Over the years, commercial truck insurance has become a vital protection option for truck drivers and companies worldwide. It helps to keep you from spending too much money on common mechanical failures and avoids legal troubles as well. But just how much do you have to pay for these policies? Understanding these costs and what they cover is critical for drivers to understand.
Costs May Vary
Your costs will vary depending on many factors, according to Investopedia. While some may pay even more, higher costs do come with increased coverage options.
While prices may seem high to truck drivers, it's important to remember when requesting a quote that the operating company usually pays the majority of this insurance. It is also a result of the reality of the expenses of truck accidents. According to Motus, in 2017 alone, work vehicle accidents, including trucks, cost around $57 billion. As a result, higher insurance rates help pay for most of these accidents and the higher value of a part replacement.
Factors That Influence Commercial Truck Insurance
When buying your insurance policy, your rates will be decided by many factors. For example, your USDOT operating history may cause your rates to go up if you've violated their rules. Likewise, your rates may go down if you've followed them carefully. Your employer may also require you to have a specific amount of truck insurance and contribute towards some of its payment.
The type of cargo you haul may also affect your rates. If you're hauling dangerous or sensitive items, expect your rates to go up accordingly. Likewise, if you're going on long-distance runs, you can also expect higher rates because a larger operating radius is inherently riskier. However, you may be able to get discounts by being in business for a certain number of years or by having a valid CDL license for a set number of years.
Even better, you may get cheaper commercial truck insurance if you pay all of your policy off in one go. While that might be hard to tolerate if you're paying thousands of or more every year, some policies may offer significant discounts to your cost if you pay in this way. So, thankfully, there are ways you can avoid this expensive purchase price and keep your financial health strong as a trucker despite high insurance. Call us today for more information on pricing insurance for commercial vehicles.