Non-trucking liability insurance is a type of commercial insurance that covers the owner-operator’s truck and trailer while they are not under dispatch. This coverage protects physical damage, bodily injury, and property damage liability claims resulting from an accident while operating their vehicle for non-business purposes. This coverage is important if an owner-operator wants to avoid being held personally responsible for damages that may occur while using their truck for non-business purposes.
Who Needs Non-Trucking Liability Insurance?
Owner-operators who lease or rent their vehicles to motor carriers need non-trucking liability insurance to protect them from potential liability claims. This type of insurance is important for owner-operators who use their trucks and trailers for personal purposes, such as towing a trailer or recreational vehicle.
Additionally, anyone who uses their commercial truck or trailer for non-business uses should also consider getting non-trucking liability insurance. This includes those renting their vehicles out to other individuals and those using their trucks to transport goods or services for a fee.
What Does Non-Trucking Liability Insurance Cover?
Non-Trucking Liability insurance covers truckers leased to a motor carrier but not on dispatch and using their commercial vehicle. This coverage helps protect against financial losses due to bodily injury and property damage that may occur while driving a commercial vehicle away from the motor carrier’s premises.
The coverage provided by Non-Trucking Liability insurance can include the following:
- Bodily Injury – protection for medical costs for people injured in an accident caused by the driver
- Property Damage – provides compensation for any property damage caused by the driver
- Personal Injury/Advertising Injury Liability – covers costs associated with defamation, libel, and other similar offenses.
- Legal Defense Costs – Protect truckers from legal fees associated with negligence or liability claims in an accident.
- Uninsured Motorists Coverage – covers medical costs and property damage when the at-fault driver does not have insurance.
- Medical Payments Coverage – pays for necessary medical expenses for the insured, regardless of fault.
While Non-Trucking Liability insurance is not a substitute for truckers’ primary liability coverage, it can offer additional protection against costly losses that the primary policy may not cover. Any trucker leased to a motor carrier and using their vehicle should consider investing in Non-Trucking Liability insurance to stay protected on the road.
How to Get a Quote for Non-Trucking Liability Insurance
Getting a quote for Non-Trucking Liability Insurance is easy and straightforward. Start by providing your motor carrier’s name, the type of vehicle you will be using, and personal information such as your driver’s license number. Then, give details on the cargo you are transporting, including weight, value, destination, and other relevant information.
After providing all the necessary information, you’ll be able to get an accurate quote for Non-Trucking Liability insurance. Compare quotes and coverage options across different providers to ensure you get the best value.
Remember, having adequate liability insurance is crucial when operating a commercial vehicle. Don’t skimp on coverage—investing in Non-Trucking Liability insurance is the best way to protect yourself and your assets while on the road.
What are the Exceptions to Non-Trucking Liability Insurance?
- Non-Trucking Liability insurance does not cover every situation. It’s essential to understand the exceptions to be sure you are properly covered during the operation of a commercial vehicle.
- The following situations are generally excluded from coverage:
- Intentional acts – any damages caused by deliberate or malicious acts are not covered
- Loss of freight – losses resulting from damaged, destroyed, or stolen cargo is not covered
- Legal expenses – any legal costs associated with defending a claim against the insured are usually not covered
- Injuries to other drivers – injuries sustained by a driver of another vehicle involved in an accident with the insured’s vehicle are not covered.
- Damage caused by mechanical failure – any damages to property or people resulting from mechanical failure of the commercial vehicle is usually not covered
Non-Trucking Liability insurance can offer invaluable protection for truckers who need coverage while away from their motor carrier’s premises. Be sure to work with a reputable provider and read up on the exceptions to understand what’s covered and what isn’t.
Does the law require non-trucking liability insurance?
Non-Trucking Liability insurance is not legally required in all states; however, several states require truckers to carry non-trucking liability coverage when operating a commercial vehicle. This includes Arizona, California, Delaware, Illinois, Maryland, Minnesota, New York, and Texas. In these states, ensuring you have the right coverage to stay compliant with state law and protect yourself against costly losses is important.
In the states that don’t require Non-Trucking Liability insurance, it is strongly recommended that truckers purchase this type of coverage on their own. While it may not be legally required, having this extra layer of protection will help you in the case of an accident away from your motor carrier’s premises. Investing in Non-Trucking Liability insurance is a wise decision that can save truckers thousands of dollars in damages.
Get Protected Today!
When it comes time to find coverage, make sure you work with an experienced, reputable provider who offers customized policies for the specific needs of your business. Having the right Non-Trucking Liability insurance coverage can help you focus on what’s important—getting from point A to point B safely and efficiently.
For more information on non-trucking liability insurance, contact your local insurance provider for advice and guidance on getting adequate coverage. Experienced agents can provide valuable advice and help you determine what level of coverage is right for your needs. Don’t wait – invest in Non-Trucking Liability insurance today to stay protected on the road.
FAQs about Non-Trucking Liability Insurance
Is non-trucking liability insurance a requirement for me?
If you’re under dispatch, the motor carrier’s liability insurance will provide coverage. But when driving for non-business purposes, obtain a separate Non-Trucking Liability Insurance (NLT) policy. Make sure to speak with your leasing company on this, as some have stricter rules.
Are you able to retain your non-trucking liability coverage across leases?
You can keep your Non-Trucking Liability Insurance as it’s independent of the carrier. You must ensure that your policy is always current when leased to a company.
Will I be charged separately for non-trucking liability coverage?
Non-Trucking Liability Insurance is an extra expense and must be obtained separately. The cost of this coverage depends on factors such as your experience level, type of driving operations, and number of years in the industry.
How much protection does non-trucking liability insurance provide?
Non-Trucking Liability Insurance protects you up to the limits that you select. Generally, most drivers receive coverage up to $1 million per occurrence, with some carriers providing higher limits on request.
What types of incidents does non-trucking liability coverage protect against?
Non-Trucking Liability Insurance provides financial compensation for certain legal liabilities related to negligence, injury, and property damage caused by the driver. This includes protection from incidents such as hit-and-runs, collisions, medical bills resulting from an accident, legal expenses due to lawsuits from third parties, and other non-business-related incidents.
When does non-trucking liability coverage come into effect?
Non-Trucking Liability Insurance activates when you’re not on dispatch, meaning you use your truck for personal use or deadhead miles. Therefore, it protects in the event of a lawsuit from a third party when driving under these circumstances.
Do I need to purchase a separate policy for my trailer?
No, Non-Trucking Liability Insurance covers your truck and trailer when parked, deadheaded, or bobtailing. Make sure to speak with your leasing company about their specific rules regarding trailer coverage.
What happens if I don’t obtain non-trucking liability coverage?
If you don’t secure Non-Trucking Liability Insurance, you can be held personally responsible for damages and legal expenses incurred from an accident. You may also be penalized by the state or federal government sometimes. The best approach is to ensure that your policy is up-to-date and provides financial protection.
Do I need non-trucking liability insurance if not leased with a company?
Yes, Non-Trucking Liability Insurance is recommended for any commercial driver, regardless of employment status. Even if you own your truck and don’t lease it to a company, it’s essential to have this coverage in case of an accident.