Hot shot trucking insurance is for truckers who specialize in the transportation or expedition of…
Bobtail Insurance: Your Go-To Insurer For Hot Shot Trucks
What is hot shot trucking?
The term hot shot trucking often refers to a situation where truck freight is hauled by a heavy-duty pickup truck or any midsize class 3, 4 or 5 truck. A typical hotshot pickup truck will usually have four axles and can haul up to 13000 lbs. of cargo. Large size trucks and trailers can have anywhere between 20 to 40 feet of usable deck space which makes them ideal for shipping large equipment, machinery as well as automobiles.
The first reported account of hot shot trucking can be traced back to Texas and Oklahoma in the early days of oil exploration. Back then, standard pickup trucks were relied on to deliver supplies and equipment to oil rigs and drilling sites. Due to the importance of having supplies delivered on time to keep operations running around the clock, hot-shot drivers were on high demand and never lurked far from drilling sites.
What sets hot shot trucking apart from other disciplines is the speed with which the cargo should be delivered to its final destination. A hotshot truck driver must deliver the goods within an hour of the call out, as a result, these trucks come in handy during emergency situations. Though pickup trucks still dominate this industry, large trucks have slowly entered the scene over the years.
Hot shot trucking has many advantages compared to traditional class 8 truck driving. For one, it’s not mandatory for a hot shot driver to possess a commercial driver’s license as long as they haul cargo that’s below 10,000lbs. This provision is especially appealing to those carriers who are just starting out in the business.
What is hot shot trucking insurance? Why is it important?
However, just like other motor vehicles, hot shot trucks and trailers are prone to many risks such as breakdown and accidents. Accident statistics released by the U.S Department of transportation in 2014 unearthed some fascinating information. Indeed, 70% of all commercial truck accidents are likely to result in property damage. Also, 22% of hot shot trucking accidents result in injuries to both the drivers and passengers in other vehicles. Every year over 120,000 people are injured in commercial truck collisions.
Furthermore, commercial truck accidents can lead to significant losses for the truck operators or owners. For one, a truck represents a significant investment on the part of the owner. The only sure-fire way of safeguarding their investment is by taking up insurance covers. The bobtail insurance cover is one of the most comprehensive insurance policies available on the market to date. Bobtail’s insurance policy is unique in that it covers the truck, the cargo on transit as well as the driver before and after delivery of the goods.
Bobtail’s hot shot trucking insurance
Bobtail’s hot shot truck insurance covers a broad range of trucking operations primarily those that specialize in the expedited transport of cargo. The bobtail cover is also useful even when trailers are not hauling any loads such as when the shipment has already been delivered and when the truck driver is en route to pick up the next haul.
Bobtail insurance is a leading hot shot truck insurance agency with thousands of clients scattered all over the country. The insurer has the expertise to tailor a comprehensive insurance policy that will meet all your trucking needs.
Factors to consider when choosing your hot shot trucking insurance cover
For truckers starting out hot shot trucking operations, shopping for the ideal hot shot truck insurance cover can be a tedious and overwhelming task. First of all, with so many companies offering truck insurance covers, singling out a suitable insurer makes the task even more daunting. Finding the right company will not only ease your worries but will also lead to thousands of dollars in savings.
A proper insurance cover not only covers you and your investment but it also goes a long way in convincing shippers that you can meet their insurance demands. Below are some the factors might ultimately determine the nature of your hot shot truck insurance. These include;
• Your choice of an insurance agent and the companies they represent
• What is your minimum coverage
• What class does your truck classify
• Whether you want any additional coverage
• The state where you reside
• Your limits as well as deductibles
• Your credit rating
• Whether you have CDL documents as well as the nature of your driving records
It’s essential that you opt for a properly-designed insurance policy to cover both the driver and your investments in almost every possible situation. Below are some of the available options we provide to truck operators.
The comprehensive package: a must-have coverage policy for all truckers; this one protects your trucks and trailers both on and off the road from the loss that may arise due to fire, vandalism, theft or any other physical threat.
The collision package: The collision package shields your investments in the event of any impact or collision with other motor vehicles, stationary objects, and even rollover events.
Towing and storage cover: This package provides cover for any expenses related to towing and storage of worn out equipment.
Binders, chains, tarps and ramp coverage: This package provides cover for all your valuables, including costly equipment in the event of a fire, vandalism, theft or other-related damages.
Combined deductibles: This package allows hot shot truckers to pay only one deductible in the event of losses occurring from a variety of cases such as trailer damage or cargo loss.
Pollution coverage (broadened): This policy provides liability coverage for your truck in the event of pollutant discharge during cargo transportation, loading, and unloading.
Downtime coverage: the downtime package guarantees that a fixed amount will be paid to you each day for a month when you out of work due to your truck being stolen, vandalized or totaled during an accident or collision. With this coverage, truckers can receive up to $100 a day for 30 days.
Loading and unloading: this policy provides cover for cargo against damage during the loading and unloading processes.
Debris removal: debris removal is a package that is designed to cover any costs associated with removal of debris in the aftermath of a collision or accident.
Family emergency expenses coverage: with this package, truckers are subject to receive up to $2500 as traveling and other expenses for a family in the unfortunate event that a trucker is injured while on duty away from home.
Other common insurance options:
Loss mitigation: This one shields you from the loss that may occur as a result of further damage to cargo after a calamity.
Medical payments: This one covers all your medical bills if you incur an injury while operating the truck.
Hotshot truck insurance requirements
Most states will require a trucker to have CDL (commercial driver’s license). A CDL coupled with some experience in hot shot truck operation will translate to less monthly premiums for your insurance coverage. Hot drivers also need to file an MC number with the FMCSA if they operate across different states. The FMCSA also requires truckers to have a minimum of $750,000 in liability coverage. However, most load brokers and shippers need $1,000,000 liability before releasing cargo. Though the federal statute sets a minimum of $5,000 in cargo limits, most shippers will want to see a cargo limit of $100,000. Physical damage coverage for your truck and trailer is also necessary. PTI registration for your trailer and IRP for your truck is also necessary.