Simply Put: NonTrucking Use Liability and Physical Damage
As an Account Manager for Mid South Truckers Group, I spend a lot of time on the phone with owner-operators, many of which are purchasing insurance for the first time. Often times, Motor Carriers require their drivers to carry Non-Trucking Use Liability. When I quote this coverage and ask the owner-operator if they would like a quote for Physical Damage coverage as well, more often than not, I am asked, “Isn’t this the coverage you just quoted me?” – No.
Simply Put: Non Trucking Use Liability is the liability coverage that protects the owner-operator against lawsuits when they are not under dispatch and not hauling any products or commodity. For example, if an owner-operator is enjoying a beautiful Saturday afternoon off-the- clock and decides to take his/her unit to the truck wash and is involved in an at-fault accident along the way, a claim would be filed under the Non Trucking Use Liability coverage.
Non Trucking Use Liability does not cover damages to the insured’s vehicle. I repeat, does not cover damages to the insured’s vehicle. Non Trucking Use Liability only covers damages the insured is liable to pay another person after being involved in an accident where the insured was deemed “at-fault.”
Physical Damage coverage protects the owner-operator when his/her unit is damaged. Physical Damage generally includes two parts, Comprehensive and Collision coverage. Collision involves damage to a vehicle that results when it collides with another object. Comprehensive is defined as anything other than Collision. Comprehensive covers damages due to theft, fire, vandalism and more. Many insurance carriers provide Specified Perils coverage instead of Comprehensive, but Comprehensive is actually the broader coverage and is preferable when available.
While considering your next insurance purchase, it is important to ask yourself three questions:
- What covergaes does my Motor Carrier require me to carry?
- Do I have a lein or loan against the vehicle that requires me to carry Physical Damage coverage?
- What level of coverage do I need to protect my assets?
Mid South Truckers Group offers Non-Trucking Use Liability and Physical Damage protection. For more information on either policy, please contact our office toll free by dialing 888-321-1015 or request a FREE insurance quote on our website www.midsouthtruckersgroup.com.
Written by: Jessica Peart
Account Manager/Internet Strategist
*Submit your insurance questions to Jessica Peart via email at firstname.lastname@example.org