The 6 Insurance Policies You Need If You Drive Commercial Truck in the USA

What does it cover exactly?

Bodily Injury (third-party injuries) and Property Damage (third-party vehicle or structure damage). If you hit a car on I-35 and the other party sues, your Commercial Auto Liability pays legal defense and damages — up to the contracted limit.

Typical limits

• $750,000: federal minimum for trucks hauling non-hazardous freight interstate.
• $1,000,000 (1M): most common for owner operators and small fleets. Most freight brokers require it.
• $5M: for hazmat or special cargo.

How much does it cost?

For an owner operator with good DOT history, expect $7,000–$12,000/year for $1M Auto Liability. For newer drivers (less than 2 years CDL), prices can double.

→ Quote Commercial Auto Liability

What does it cover?

Loss or damage to cargo during transit from collision, rollover, theft, fire, water, refrigeration (reefer breakdown) and other listed perils. It does not cover your own property — for that you need Inland Marine.

Typical limits

• $100,000: standard for general freight.
• $250,000–$500,000: high-value loads (electronics, cosmetics, etc.).
• $1M+: specialized or high-risk cargo.

What hardly anyone tells you

Freight brokers require a minimum Motor Truck Cargo (usually $100K) before accepting your loads. Without this policy, you basically can't work with loadboards like DAT or Truckstop.

→ Quote Motor Truck Cargo

When do I need it?

If you have a physical location (shop, office, yard), if you enter client properties to load/unload, or if you have employees interacting with the public. Some shippers require it as a condition to enter their docks.

Difference from Auto Liability

Auto Liability covers injuries/damage while driving the truck. CGL covers everything else: trips at your facility, damage to merchandise before loading it, etc.

→ Quote General Liability

What does it include?

• Collision: crashes with another vehicle or object.
• Comprehensive: theft, vandalism, fire, hail, natural events.
• Specified Perils: cheaper alternative, only covers listed events.

Cost tip

The higher the deductible, the lower the premium. A $2,500 deductible instead of $1,000 can lower your premium by 15–20%.

→ Quote Physical Damage

When does it apply?

When you work with lines like Schneider, J.B. Hunt or brokers that let you pull their trailers. Without this coverage, if you damage the trailer (hit, theft, vandalism), you pay out of pocket.

Difference from Trailer Physical Damage

Trailer Physical Damage covers a trailer that is yours. Trailer Interchange covers a non-owned trailer in your care under contract.

→ Quote Trailer Interchange

Why is it separate?

Your motor carrier's Commercial Auto Liability (if you work under lease) only covers when you're "on dispatch" (on an assigned load). When you go to the gym or to eat between loads, you're technically not covered. NTL fills that gap.

Cost

It's one of the cheapest policies — typically $300–$700/year. Worth 10x what it costs if you have an off-dispatch accident.

→ Quote Non-Trucking Liability