What Happens if Your Driver Causes an Accident? A Look at Liability Insurance for Trucking Companies

While commercial auto liability coverage — also known as primary liability insurance — covers property damage and bodily injury to others that one of your drivers causes in a vehicular accident, property damage and bodily injury claims that don’t involve one of your trucks are instead covered by general liability insurance.

Continue reading for more information about general liability for truckers, including how much coverage typically costs and what it does and doesn’t cover.

On This Page

• 

  What Is General Liability Insurance for Truckers?

• 

  Why Do Truckers Need General Liability Insurance?

• 

  What Does Truckers General Liability Insurance Cover?

• 

  How Much Does General Liability Insurance Cost for Trucking Companies?

• 

  How To Get General Liability Insurance for Your Trucking Company

• 

  General Liability for Truckers FAQs

What Is General Liability Insurance for Truckers?

General liability coverage is a type of commercial insurance that can cover medical bills, property repairs and legal expenses if your trucking business is held liable for causing an injury or some other kind of loss to another person or business. Some insurers offer motor truck general liability insurance specifically designed to meet the needs of for-hire truckers, which may be bundled with commercial auto insurance.^[1] Conversely, other insurance companies may simply offer a non-industry-specific general liability policy that truckers are free to purchase.

Is General Liability Insurance Required for Trucking Companies?

Trucking companies are required by federal law to maintain between $300,000 and $5 million in public liability insurance, depending on the type of freight they transport.^[2]

Keep in mind that many insurance carriers do not sell standalone public liability insurance because this coverage type is automatically included in a broader general liability insurance policy.^[3]

Why Do Truckers Need General Liability Insurance?

General liability insurance is one of the most fundamental types of commercial coverage for any business, as it can protect trucking companies and other businesses from burdensome costs related to some of the most common risks they face on a day-to-day basis, namely the potential to cause property damage or bodily harm to someone else.

What Does Truckers General Liability Insurance Cover?

If your business is held liable for someone’s injury or damage to their property due to an incident that occurs off the road, your commercial general liability insurance can cover the other person’s hospital costs or repair bills. For example, your general liability coverage may step in after one of your employees breaks someone’s foot or damages a ramp at another business’ loading dock by dropping a heavy box while unloading their truck.

In addition, general liability insurance includes coverage for attorney fees, judgments and settlements in case someone sues your business over a bodily injury or property damage claim. This legal expense coverage also extends to claims of personal and advertising injury, which are situations where your business is sued for defamation or copyright infringement.

Finally, specialized general liability insurance for trucking businesses may include additional coverage types, like medical payments coverage for guest injuries that occur on your property but that your business is not held liable for, liability coverage for claims involving your company’s products or completed operations away from the premises of your business and property coverage for business locations you rent for a week or less.^[1]

What Isn’t Covered?

Trucking general liability insurance does not cover bodily injury or property damage one of your employees causes in a commercial vehicle accident, since this would instead be covered by the liability coverage portion of a commercial auto insurance policy. Likewise, several other types of losses are not covered by general liability insurance but may be covered by another type of commercial insurance. For examples of such losses, see the table below.^[4]

How Much Does General Liability Insurance Cost for Trucking Companies?

Semi-truck owner-operators typically pay around $500 to $800 per year for general liability insurance. Your commercial trucking insurance rates will generally depend on factors like your business’ experience and safety record, where you operate and, in some cases, your business credit score.^[5]

How To Get General Liability Insurance for Your Trucking Company

You can find the best and most affordable general liability insurance for your trucking business by collecting quotes from at least three to five unique business insurance companies. To request a quote, you’ll need to share information about your company, such as your industry, size and location. Unfortunately, comparison shopping can be tedious if you try to reach out to insurance companies one by one.

Instead, you should let SmartFinancial shop around for you. Once you answer a few questions about your coverage needs and budget, we’ll do the legwork of finding personalized commercial truck insurance policies that match your needs, sometimes in as little as a few minutes. Get started on receiving a free commercial insurance quote by clicking here.