A quick lesson on cargo coverage

When our clients receive their annual cargo policy, it generally gets safely filed away completely unread. After all, thumbing through hundreds of pages of insurance verbiage isn’t exactly the most enthralling task as a business owner. Clients more often prefer to trust their agents to choose the correct cargo policy to meet their trucking business needs. And while our expert agents strive to provide the most complete coverage, clients should have an understanding that each cargo policy is often drastically different from the next. Being familiar with policy exclusions can be extremely helpful for the policy owner, as needs and operations may change throughout the life of their policy.

Each insurance company reserves the right to create their own version of a cargo policy. Each policy contains its own general set of unique exclusions and enhancements that should always be taken into account when choosing a policy to suit your trucking business. For example, commonly excluded or items in cargo insurance policies include: alcohol, tobacco, silk, jewelry, electronics, seafood, eggs, frozen foods, and flowers. Cargo policies also often exclude losses arising from particular situations, such as mechanical breakdown of a refrigeration unit, rust, or wetness. And often, there are exclusions for certain niche cargo such as autos, boats, yachts, used household goods, motor homes and livestock.

Other common differences in cargo coverage includes a co-insurance clause, (a penalization for under-valuing cargo), no coverage for newly acquired or substitution vehicles and no cargo coverage if the cargo is loaded on a trailer that is not attached to an insured vehicle at the time of loss.

Our clients should also consider additional expenses that some insurance companies will provide, above and beyond the general loss of cargo. Some examples include pollutant clean-up, payments to help reduce the loss, expenses for freight re-loading, debris clean-up, and earned freight reimbursement (reimbursement for the miles you would have invoiced from the point of pick up to the point of loss, that your client will most likely not be paying for.)

With so much information and individual considerations, our agents work tirelessly to ensure proper coverage for our clients. However, client education is equally important.

Should any questions arise; review  your policy and limits, and then feel free to call our office for a no obligation quote at 1-800-266-8789, and our agents and customer service team will be happy to help you.

Becoming familiar with your insurance policy & avoiding unwanted claims

Here at Network Truck Insurance Services, we want to keep our clients informed and comfortable that they are being taken care of while on the road. And while we do our very best to keep our family of customers safe, it is also the insured responsibility to become familiar with the exclusions and business purpose of their insurance policy.

First, our clients should be familiar with the jobs they intend on taking on that may have special insurance requirements. Some brokers require higher limits of liability than others, some may require General Liability, or some may require special commodities or trailer coverage. Strong communication between our clients, their agents and customer service team will help ensure that our clients are properly covered under any situation.

Not only should our clients be aware of insurance limit requirements when they take on new brokers- but also be aware of the commodities that they are taking and any exclusions that may be on their policy. For instance, shrimp and shellfish are very commonly excluded commodities. If a client were to be unaware of this fact and accept a $90,000 load of frozen shrimp, experience a reefer breakdown mid-trip and lose the load- as an excluded commodity this claim may not be paid. This would leave our clients in a hard spot without proper coverage.

If a customer intends to act as a broker or sub haul loads, this work also requires special insurance coverage. All too often we hear of truckers acting outside of their policy limits and causing great financial strife when they find the work they’ve been doing wasn’t actually covered. Remember- if the job description changed, your insurance requirements may have as well.

If ever you have a question about your policy limits or work needs, our agents and customer service team are standing by to keep you safe and covered on the road.

Why you might need a general liability insurance policy

At Network Truck Insurance Services, we are frequently asked why some brokers require General Liability insurance and what it covers. Often, we find that there is confusion between Auto Liability and General Liability. In short, Auto Liability covers liable actions while the insured vehicle is in motion. General Liability, however, covers liable actions outside of the vehicle. We’ll take a moment to give the ins-and-outs of this increasingly sought after coverage- and hopefully lay some of these questions to rest.

If you are business is for-hire, or motor carrier, changes are you will need Trucker’s General Liability. Some examples of what this line of coverage protects against-

*Customers slipping/falling on premises

*Actions of driver while representing the insured on the premises of others, such as loading docks, truck stops, ect.

*Erroneous delivery of products resulting in damage

When you purchase a General Liability policy, it would also provide the following coverage-

*Personal Injury and Advertising Injury Liability

*Medical payments

*Products/Completed Operations

Personal or Advertising Injury covers injury to a person or entity that is not physical in nature, but has been the result of negligence on your part. For example: using another company’s logo in your advertising without permission.

General Liability Medical Payments cover physical injuries to people that are not typically on your premises, but may become injured while on your property. For instance, if a customer is on your property and falls in the parking lot, General Liability may provide coverage for this instance.

Products/Completed Operations covers bodily injury or property damage that happened as a direct result of delivering someone else’s goods. For example: You are delivering colored pellets, and you deliver the pellets to the wrong bin. That bin is then run through the machine with the incorrect color pellets and destroys that batch of product.

If you have any further questions you’d like answered, or would like a quote to add this coverage to an existing line of coverage we are always here to help. We have agents waiting to offer you a quote and a service team happy to answer any questions!