Much of the products that Americans purchase from their neighborhood grocery stores, Target or Wal-mart, thrift shops and other venues didn't get there by accident; they got there via a truck.
It isn't just stores that receive goods through trucks, as gas stations, construction sites, hospitals and more also oftentimes pick up supplies courtesy of the trucking industry.
In order to deliver those goods, trucking companies need to make a profit, something which can be harder to do in a bad economy.
If your trucking business has seen a spike in expenses in recent years due to higher gasoline and maintenance costs, reviewing your company's insurance policies to operate your vehicles on the road can lead to savings.
As with any insurance coverage purchases, businesses are best-served when they do their share of research on both insurance policies and companies, especially given the fact that companies insuring drivers and different trucks are not all the same.
Among the differences are:
- A number of companies insuring the trucking industry work via independent agents, while others work in-house through sales personnel;
- Some companies focus on big fleets or owner-operators, while others work with smaller, independent businesses;
- Some companies selling insurance will offer quarterly or monthly payments, while others may require a one-time yearly fee;
- A number of companies only sell in certain states, so check to make sure coverage is provided in your locale.
Now that you know some of the differences, make sure you also understand some of the questions you should be able to answer when deciding on an insurer.
Among the questions to ask are:
- What is the cost for basic trucking insurance as opposed to the costs for riders? ;
- Is the company's insurance good in all states? ;
- How long has the company been around and do they have a good track record? Have they had a number of claims filed against them? ;
- What is the company's FSR (financial strength rating) and has the company had monetary issues in the past?
Along with the basic trucking insurance coverage you and your drivers will require, you also need to ask your agents about uninsured motorist (UIM) coverage, personal-injury protection and cargo coverage.
For those companies who continue to search for financial savings, there are ways to lessen your expenses over time.
Among the ways to reduce expenses are:
- Make sure your drivers maintain a clean driving record;
- Joining a trucking association where members have access to both group and association rates;
- Make sure your workers are aware of your safety policy, including what can happen if there are accidents or drug and substance abuse;
- Increase your deductibles in order to save some green on your premiums.
As an owner/operator of a trucking fleet large or small, it pays to do your homework and get the best deals on insurance, insuring yourself and your employees a more successful company.
Photo credit: bciincorporated.com