truck insurance

What is reefer breakdown coverage?

by
Reefer breakdown coverage

The typical reefer truck weighs a lot and contains a refrigerated unit or refrigeration built directly into its frame. It helps to keep perishable goods fresh during long-distance deliveries. If you routinely transport refrigerated goods, adding reefer breakdown coverage to your insurance policy can give you added protection and peace of mind. Refrigerated goods need special protection and come with a higher risk than certain other types of cargo. This cargo isn’t your typical load, and it needs special care and attention so that it can be delivered to the client.

We’ll highlight some of the risks of hauling refrigerated goods below as well as what to look for in a new insurance policy.

Read more

How does the Safety Measurement System handle crashes where the motor carrier is NOT at fault?

by
How does a not at fault accident affect a truck business?

On March 29, 2019, the secretary of the Department of Transportation (DOT) announced that the Compliance, Safety, and Accountability (CSA) scores of commercial truck drivers would undergo a significant change starting in August 2019. According to Secretary Elaine Chao, points from a crash in which commercial drivers are not at fault will no longer count against them for CSA scoring purposes. Instead, the organization will classify the accident as non-preventable.

Read more

How can I improve my Vehicle Maintenance BASIC?

by
Improving your Vehicle Maintenance BASIC

Proper vehicle maintenance is one of seven factors that inspectors from the Federal Motor Carrier Safety Administration (FMCSA) Behavioral Analysis and Safety Improvement Category (BASIC) program evaluate to assign scores for the Compliance, Safety, and Accountability (CSA) initiative. The goal of the program is to prevent accidents, spillage, and other events that endanger public safety. We’ll go over how you can improve your Vehicle Maintenance BASIC.

Read more

Can a Motor Carrier broker loads?

by
Motor carriers cannot broker loads without the proper authority.

The Federal Motor Carrier Safety Administration (FMCSA) currently does not allow motor carriers to broker loads unless they first apply for and receive a license as a property broker. If you are a new broker, that means you must complete an application for broker authority using the Unified Registration System (URS) of the FMCSA. You will need to locate proof of insurance coverage to do so. The FMCSA also requires new applicants to submit Form BMC-84, also known as Surety Bond, and Form BMC-85, also known as the Trust Fund Agreement.

Read more

What is the SMS Insurance/Other Indicator?

by
It's important to know the Insurance/Other Indicator.

The Federal Motor Carrier Safety Administration (FMCSA) has prepared a program designed to enhance safety and to ensure that oversized commercial vehicles are as safe as possible on the roads. The SMS Insurance/Other Indicator is part of a wider initiative and designed to check for licensing, registration, reporting, and insurance issues.

Read more

What is the difference between interstate and intrastate commerce?

by
There's a difference between interstate and intrastate commerce.

Interstate commerce and intrastate commerce refer to two different ways of transporting cargo or people. The term interstate means that the commercial truck driver moves cargo or people across state lines. Specifically, it includes the following definitions:

  • Between a place inside of a state and a place outside of a state, including outside of the country
  • Between two destinations inside of a state going through another state or outside of the country
  • Between two places within a state as part of transportation, traffic, or trade that originates or terminates outside of the state or outside of the United States

Read more

What is a private motor carrier?

by
Find out what a private motor carrier is.

The term private motor carrier refers to a commercial trucking company that transports the cargo it produces rather than outsourcing the job to another company or independent owner-operator. Businesses that operate as a private motor carrier typically produce, sell, or use the cargo it produces and transports. The main thing that distinguishes a private motor carrier from other types of motor carriers is that they do not deliver anyone else’s goods, and they do not make deliveries for financial compensation.

Read more

Who is required to carry cargo insurance?

by
It's important to carry cargo insurance.

While all motor carriers must carry a limited amount of liability insurance, this is only the basic requirement and it offers no protection for the goods you carry. You need to carry cargo insurance to guard against financial loss from damage to your cargo while in transit or storage. The Federal Motor Carrier Safety Administration (FMCSA) requires truckers who transport household goods and freight forwarders of household goods to carry at least a minimum amount of cargo insurance in case the load becomes damaged or destroyed due to situations beyond the trucker’s control.

Read more

What is the difference between a surplus lines and an admitted carrier?

by
Admitted carriers are different than surplus lines carriers.

Surplus lines and admitted carriers both do the same thing – they provide insurance coverage for fleets and commercial vehicles. The differences between the two have to do with licensing, rates, and coverage options. Surplus lines coverage is designed for those users who can’t access traditional coverage (via admitted carriers) and features higher fees and more complex application and claims processes. We’ll explain the difference between the two.

Read more

Can I get my own primary liability and cargo if I’m leased to a motor carrier

by
If you're leased onto a motor carrier, you need to make sure you have the right primary liability insurance and cargo insurance.

Primary liability insurance is the only coverage for commercial truckers mandated by the Federal Motor Carrier Safety Administration (FMCSA). This is basic coverage and proof of financial responsibility that you must have before you can drive. The purpose of primary liability insurance is to cover claims for bodily injury and property damage that you cause to others while operating your vehicle. It does not cover any losses that you suffer, regardless of who was at fault for causing them.

Read more