Now that your dump truck business is pretty much organized, the next thing on your list is purchasing insurance. Insurance is required by law for you to operate your commercial dump trucks and your business. This part of the monetary investment in your business will ensure that you are able to stay in business and not personally face the risks and hazards that are inherent in this line of work.

Since commercial dump trucks are categorized as heavy commercial vehicles, finding the correct insurance policy at a rate that can protect your business is a major undertaking. Needless to say, you are looking for a reputable insurance company that is able to cover your needs, has great customer service, and has the resources necessary to offer a complete package of insurance for both your business and for the vehicles that comprise your business.

Types of Commercial Insurance Policies

You will be looking for two types of commercial insurance policies: property and liability insurance for your company and commercial vehicle insurance for your commercial dump trucks. We will be looking at the insurance that is required by each state for any commercial vehicle in order to receive the permits necessary to operate that truck in that state.

Liability Coverage

Commercial vehicle insurance is similar to personal vehicle insurance. They both cover Liability under Bodily Injury and Property Damage. This is the coverage you need if, while your truck is being operated, it causes either bodily harm to someone or physical damage to something. In most states, this is a required coverage with minimum limits of coverage set by each state.

Physical Damage Coverage

Both commercial and personal vehicle insurance policies can cover Damage to Your Property, which is the coverage that handles damage to your commercial dump trucks, no matter who is to blame for the damage. Physical Damage Coverage is an optional coverage if you do not carry a lien against the trucks. Due to the prices of commercial dump trucks, you will undoubtedly have a lien holder holding the note on the vehicle that requires you to carry Physical Damage to protect the interest of the lien holder. In most states, there are two parts to this coverage: Collision Coverage and Other Than Collision (or Comprehensive) Coverage. Both cover almost every peril that could be inflicted on your vehicle, most without concern over who caused the damage. Both typically come with an out-of-pocket deductible that is your choice as to the amount you want to pay to have the physical damage to your truck repaired.

Other Optional Coverages

You can also select to carry certain other coverages to further protect your interests. There is Medical Payments/Personal Injury Protection Coverage which pays for medical expenses and (under PIP) lost wages to any person injured while in your vehicle. There is also Cargo Coverage, which insures the material that is being transported. Some businesses will only utilize commercial dump trucks that carry this coverage in order to protect their own interests without having to separately purchase such coverage on their own. You could also carry Rental Coverage and/or Towing Coverage to cover your needs if your dump truck is not operable due to a covered loss.

Choosing the Best Insurance Company

It is hard to ignore the fact that the larger insurance companies are the ones with the resources available to give you the best policies and customer service for your commercial insurance needs. Usually they can combine those needs into some type of a package that will save you money over the long term, perhaps even offer discounts.

In the insurance industry, cheaper very definitely does not equivocate to better. Basic cost is not the only factor here. Because of the nature of the business of commercial dump trucks and the inherent risks involved, it is imperative that you have an insurance company that is prepared to stand behind you through any potential liability claim. Without this, your business runs the risk of losing all of its assets or even faces bankruptcy if there is not adequate coverage and protection against any liability claims.

Get Several Quotes

By all means, shop around and get quotes from several insurance companies. Consider if purchasing a fleet policy to cover numerous vehicles is a better way to proceed. Most states have something similar to a State Board of Insurance, with whom you can check to see if a particular insurance company has a ‘bad track record’ with claims handling. Be sure that the limits and deductibles that you select for your insurance policy are the best for your business needs and then compare each insurance company on an even basis.

Weigh the importance of cost and the value of security together when you make a decision to purchase commercial dump truck insurance. Invite an agent from the insurance firms to discuss with you what they can provide for you in both cost and customer service. Make a decision based on this and secure the peace of mind you need to get your commercial dump trucks into operation!