If you operate in the trucking industry and one of your vehicles is involved in a serious accident, such as your truck overturning, their could be damage to your cargo as well as your truck cab and trailer. You’ll need a policy, available through a Commercial Auto Physical Damage Program, which provides first-party collision and comprehensive coverage. This type of insurance is usually purchased in combination with a business auto or Non-Owned/Hired Auto liability policy. It is intended to cover the insured’s vehicle against damage caused by various sources, for example, vandalism or a fire.
Most public transportation owners rely on their vehicles for their income, so if their car or van is damaged or stolen, they too are counting on their insurance carrier to come to their aid. Having Auto Physical Damage insurance will assist them in getting back on the road and back to business as soon as possible. Auto Physical Damage can be written as a package with a Motor Truck Cargo policy.
Loss prevention is the key to keeping premiums low
The odds of being involved in a major accident on streets and highways have certainly increased in recent years. Perhaps the primary reason for this is the rise in distracted drivers. An alarmingly high percentage of drivers admit to using a handheld smartphone while driving, either to text, for phone calls, or engaging in social media. An increase in accidents can also be attributed to weather patterns, such as high winds in various regions.
Regardless of the cause, it’s important to train drivers on the types of safety precautions that should be practiced to avoid serious or deadly accidents. Meeting only the minimum legal requirements may not provide your business with enough financial protection. Keep in mind that motor truck cargo insurance only covers the cargo, and not your vehicle. This where a Commercial Auto Physical Damage Program addresses your own concerns.
Physical Damage is a general term for a group of insurance coverages that protects an insured’s vehicle. There are two options for physical damage coverage, comprehensive covers loss to a covered auto or truck from any cause other than a vehicle’s collision with another object, such as fire and theft, while collision coverage covers loss to a covered auto or truck caused by the vehicle’s collision with another object or the vehicle’s overturn.