Tow truck operators are responsible for moving stalled, wrecked, or damaged vehicles from one place to another. What happens if the vehicle that you are towing is damaged while in your possession? You could be liable for repair or replacement costs. (And that’s why it’s so important to get the right tow truck insurance.)
For example, let’s say that you own a garage. A customer calls you because her car won’t start. You come and tow it into the shop. However, you get into an accident on the way, and the customer’s car is damaged. If this happens, your on-hook towing coverage could help you out.
If your business offers tow truck services, then you need to consider on-hook coverage. (It is important to note that on-hook towing insurance is called Garage Keeper’s Legal Liability insurance in Virginia and Texas.)
Read moreWho needs on-hook insurance for towing?