Sun. Jun 26th, 2022

What is tow truck insurance?

Tow truck insurance is insurance for tow truck drivers. This type of auto insurance is different from commercial trucking, taxi, and other types of commercial driver’s insurance because a tow truck driver’s most frequent customers are not moving goods or passengers but rather towing heavy vehicles with a cable.

tow truck insurance

In some states, it is illegal to drive a tow truck without having the proper minimum limits of liability car insuranceTow truck insurance is not legally required in every state in America and therefore they may not always be seen on the roadway when needed most. The following article outlines what you need to know about the ins and outs of tow truck insurance when purchasing this type of coverage.

The things most important to any driver are legally required to have, especially when it comes to insurance. When you are dealing with tow trucks then you also need that coverage in case you are in an accident. You can find this type of insurance at many different locations where they sell car insurance. It is important that you know what coverage is available when you are taking out a plan for your tow truck.

Most drivers of Tow truck insurance will make use of different kinds of auto insurance like personal auto insurance and commercial auto policies which offer coverage while behind the wheel on the roadways, but they will also make use of special coverage for their business too. For example, insurance companies make plans like commercial auto insurance policies available to tow truck drivers.

Motor vehicle liability coverage sometimes referred to as bodily injury or personal injury protection is not required for Tow truck insurance in some states. When you are dealing with tow trucks this is one of the coverage options that you need to carry. This kind of coverage will protect the driver if they are involved in an accident that results in injuries or the death of innocent people who are on the road around them.

What are the types of tow truck insurance?

In this blog post, I will discuss the different kinds of tow truck insurance that a tow truck company can have.

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Here is a shortlist:

#1- Liability Insurance:

This kind of insurance is required by law for all towing companies in America. It pays for your damages or injuries if someone gets hurt because you towed them illegally.

#2- Public Liability Insurance:

Public liability covers your liabilities from any lawsuits filed against you from accidents involving other people. This policy will pay out no matter who was at fault and it doesn’t matter what type of accident happened, as long as it’s an “accident.

#3- Automobile Liability Insurance:

This kind of insurance protects you if someone gets hurt while inside your truck while setting up a towing gear or being towed.

#4- Accident Benefits Coverage:

Accident benefits are different from public liability because it only covers your employees. If one of your employees gets hurt at work, this insurance will pay them for their medical bills, time off work, disability benefits, funeral expenses, and any other expenses that result from being injured at work. This is not something that you have to have, but it’s a good idea because your company’s policy will almost certainly cover you in case anything goes wrong.

#5- Comprehensive (General) Coverage:

This insurance covers your towing equipment, cab, and tires. If you’re unfortunate enough to get into an accident and go through a car wash or car insurance, you can end up getting those scratches fixed or those dents fixed at a collision repair and repair shop and their insurance company will probably not cover it. But if your preferred collision repair and repair shop doesn’t offer the exact kind of coverage you need, this is definitely something to consider.

How much is tow truck insurance?

Tow truck insurance is a service offered by most companies, in case they are needed for an emergency. The rate of insurance can vary per company, with some being higher or lower than others. There are three key types of tow trucks that have different rates of tow trucks insurance. 

These include graders, dollies, and jacks. The type is determined by the weight capacity of the vehicle they are assigned to handle when needed, which changes depending on what type is being operated or towed that day.

The rate for full coverage will be around $550-$1,000 per year with purchase protection based on the company’s terms and conditions based on coverages included with purchase protection packages provided by each company.

Tow Truck Insurance refers to commercial auto insurance coverage for tow trucks and other trailer-mounted equipment.

This coverage is available to tow truck companies and operators. It provides protection for the company’s vehicles and other property, as well as allowing them to operate safely and protect drivers and passengers from danger and harm. Tow truck insurance is a legal requirement in most states.

The laws vary by state, but generally require commercial auto insurance coverage for all trailers used for the purpose of transporting any person or property from one place to another over any public highway. Common terms used to describe trailers include:

Tow trucks usually clear accident scenes quickly, so the traffic flow resumes quickly as well. Such accident scenes can be expensive for insurance companies, but tow truck insurance can help cut some of those costs.

Tow truck insurance is unrelated to the state’s financial responsibility law. A financial responsibility law covers you in case of an accident, regardless of whether you are liable for damages or not.

If you are found at fault, your insurance company has to pay for damages, up to the coverage maximum stated on your policy.

Buying tow truck insurance is necessary for some states, but not all. It can vary by state and company. Some companies sell it as an optional product on top of basic coverage options like auto liability and property damage liability.

How much does tow truck insurance cost?

There are a lot of misconceptions out there about how much a tow truck insurance policy will cost you. Many people think it’s going to be more expensive than normal, while others believe it’s going to be cheaper.

However, at the end of the day, how much is tow truck insurance going to cost you is very dependent on various factors. In order to get a clear picture of what your policy will complete for you, we have provided some information below so that you can estimate your total costs.

When shopping for coverage, you have two options: standard or preferred risk. A standard policy provides you with $10,000 of liability coverage for each occurrence.

The policy goes up based on the number of vehicles in your company and other factors. Preferred risk policies are more expensive than standard policies, but they will provide you with much more coverage than would be found in a standard policy.

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You can compare other rates on our site by selecting the price quote request tool located here – Tow Truck Insurance Quotes.

“I was recently quoted $1300 for collision insurance. That’s ridiculous!”

While this might seem like a lot of money to pay, it is nothing compared to what you could be paying if you did not purchase insurance or if you lost your claim because of an uninsured driver.

You may be charged up to $25,000 in the case of bodily injury. If you are convicted of a traffic violation, you can also be charged up to $1,000.

“My son’s company has many trucks working for them. How much extra is going to add up?”

There is no limit to how many vehicles you have in your company. In fact, most companies have an insurance policy for at least three vehicles with total coverage of at least $75,000 per occurrence.

“Is there a reasonable way to get insurance when I’m by myself?”

If you are by yourself and do not have an established company, your best option would be to defer to a preferred risk plan.

These policies will provide everything that you need in order to drive legally with the state. Preferred risk plans do cost more than standard plans, but they also provide the most comprehensive coverage options.

As you can see, there are quite a few different things that will influence your premium. You can choose from standard and preferred risk policies and there is no limit to how many vehicles you can add to your policy.

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