There are many different types of insurance available for motor trucks. Two of the major types of motor truck insurances are Motor Truck Cargo Insurance and Motor Truck General Liability Insurance. These two insurances can seem similar and you may think you only need one of them. Commercial & Farmers Insurance Services can help to explain these insurances more in-depth, answer any questions you may have regarding the coverage that you need, and help you make sure you are fully insured for all situations. Today we will explain some of the basic differences between these two types of insurance.

Motor Truck General Liability Insurance

Motor truck general liability insurance is recommended for both motor carriers and for-hire truckers. This coverage provides for bodily injury, personal injury, property damage liability, advertising injury liability, medical payments, and product & completed operations. Motor Truck General Liability Insurance provides coverage for truckers, whose exposure is not limited to the road. Some examples of coverage that Motor Truck General Liability Insurance can provide are:

• Actions of a driver while on the premises of others, such as a loading dock or truck stop
• Incorrect delivery of goods
• Fire legal liability
• Contractual liability, such as lease agreements or intermodal agreements

Motor Truck Cargo Insurance

Motor Truck Cargo Insurance, on the other hand, provides insurance on freight or commodity that is hauled by a for-hire trucker, providing liability for cargo damaged. This could include damage caused by fire, collision, or striking. Some motor truck cargo insurance policies will also pay for debris removal and provide for prevention of more loss to damaged cargo, legal defenses, and freight charges lost by the customer. This coverage is available on for-hire trucking risk with one or more of the following body types

• Box Trucks
• Car Haulers
• Cargo Vans
• Cement Mixers
• Dually Pick-Up Trucks
• Dump Trucks
• Flatbeds
• Tractors
• Most Trailers

However, motor truck cargo coverage excludes garbage trucks, limos, hearses, buses, passenger vans, and ice cream trucks.

Motor Truck Cargo Insurance is a coverage that is there to provide in the case of an accident or equipment failure, which could bring a halt to your shipment or damage the cargo. How quickly you are able to correct a problem when dealing with lost, stolen, or damaged goods is a key piece when you are dealing with an interruption in service and will impact your customer’s perception of your ability to complete the next job. Most motor truck cargo insurance policies offer common carriers without exclusions for things like wetness, stolen & missing cargo, or shortages found while taking inventory. Motor truck cargo insurance often extends to a temporary replacement vehicle when your vehicle has left you stranded. You also should be able to add additional protections such as

• Covering perishable goods or temperature sensitive items, in the event your truck’s refrigeration or heating unit breaks down.
• If you have an accident that damages the vehicle or terminal, but not the interior goods. Optional Cargo Recovery Extra Expense Insurance can help salvage those undamaged goods.
• Shippers Control of Undamaged Goods Coverage can extend your liability coverage to protect goods that may lose value, even if they were not damaged in the accident.