Post Date September 8, 2013 - Are you in the trucking business providing cargo transport, hauling and freight services to other companies or individuals? As you are fully aware, you don’t just need to purchase commercial liability insurance for the truck, you also must secure protection for the cargo of others. Depending on the trucking business you are in, there is a truck cargo insurance policy for your customer’s needs. If you are in the Cargo Transport Business, the truck cargo insurance you would purchase is known as Inland Marine Coverage. If you transport motor vehicles, the insurance you must purchase is known as On-Hook. This is common among Tow-Truck Operators.
Regardless the type of truck cargo insurance you purchase,
it can be expensive. Although you are responsible for moving your customers product from point A to Point B, if that product is damaged, regardless if it’s your fault or not, you are responsible. Any loss in transport while in your custody can really hurt your business especially if you do not possess the necessary protection. Not having this type of policy can also contribute to a negative impact for your business image if a loss takes place. Remember, you are trusted to deliver the goods.
Other reason to have truck cargo insurance in your policy is that this is also being required by law. The US Department of Transportation mandates truck drivers engage in cargo transport operating within federal jurisdiction is to maintain cargo insurance. Minimum requirements for such coverage are set at $5,000 per loss of contents for damage, and $10,000 for aggregated damage if there is more than one loss. If you want to establish a cargo transport or freight services company with a very good reputation and want that business endeavor to endure, take these precautions. Show your clients that you can guarantee that their goods are safe in your hands. Make sure you include the cost on this insurance in your shipping prices. Don’t worry about the price you’ll have to pay. Think of long-term effects. Besides, truck cargo insurance can be tailored to your specific needs and budget.