What is Bobtail Liability Insurance and do I need it?
Bobtail liability insurance is insurance to cover the operation of a truck without the inclusion of the trailer, also known as “bobtailing.” Using your truck without the trailer attached is also very often referred to as “deadheading.” If your business needs require you to have insurance coverage for when your trucks or commercial vehicles when they are operated without the trailer, the type of insurance you should purchase is bobtail liability coverage.
Bobtail liability insurance provides coverage for the times when the trucker or driver has either been dispatched or is in between dropping off loads by a company for a job. An example is when your company delivers one load of cargo to a destination, and then your driver goes to another terminal to pick a different cargo load. The time in between will be covered with this type of insurance. It is similar to other types of trucking insurance but is not to be confused with them as they do actually cover different things.
This insurance could also apply to an incidence when you are driving the truck to and from the repair shop. The main difference between is that bobtail liability insurance will be used in covering a semi-truck. It will involve the truck traveling from one destination to another so as to pick up a cargo to be dispatched or for personal use without a trailer attached.
When compared to non-trucking liability insurance, which will cover the operations by the owner of the truck on any claims that arise when the truck is being used for non-commercial purposes. This type will apply whether the truck had a cargo attached or not.
The general exceptions and restrictions to expect
In non-trucking liability insurance policies, there are some exceptions and restrictions that determine the rule of the policy. The exceptions and restrictions will be used in the denial of the claim to be indemnified. This is what you don’t want, is to have your claim become rejected by an insurance carrier.
With bobtail liability insurance, the following are general exceptions and restrictions to expect;
- No coverage on any type of cargo under business use
- Fueling up, maintenance and servicing travel, deadheading or bobtailing, driving during stopovers and driving to and from the terminal may be considered to be a business purpose and no coverage is offered.
- Pulling a trailer for income generating purpose or operating for the trucking company.
- It does not cover on policies under the state filing.
These are the general exceptions which would lead to your claim being rejected. There are also additional exceptions depending on the non-trucking insurance policy. It is key to maximize the benefits of your policy and clear up any mishaps or questions as the details are key to get a good idea of what is covered and what is not. Bobtail insurance is very similar to other types so it is not to be mixed up with those. One type of policy may be great for one business owner, while another may need both types for a variety of reasons or circumstances.
Do I need this type of insurance for my business?
All in all, having insurance is just protecting yourself and your business from the unexpected. The trucking business is essential worldwide in almost every country. When accidents are of concern, you may incur unimaginable losses. To prevent this, you may want to cover your business with bobtail liability insurance as well as non-trucking liability insurance for times when the truck may be needed for personal use.
This is due to the fact that your primary trucking liability insurance policy will cover only business-related claims for the truck. Choose the best bobtail liability insurance policy for your company with your best interest in mind and have your trucks and employees safe at all times.
Are you aiming at getting into the truck and cargo carriage industry? This is the appropriate place for you as you will get all your requirements sorted and get to know what you will need in the insurance marketplace. Trucks and cargo are very expensive and not having the right coverage can lead to great losses including those of third parties.
Covering your cargo shipment together with everything involved in the transportation process is the very key to each and every shipment organization.
Without covering your cargo, a high financial value is at stake. The insurance carriers, through offering bobtail liability trucking insurance become a solution to this problem. There are many insurance carriers to consider, and we know it is a very complex process which requires insurance experts.
With almost any main insurance policy that meets state and federal requirements, there are bound to be gaps in what is and what is not covered. It is almost impossible to know just by meeting the bare minimum standards of business insurance, even for the trucking industry. When faced with the task to get a trucking insurance policy, renew a current policy, or upgrade to a better one that meets the needs of your business as it grows, we are here to help.
What if I don’t own a trucking business but have a commercial truck fleet?
If you are a business that owns a van fleet such as a catering company, we have many policies that will meet your needs too. When it comes to the movement of goods on the roads and waterways, we have the policy to keep you covered to extend the best outcome possible of any claims that may arise.
Get one of the experts at Strong Tie Insurance to walk you through the process and get your cargo insured for your safety and the safety of your organization as well. We have a highly educated and friendly staff that knows the insurance business well.
We will be there for you and your company to make sure your trucks or commercial fleet are fully covered for all your needs at all times. This is of key importance in the trucking or any business that involves transportation of cargo. Every aspect of the transport has a different type of insurance to cover all types of accidents or situations that could occur. We know commercial transport inside and out. Call us today to learn more about how we can help protect your business.