Commercial Trailer Insurance
The right coverage can reimburse you for expensive repairs to your trailer.
Written by
Christine Lacagnina has written thousands of insurance-based articles for TrustedChoice.com by authoring consumable, understandable content.
Reviewed by
Cara Carlone is a licensed P&C agent with 20 years of experience. She has her P&C license in RI and TX and holds CPCU, API, and AINS designations.
No matter what type of commercial trailer you use, it needs protection against accidents, the elements of nature, and more. Without the right coverage, you could end up paying out of pocket for repairs. That's what makes having commercial trailer insurance so important.
Fortunately, an independent insurance agent can help you get set up with the right commercial trailer insurance. They'll get you covered long before it's time to file a claim. But first, here's a closer look at commercial trailer insurance, what it covers, and more.
What Is Commercial Trailer Insurance?
Commercial truck trailer insurance is a special type of commercial vehicle insurance coverage designed to protect drivers who transport trailers for business purposes. Coverage protects the trailer from many threats, including collisions, lawsuits, vandalism, etc. Commercial trailer insurance is needed by all kinds of drivers, from 18-wheeler operators to operators of regular pickup trucks with utility trailers.
If you don't have commercial trailer insurance and an accident or other disaster occurs, you stand to lose not only your cargo but the trailer itself. Having the right protection can save you from expensive out-of-pocket replacements and repairs. An independent insurance agent can help you get equipped with all the commercial trailer insurance you need to get the job done right.
What Does Commercial Trailer Insurance Cover?
The type of commercial utility trailer insurance you need will depend on the type of trailer you're insuring. However, most commercial trailers need the following coverages:
- Commercial auto liability coverage: Protects you from lawsuit costs if you get into an accident.
- Comprehensive coverage: Protects against damage to your trailer due to a non-collision event such as a flood or theft.
- Collision coverage: Protects against damage to your trailer from a collision with another object, regardless of fault.
- Non-trucking liability insurance: Provides liability coverage for your trailer when it's being used for personal reasons and not under dispatch.
- Cargo coverage: Protects your cargo in the trailer from damage and destruction by covered causes.
- Debris removal coverage: Protects you from the cost of removing debris or materials you were transporting that spilled after an accident.
- Loading/unloading coverage: Protects your cargo from damage during loading and unloading.
- Earned freight coverage: Protects you against loss of income caused by damaged, lost, or stolen cargo you were transporting.
An independent insurance agent can get you set up with these coverages and any additional commercial trailer insurance you may need to be fully protected on the road.
What Kinds of Commercial Trailers Can Be Insured?
Though there are certain exclusions, you can find insurance for just about any type of commercial trailer, including:
- Dry van trailers
- Flatbed trailers
- Dump trailers
- Refrigerated trailers
- Concession trailers
- Freight trailers
- Logging trailers
- Agricultural trailers, such as grain trailers
- Tank trailers
- Auto hauler trailers
- Oil field trailers
- Extension trailers
- Transfer trailers
Some insurance companies won't insure specific types of cargo or cargo requiring hazardous material signs such as oxygen, gasoline, or flammable placards. An independent agent can review many different insurance company coverage options to find the right commercial trailer insurance policy for your needs.
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Is Commercial Trailer Insurance Required?
Commercial trailer insurance requirements vary by state. Most states require you to register and license any commercial trailers your company uses on state roads. To legally register a commercial trailer, often you must first carry insurance.
Many states require you to have commercial vehicle insurance, which covers liability if you or other company drivers cause an accident on the job on any business vehicle. You might be able to extend your commercial vehicle coverage to your trailers. However, you likely won't have full coverage without purchasing a separate trailer policy.
How Much Does Commercial Trailer Insurance Cost?
Commercial trailer insurance rates vary from one insurance carrier to another and may depend on your company’s needs. The cost of flatbed trailer insurance, for example, is different from that of enclosed trailer insurance. Your commercial trailer insurance costs also depend on whether you choose to insure your cargo.
Several factors can influence the cost of commercial trailer insurance, such as:
- Driving history: The driver's records can impact the cost of commercial trailer insurance. A clean driving history with no accidents or other traffic violations can result in lower premiums.
- Driving experience: Experienced commercial truck drivers can be rewarded with lower premiums than novices since insurance companies view them as less of a risk.
- Area of operation/distance covered: Commercial trailers that need to be hauled over greater distances can be riskier and more expensive to insure.
Depending on the type of trailer you haul, you can typically expect to pay an average of $300 monthly or $3,600 annually for a policy with $1 million in liability coverage. An independent insurance agent can help you find exact commercial travel trailer insurance quotes for your area and get you set up with affordable coverage.
How to Save on Commercial Trailer Insurance
Luckily, there are several ways to save on commercial trailer insurance costs. Many insurance companies offer discounted rates for drivers over 25 and for people with a valid commercial driver's license and an excellent driving record.
You can often reduce the cost of your commercial trailer insurance by doing the following:
- Employing drivers with an excellent history of driving commercial vehicles
- Maintaining a good driving record and requiring your other drivers to do the same
- Requiring drivers to attend a safe driving course
- Writing a safety policy that all drivers must follow
- Complying with safety checks and audits
Your independent insurance agent can further advise on how to save money on your commercial trailer insurance. They'll also be able to scout out any discounts you may qualify for on coverage.
Best Insurance Companies for Commercial Trailer Insurance
The best way to find the right carrier for your commercial trailer insurance is by working with an independent insurance agent. They know which insurance companies to recommend to meet your needs and can provide informed suggestions based on company reliability, rates, and more.
While many insurance companies offer commercial trailer insurance, finding coverage could also depend on the area you live in. You can start by checking out recommendations for the top commercial trucking insurance companies of this year. Until then, here are a few of the top companies for commercial trailer coverage.
| Top Commercial Trailer Insurance Companies | Overall Carrier Star Rating |
| The Hartford |
|
| Nationwide |
|
| Progressive |
|
| OOIDA Truck Insurance |
|
| Sentry |
|
Find Commercial Auto Insurance
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Why Choose an Independent Insurance Agent?
When you're ready to get equipped with the right commercial trailer insurance, no one's better equipped to help than a local independent insurance agent. These agents have access to multiple commercial trailer insurance carriers, so they can shop and compare rates for you.
They'll get you set up with the right coverage at the best possible rate. And down the road, your agent will still be there to help you file claims when necessary.
FAQs about Commercial Trailer Insurance
You need commercial auto insurance to cover the vehicle that transports your trailer for business purposes. Depending on your policy and trailer type, your commercial auto insurance may or may not cover the trailer itself. You might need a separate commercial trailer insurance policy. An independent insurance agent can let you know for sure.
Without commercial trailer insurance, you could end up paying out of pocket for repair and replacement costs to your trailer after an accident or other disaster. You could also lose income from damaged or lost cargo that was being hauled in your trailer. Further, commercial truck operators are required by law to at least carry the minimum amount of liability coverage mandated for their truck/trailer type.
It might, but you'll need to review your specific policy with your independent insurance agent to be sure. Your trailer might be covered by your commercial auto insurance, or you might need to add a separate commercial trailer insurance policy to it.
It's likely that you won't have full coverage without purchasing a separate policy. Make sure to look into your policies with the help of your independent insurance agent, and never just assume that you're covered.
https://www.transwest.com/trailers/blog/your-guide-to-commercial-trailer-insurance/
https://www.insuranks.com/commercial-trailer-insurance