Truck subs insurance is a specialized type of insurance, and as such comes with its own set of common mistakes to avoid. These can include: not calling the right company for quotes; not asking about available discounts; or forgetting to factor in that you’ll need extra coverage for different types of cargo. To avoid these mistakes, read on!
11. Not Getting a Quote From a Dedicated Insurance Provider
Sometimes, when you go into an insurance provider, they’ll tell you that the policy is either too general or too specific for them to quote. In such cases, it can be tempting to assume that means there’s only one option available to you. However, this isn’t always the case. For example, some truck subs insurance providers will specialize in certain types of cargo. If you’re transporting hazardous materials or carrying expensive equipment, they might know which carriers can handle those items and how to reduce your rates so they fall within the budget you’ve given yourself.
10. Failing to Ask for a Quote That Covers Additional Cargo Types
In addition to the types of cargo that come standard, you might also need a quote for transporting things like livestock or construction equipment. Depending on the type of equipment and the distance in question, these items could require a higher premium from your provider. If you know ahead of time that certain types of cargo will be traveling with yours, make sure to also ask about the potential premium hikes.
9. Not Comparing Different Pricing Structures
Not all truck subs insurance providers use the same pricing system – and that can be a good or a bad thing, depending on your needs. Some provide different rates for each month of the year, while others charge based on a daily basis. Still others have different pricing schemes for national and international trips. Before you choose a specific provider, take the time to compare each of their pricing structures, keeping in mind that the lowest rates don’t always mean it’s the best choice.
8. Failing to Inflate Your “Gross Vehicle Weight” When Quoting
The gross vehicle weight refers to the total weight of your vehicle, cargo and equipment. It’s an important piece of information for any insurance provider if they’re going to accurately price your policy. If you fail to tell them that the GVW is higher than the actual vehicle weight (including whatever is inside), then you could end up paying more in premiums than necessary.
7. Not Calling Around for Quotes
Sometimes, it can be difficult to tell whether or not you need a special type of insurance, or if the standard “trucker subs” will suffice. This is one area where making comparisons is crucial. When calling around for quotes, don’t just stop at the company that your trucking association recommends – instead, get quotes from anywhere that advertises itself as a carrier subs provider. That way, you can make sure that your insurance falls within the realm of possibility, and doesn’t cost more than you can afford.
6. Forgetting to Factor in Additional Equipment
If you’re including any extra equipment on your truck’s GVW, make sure to tell each provider you call so they can factor it in when giving you a quote. Even if the GVW will be slightly higher than the manufacturer’s listed weight, any additional equipment provides an extra measure of security for your cargo and its safe arrival.
5. Not Consulting Your Trucking Association First
Truck sub insurance providers are licensed by your state’s Department of Transportation, and many of the larger carriers are members of national associations that gather insurance rates from member companies. If you know someone who can give you advice on which provider to use, or if you’re already a part of an association, consider giving them a call before making your final decision.
4. Not Opting for Additional Coverage
A standard truck subs policy is often more than enough for a majority of shippers. However, some high-risk cargo requires additional coverage if you don’t want to risk it being lost or damaged in transit. If you know your shipment falls on the higher end of the scale, consider asking if they offer any additional plans that cover this type of cargo. Even if it costs a little bit more, you’ll know that your goods will be protected.
3. Confusing Deductibles and Out-of-Pocket Expenses
If your policy comes with both deductible and out-of-pocket limits, make sure to double check the difference between them before purchasing the truck subs insurance . A deductible is the amount of money you have to pay out-of-pocket before your provider starts paying for damages themselves, while an out-of-pocket limit is the maximum amount they’ll pay in total.
2. Not Asking About Extra Charges
Depending on the policies that your truck subs insurance provider has in place, there may be extra charges that apply to certain types of cargo. Cargo moving between Canada and the US or between two Canadian provinces, for example, may come with extra fees attached for heavy items over a certain weight. If you have any questions about these costs, it’s important to ask before making your final decision.
1. Not Doing Your Research
Not every provider offers the same coverage at the same price, so it’s in your best interest to compare as many different insurance providers as possible before making a decision. Make sure you ask them for references and check with your trucking colleagues down the line to see if they had bad or good experiences with any of these companies.
What is truck subs insurance?
Truck subs insurance, also known as cargo insurance, protects the goods you ship in case they are lost or damaged during transit. This policy can be purchased separately to cover any type of shipments, but it’s important that your provider knows exactly what types of items you’re shipping so that they can provide adequate coverage.
How do you purchase a truck subs insurance policy?
You can purchase a truck subs insurance policy by either calling up one of your existing providers or going through an independent agent. Some of the bigger carriers have direct salespeople who will get in touch with you, while agents are free to approach any provider they’d like on your behalf. In some cases, you can even get package deals that combine several of your business needs into one package.
What are the most common mistakes made when buying truck subs insurance?
The most common mistakes to avoid when buying truck subs insurance are forgetting to factor in any additional equipment, not consulting an association for advice, confusing deductible and out-of-pocket expenses, not asking about extra charges for specific types of cargo, and not doing enough research before making a final decision.
Thanks for reading about 11 Common Mistakes to Avoid When Buying Truck Subs Insurance. In the end, it’s all up to you to figure out what plan is right for your company, but these guidelines will help you get started. Good luck with your policy and let us know if we’ve missed any mistakes or want to add anything in!