Truckers Workers’ Compensation Insurance

What is Workers’ Compensation Insurance for Truckers?

Truckers workers compensation insurance is a mandatory requirement by the US government for any trucking company/owner. The insurance offers the following coverage:

  • Lost income/wages
  • Medical expenses
  • Death benefits
  • Rehabilitation costs

However, obtaining this policy can be a daunting process since many factors come into play. Getting a proper and comprehensive coverage can be very confusing. Below are some of the terms that you are likely to come across when seeking this covers.

  • Company drivers- this refers to permanent/seasonal drivers employed by a company/organization to handle all their transportation needs.
  • Owner-operators- this is group refers to drivers who own and maintain their own equipment (trucks).
  • Independent contractors- In this case, an owner-operator gets into a binding contract with a company to provide his/her equipment and drivers, to move the company’s product. Notably, the lease terms dictate that the independent contractor will operate under the authority of the company.
  • Lease-purchase driver- In this scenario the driver gets into a contract with a company to work for them in order to purchase his/her own truck in the process. In the US, many companies have specialized in this undertaking some being trucking companies or just freelancer companies.

It is vital to point out workers compensation insurance will vary depending on the category.

Owner Operator Workers Compensation

This is one the most confusing areas when it comes to truckers workers’ comp insurance. Remember we mentioned that trucking companies get insurance to cover their employees against injuries.

What happens in the scenario where the owner of the equipment is still the driver? Who will be responsible for the cover when he/she leases his/her equipment to another company? These questions are very common.

First, it is vital to note insurance is mandatory whether you operate your own equipment or not since everybody needs to protect themselves against accidents.

Additionally, when leasing out your equipment, the owner-operator workers’ compensation cover will depend on the terms of the contract.

Sometimes the contract may spell out that the leasing company should cover the costs or the owner.

Coverage Classes

When securing a policy for your truck company many factors come into play. Some of the coverage classes include:

  • Short haul trucking- this cover is for local haulers who transport merchandise for a distance less than 200 miles.
  • Long haul trucking- if the distance in which your company moves the merchandise exceed 200 miles then it falls under this category.
  • Trucking-package and parcel delivery- these are truck companies that deliver merchandise from retail stores to customers.
  • Mail, package delivery, and courier services- this is for companies that pick-up or deliver non-owned packages.
  • Contract trucking (US Postal Service) – it applies to the parcel, mail, and package delivery under contract with USPS.

Contact us now for more Information

Our team prides itself on a wide range of knowledge and experience in providing the best rates  truckers workers’ compensation insurance in the State of California for many years.

Our staff will help you choose the best premium that is just tailored for you, helping you save money and time. Contact us now.