these specifics have an impact on pricing.

As a result, keep in mind that the following ballpark estimate is just an estimate. Depending on your industry, your charges may be cheaper or higher.

A box truck company’s insurance might cost anywhere from $2,000 to $40,000 per year, per power unit. A rural business with a good loss record would be at the low end of that range, while a business with fines and accidents would be at the high end.

Your company may fall inside this range, and where you fall relies on a variety of things. Even if a similar firm in your area pays a specific amount for coverage, that does not indicate your rates will be the same, or that this estimate will be accurate.

Factors that Affect the Cost of Box Truck Insurance

Your Driver

Your trucking insurance costs may be affected by the age and experience of your drivers. Their motor vehicle record (MVR) can too. An MVR is a report that details your driver’s traffic citations and accidents—in other words, it’s a record of their driving history.

Your insurance prices will most likely reflect your drivers’ extensive truck driving expertise and good driving records.

Accidents

Your loss run, which is essentially a history of all of your losses and claims, might have an impact on your insurance prices.

Your premiums may be higher if your firm has a history of claims, accidents, traffic fines, or speeding tickets because you’re a larger risk for the insurance provider to insure. These things appear to them to make it more likely that you may face a claim in the future.

Your Trucks

Your truck insurance costs are influenced by the year, make, and model of your box trucks. The bigger the value of the box truck, the higher the insurance premium.

As a result, your truck’s gross vehicle weight rating (GVWR) will almost certainly affect your charges. Any claim you make will be more expensive since repairing or replacing your box truck will be more expensive.

What You’re Hauling

Your charges are influenced by the kind of loads you haul and the cargo you transport, as well as the contracts you have.

The insurance company will want to know what you’re transporting and for whom. All of these factors have an impact on your rates.

The Age of Your Business

If your company is well-established and has been around for a few years, the insurance company will have more information and data to examine.

A mature company with a relatively clean loss history will most likely have lower rates than a startup.

Your Location

Your premium is affected by your area of operation as well as your primary location because there is less traffic in rural areas, businesses may pay less for box truck insurance and less traffic means less chance of an accident.

Crossing state lines, as well as your location, can affect your charges.

Ways to Lower the Cost of Box Truck Insurance

Discounts

For a variety of reasons, insurance companies can cut the amount of your premium. Airbags, good driving records, and yearly payment plans frequently qualify for discounts.

Always inquire about any discounts that a potential employer may provide.

Fewer Installments

By paying in yearly payments rather than monthly installments, box truck firms can save up to 10% on their annual premium.

Although this payment plan is not practical for many organizations, it is the most cost-effective option if you can afford it.

Partner with a Trusted Trucking Insurance Provider

We can assist you in obtaining the finest coverage at the most competitive price, allowing you to save money on your truck insurance.

Our team of insurance experts can assist you in developing a unique insurance strategy. Of course, we’ll be here to assist you with any insurance needs you may have.

To request a quote, schedule an appointment with us, contact us at 866-671-5050 at Strong Tie Insurance today!