If you are an owner-operator in the trucking industry, then you know how important it is to make sure you manage your finances appropriately in order to gain the most profit.
Adequate insurance coverage is one large must-have expense. Not only is having this a requirement for being compliant with federal and state regulations but also to protect your business financially should something happen.
While this expense cannot be overlooked, the key is finding the sweet spot — maximizing your coverage while minimizing your costs. Keep reading to uncover insurance tips for owner-operators on how to do this.
Drive Safely
Any accidents or incidents you have on the road can impact the cost of your insurance. These will reflect on your driving record and can make you appear as a higher-risk customer. This will get you more expensive coverage —- not at all what you are looking for.
Be sure to drive safely, take all precautions, adhere to any restrictions, and be alert. Although you cannot prevent all accidents from happening, you can strive to make none of them your fault.
Drive safe, keep your record clean, and you will have a better chance at lower insurance rates.
Maintain Your Equipment
The condition of your truck matters. One of the things that insurance companies look for before agreeing to write you a policy is information about your rig. How new is it? How well is it maintained?
The better you care for and maintain your truck and all its parts, the greater the chance you have of lowering your insurance premium to obtain better coverage.
Driver Training and Experience
The more training and experience you have, the less risk you are to your insurance company. The result? A better premium and better coverage.
Engage in driver training courses, take refresher safety courses, and continue to build up your experience. Doing so will make you better equipped to handle all types of scenarios on the road every time you are behind the wheel.
Drive Calmer Routes
As an owner-operator, when you apply for insurance for your tractor-trailer, one of the things the underwriter is going to consider is where you travel. For instance, certain roadways tend to be more treacherous than others. And this means greater risk.
Try to avoid driving through metro areas that are highly populated, such as Los Angeles, Chicago, New York City, Miami, Nashville, and Houston.
Lower Your Credit Score
For single-unit accounts including owner-operators with their own authority or leased onto another motor carrier, most insurance companies use your credit score to underwrite your account. Insurers associate higher credit scores with better risks, and therefore, drivers with better credit typically receive better terms.
Seek Professional Guidance
Professional guidance from a trucking insurance expert is perhaps the best way to maximize your coverage and minimize your premium. You will have access to a value-added insurance policy, giving you more protection you can feel good about.
The right independent insurance agency will be able to evaluate your needs and determine just what you need. You will have comprehensive, cost-effective commercial truck insurance without sacrificing coverage — or your profits.
If you are an owner-operator looking to get the most from your insurance coverage, the team at The Daniel & Henry Company can help. Let us help you find the right affordable policy for you.
Contact us today at (877) 406-5915. Or get a quote online.
The Importance of Liability Coverage in Commercial Truck Insurance