One of the biggest expenses that you will come across in the trucking industry is the cost of commercial semi truck insurance. Of course, it is easy to go straight after the cheapest insurance plan available. It really seams like the best plan, until an accident happens and your insurance doesn't cover anything. Worse than that, of course, is dealing with the repercussions if you avoid buying insurance at all. The financial and legal complications resulting from collisions without good insurance coverage, or no coverage at all, can be devastating. It is absolutely necessary to take care of these issues as soon as possible.
Long before talking to an insurance salesmen, hell bent on selling you on the most profitable plan they have to offer, you need to determine what you actually need out of a truck insurance company. Yes, it takes some time, quite a bit of it, to figure out what you really need. It's worth it. Without knowing your needs, there is a good chance you will either pay too much each month, or pay too much the second a collision takes place. You will need to find out if workman's compensation is necessary, and if you want to be protected from things like fire and theft. You will also need to decide if you want liability insurance or full coverage. Should the cargo be insured? What about fuel bonds? Once you've decided all of this, you will need to figure out your coverage limits.
It doesn't take a genius to understand that finding multiple quotes is the best strategy for finding the best deal. Despite how obvious that sounds, it is easy to get lazy about it and pick one of the first few companies you come across. Knowing your needs makes shopping for the best deal much easier. Most reputable insurance companies today will allow you to get a free quote on their website. This makes the process much simpler than if you were to speak with an insurance representative.
Do not simply pick the lowest quote that you come across. Compare the quotes in order to make sure that the level of coverage they are offering is comparable. Make sure that the plan matches the needs you defined earlier. If one of the quotes is a great deal less expensive than the others, check it out to make sure that is not a reflection of poor coverage. Check to see if any of the insurance companies will offer you a discount if you pay yearly rather than monthly as well. This can end up saving you quite a bit of money.
Once you think you have decided on a company, curb your enthusiasm and do some research on the companies. Check with rating services as well as industry regulators to make sure that the company has a good reputation. You should also take the time to figure out how the claims processing policy functions. Make sure that the claims are paid within a short period of time. Above and beyond everything else, make sure that the insurance company actually has the funds to pay out claims if something goes wrong.
It should be a part of your yearly schedule to revisit your insurance needs. They can easily change as your company changes in size or income. It may not exactly be fun, but it can end up saving you quite a bit of hassle, and money, in the long run. This is an important part of maintaining a business in the industry.
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