Tow Truck Insurance

Cheap tow truck insurance quotes

Your company’s tow trucks are an invaluable resource that can’t be replaced. If you own a tow truck service, you know how crucial it is to be ready for everything. Accident scene towing, impounding illegally parked cars, and giving roadside assistance are just a few examples of how your job puts you in harm’s way. That’s why it’s important to have commercial tow truck insurance. Insurance acts as a safety net, protecting you from suffering catastrophic financial losses in the event of an accident, damage, or theft to your truck.

What is tow truck insurance?

Towing and roadside assistance firms need special insurance known as tow truck insurance to protect their assets. It protects business owners from the specific dangers and legal obligations of their line of work. Accidents can happen when towing, and tow truck drivers also run the risk of having their equipment stolen or damaged.

Their financial interests are protected and business continuity is guaranteed in the event of unforeseen circumstances thanks to this insurance. Without insurance, you may have to pay for damages out of pocket, which could put an end to your company. These sorts of financial catastrophes are covered by the liability part of tow truck insurance.

Coverages options:

Different policies have different coverage options for tow truck insurance, but there are generally these options available:

1. Cargo insurance:

Vehicles and other cargo are protected against loss or damage thanks to cargo insurance. Goods insurance is helpful if the cars or goods you are transporting are destroyed or stolen while in your care. When operating a tow truck, you have a specific responsibility for the safety of the vehicles and cargo you transport.

2. Garage keepers liability insurance:

If you run a garage where impounded or towed vehicles are stored, garage keepers liability insurance is also a must-have. Vehicles stored on your property are protected against loss or theft. This is crucial in protecting your company from lawsuits involving the vehicles you own or operate.

3. Public liability insurance:

Tow truck drivers need public liability insurance because they frequently perform their duties in public areas, where they could cause harm to pedestrians or other motorists. For this reason, having public liability insurance is essential, as it will pay for any legal fees charged and any damages awarded if someone is hurt or their property is harmed as a result of your towing operations.

4. Collision coverage:

This type of insurance protects your tow truck from financial loss in the event of a collision. If your truck is damaged in any way while towing other vehicles or while performing any other operation, you may be responsible for the costs associated with fixing or replacing it. It’s essential if you want to keep your tow truck in good shape.

Additional coverages:

Employer liability insurance

Tow truck companies in the UK are required by law to carry employer’s liability insurance if they employ anyone. It pays for claims when an employee is hurt or becomes ill on the job.

Vehicle on hook insurance

The vehicle you are towing is protected while it is still linked to your tow truck thanks to Vehicle on Hook Coverage. To avoid legal trouble in the event of an accident or theft, you may want to purchase insurance that covers the vehicle you’re towing.

Benefits of having tow truck insurance:

Tow truck insurance provides numerous advantages that are crucial for truck owners and fleet managers alike. First, it guarantees a stable income and mental comfort. There is always the chance of something going wrong when you’re driving a 3.5-tonne truck. Tow truck insurance protects policyholders from the financially devastating losses that might arise from incidents like collisions, theft, and vandalism.

This safety net protects not only the truck and its contents but also the driver and any third parties who might be injured on the road. This safety net helps transportation companies stay afloat in the face of financial hardship, which is especially important in a sector as unpredictable and uncertain as trucking.

Coverage for tow trucks encourages drivers to follow the law. Laws governing everything from driver licensing to freight transportation have a significant impact on the trucking industry. Failure to comply can result in severe penalties, including restrictions and the closure of your business.

Experts in tow truck insurance know the ins and outs of these rules and may modify policies to keep their customers in good standing. This not only protects the trucking company from legal trouble but also boosts the company’s credibility and standing in the community.

Factors affecting the cost of tow truck insurance:

Insurance may be a major expense for organizations and individuals, so finding ways to cut expenses is essential. Whether you have one truck or a whole fleet, there are ways to lower your commercial tow truck insurance cost without sacrificing protection or safety.

1. Shop around:

Do some comparison shopping for insurance. It is important to get quotes from several insurers from our online comparison website because premiums and savings might vary widely. Cost-effective choices can be more easily identified with the help of online tools and insurance brokers.

2. Pick the appropriate insurance:

Consider your insurance requirements very carefully. While it may be tempting to go with the lowest policy available, doing so can backfire in the long term. If you want to save money, only get the coverage you need and skip the extras that you won’t use.

3. Bundling policies:

When you bundle your property and public liability insurance with the same provider, you can save hundreds of dollars annually. Insurers frequently provide discounts for policy bundling.

4. Safety measures and equipment:

Insurers offer discounts to policyholders who demonstrate a history of safe driving and responsible behaviour. Consider spending money on safety features like GPS monitoring, dashboard cameras, and driver education courses. A good driving record can result in premium discounts.

5. Truck maintenance:

Have your trucks inspected and serviced regularly. Insurance costs can be reduced by keeping a fleet in good condition, as breakdowns and accidents are less likely to occur when vehicles are regularly serviced.

6. Review your policy regularly:

Over time, a company’s priorities and the threats it faces may shift. To avoid overpaying or underinsuring, it’s important to review your insurance coverage every year and make any required changes.

7. Driving records:

You should strongly suggest that your drivers keep their driving records spotless. Insurance premium increases are possible after traffic violations. Always put safety first on the road.

8. Keep your credit rating in check:

Unexpectedly, your insurance premiums can be affected by your credit rating. Pay your instalments on time, cut down on your debt, and verify your credit report for mistakes to keep your score in good standing.

9. Consider a higher deductible:

If you want to save money on premiums, consider increasing your deductible. The rates can be reduced if the deductible is increased. However, you will have to pay more out of your pocket in case of a claim.

Frequently asked questions

Is towing truck insurance necessary?

Towing businesses cannot function without tow truck insurance. It safeguards your business against potential dangers and legal hassles, so you can keep going strong. Finding the correct policy for your tow truck operation requires knowing the ins and outs of your business and consulting with an expert insurance agent.

If I only have one tow truck, do I still need insurance?

Yes, it is essential to get tow truck insurance even if you only operate a single tow truck. In the event of an accident, having insurance will cover any costs that may arise as a result.

If my truck gets into an accident, what will happen?

In the case of an accident, you must notify your insurance carrier right away. They will assist you in filing a claim, which entails evaluating the damage, identifying who is at fault, and setting up any necessary repairs or payments.

What if I don’t have coverage for a tow truck?

The consequences of driving a tow truck without proper insurance coverage might be disastrous. Personal responsibility for the payment of costs following an accident or legal liability can be extremely stressful financially. Your towing rights could be suspended or cancelled as a result.

Is there a mandated minimum coverage amount for tow trucks?

Yes, there may be state or local restrictions that mandate you have a certain amount of insurance coverage for your towing service. Finding out what sort of insurance is required in your state is crucial.

To what extent does insurance for a tow truck cost?

The price of your tow truck insurance will depend on several variables, such as the model of your vehicle, the amount of coverage you need, the location of your business, and your driving record.

Related insurance

Zorley Limited trading as Quoteradar.co.uk are an (IAR) Introducer Appointed Representative of QuoteSearcher Limited who are authorised and regulated by The Financial Conduct Authority, their Registration Number is 504796 and their permitted business is insurance mediation. This can be checked by visiting the Financial Conduct Authority website. Upon form submission, your details will be passed to a panel of insurance brokers regulated by The Financial Conduct Authority for the purpose of providing you with insurance quotations.