Driveaway insurance 101
There are a lot of different types of truck insurance out there, and it can be tricky to keep them all straight. There’s auto liability, physical damage, cargo coverage, and many more. Perhaps a lesser-known coverage for trucking businesses is driveaway coverage. However, for certain types of trucking businesses, driveaway insurance is really important. We’ll explain what driveaway coverage is.
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What is driveaway insurance?
Driveaway coverage is helpful for multiple types of businesses.
Repo businesses may need it if they do voluntary repos. So, if there’s someone who knows that their car is going to be taken and they want to cooperate, they might just say, “Go ahead, take it.” In which case the driver can just hop into the driver’s seat and take the vehicle away. At that point, it makes more sense to just drive the car that needs to be repossessed rather than dragging a tow truck out to the scene and hooking the car up. But those drivers still need insurance, and driveaway coverage is there to cover the risks they face.
Driveaway can also be used by businesses that move heavy machinery (you might get a contract to do so.) This machinery will be road-legal and able to be driven but requires a CDL to do so. That’s why a trucking company might find themselves in a situation where they send a driver to drive the vehicle that needs to be moved. A lot of the time, it’s easier and faster to just drive the awkward piece of machinery or the mobile unit than to try to haul it. This happens a lot when there are natural disasters that require a massive aid effort. Aid organizations usually don’t have a bunch of CDL drivers on-hand, so they need to hire CDL drivers to move mobile units that they need at the scene to help people. It makes much more sense for the driver to simply drive the unit rather than drive a vehicle hauling the unit.
Wondering if driveaway insurance is right for you?
We can help.
Insurance can get a little complicated and overwhelming, but we're committed to making truck insurance easy. If you're not sure whether driveaway insurance is right for you, we can help you figure that out. We’ll take the time to get to know you and understand your particular business or situation so that you know you've got the coverages you need to protect you from your risks. All you have to do to get in touch is fill out our quote form.