At TRUX Insurance Services, we know that no one likes shopping for insurance because who wants to spend their hard-earned money on insurance? However, insurance is a necessary expense we all have.  We know that getting the best value on insurance means shopping around, and we want to give you the knowledge to make the best choices for your situation.

Credit History

Personal credit history is a huge factor when it comes to the cost of trucking insurance. Almost 70% of the premium is based on the company owner’s personal credit history. It is safe to say that those with good credit will pay less than those with bad credit.  Keep your credit history blemish-free, and it could save thousands of premium dollars every year.

Safety Rating

Maintaining a spotless driving record is essential when it comes to securing truck insurance. Your safety rating from the Federal Motor Carrier Safety Administration (FMCSA) is one of the main elements in calculating truck insurance. By keeping your drivers’ log books in proper order, your trucks and trailers inspected and your Safety Score maintained, and Out of Service violations minimal, you will help guarantee your insurability.


Driving a truck means you are expected to travel long and far, but where you call home plays a significant role in calculating your insurance premiums all the way down to the zip code. Living in a heavily populated city could have you paying for more than someone who lives in a rural community.

Driver’s Age

In comparison to personal auto insurance, trucking insurance is more expensive for younger drivers. If you are under the age of 30, expect to pay almost 20% more than drivers that are over the age of 30

General Liability
Primary Auto Liability

Many people are not aware of the differences between General Liability and Primary Auto Liability. General Liability is intended to cover general business losses such as rented premises, office locations, personal injuries and the premiums are inexpensive compared to Primary Auto Liability, which on the other hand, is the one that covers your trucks and is the most expensive part of a trucking insurance package since Primary Auto Liability is providing coverage for the other party if you are in an at-fault accident.

Cargo and Commodities

The limit that you chose for your cargo insurance also makes a difference. The premium for cargo insurance is 1% of the total limit you need. For example, if you need $100,000 of cargo insurance, you should be prepared to spend roughly $1,000 per year per truck. However, this is not always the case. Car haulers typically pay more than general dry freight haulers. Car haulers’ cargo premium is about 4% of the total cargo limit.

Non-trucking liability

Non-trucking liability, also known as bobtail, is a coverage you buy when you are not under dispatch with the motor carrier, which provides your Primary Auto Liability.  It will only provide coverage for losses if you are not using your truck on a for-hire basis.

Physical Damage

This coverage is also known as comp and collision. It provides coverage for your equipment. The deductibles can run anywhere between $1,000 to $2,500, and the cost is about 3 % to 7% of the total value of your equipment.

If you are a motor carrier that leases owner-operators, you must list them to your primary auto liability policy. Per FMCSA, owner-operators cannot display your MC number if it is not covered by your policy.

Not listing all trucks owned or operated by the motor carrier or those by owner-operators could lead to severe consequences. The insurance policy can be canceled, or even worse the owner-operator will not be covered by their insurer in an accident where they are found at fault.  Lately, we have also seen an increase in motor carriers closing their current MC/DOT number and opening a new one.  Be aware that insurance companies are becoming wiser in their search and will use services that match old and new MC/DOT numbers.  If a match is found during the application process, a quote will not be provided and if the policy has been found it will be canceled.

We hope that as a transportation professional, this section was helpful and provided you with some insights into the way trucking insurance works.  We hope that if you have any stories to share or have any questions, please give us a call.