Commercial trucks are widely used to carry goods from one place to another. While commercial trucks are bigger in size than the average vehicle, they are more vulnerable to accidents and damages.
Since trucks tend to be expensive, even a small accident can cause you a huge financial loss. So, regardless of which scale of business you run in Australia, you must buy truck insurance if it involves trucks. Truck insurance is designed for contractors to protect them from the financial burden of any accidents that occur with the fleet of vehicles.
What are the different types of truck insurance coverages?
The truck insurance coverage varies with the carrier. So, before you buy truck insurance, it is vital to know what will be covered in the event of an accident. Here we will discuss the same.
- Primary Liability Coverage: This type of insurance protects your company from any damage that may happen to the drives while driving the truck. However, it won't cover the damages to your vehicles.
- Truckers General Liability Coverage: If your truck driver fails to deliver the goods at the right location or any damage to the goods, this insurance will protect your employee.
- Non-Trucking Liability Coverage: This insurance is for the drivers who use the company's vehicle for personal use in case of any damage or injury.
- Physical Damage Coverage: This insurance covers the damage to vehicles that may occur during an accident or theft.
- Motor Truck Cargo Coverage: This insurance provides coverage for your vehicles that undergo damage due to a situation beyond your control.
What are the benefits of commercial truck insurance?
- Reduces financial loss: Since commercial vehicles are expensive, even minor damage can cause a huge financial loss. Moreover, when you are liable for an accident or cause of death, paying for all the expenses can add up to the expenses. However, when you already have truck insurance coverage, your insurance company will negotiate with the third party and bear the loss on your behalf. They will also pay you to repair your vehicle. As a result, you need not worry about shutting down your business.
- Provides Total Coverage: No matter whether your vehicle undergoes damage due to the driver's fault, theft, or a natural disaster, the insurance company will provide coverage in all cases and protect your business from a financial loss. However, before you go ahead, make sure you check what is covered in your policy, as the terms and conditions may vary with the insurance company.
- Protects Business Reputation: It takes years to build your reputation in the market and seconds to ruin it. So, if you have successfully created a positive reputation, it will be easy for you to gain customer trust and convince them to do business with you. On the other hand, if your company is perceived as a thoughtless brand that doesn't pay for liabilities, it can be difficult to attract customers. So, truck insurance in Australia can help you pay for all the liabilities and send a message that you value your customers.
The Bottom Line
Accidents are inevitable, especially in a business that involves the use of vehicles. They can cause your business a significant loss. So, truck insurance coverage is mandatory to protect your business from a financial loss and ensure its continuity.
Getting truck insurance is neither a difficult process nor time-consuming. All you need to do is spend some time exploring insurance companies and ask for the truck insurance quote online.
Now that you know what truck insurance is, its types and benefits, what are you waiting for? Choose your insurance company and get the right coverage for the fleet of your vehicles.