Are you just starting in the trucking business? You may be finding it challenging to locate the insurance you need to protect yourself and your business. Look for new venture trucking insurance companies that specialize in insurance for fledgling trucking businesses. To take some of the guesswork out of shopping for insurance, we’ve created a guide to the five best new venture trucking insurance companies.
- 7 best new venture trucking insurance companies
- What kind of insurance do new venture trucking companies need?
- How much does new venture trucking insurance cost?
- Why is new venture trucking insurance so expensive?
- What factors affect the cost of new venture trucking insurance?
- How do you find cheap new venture trucking insurance?
7 best new venture trucking insurance companies
We researched various insurance companies, and these 7 are our favorites for new venture trucking insurance companies.
- biBERK: Best for affordable coverage and great digital experience
- Progressive: Best for several discounts
- Simply Business: Best for comparing several quotes in one place
- InsurePro: Best for flexible pay-per-day coverage
- The Hartford: Best for fleets
- Smart Financial: Best for connecting new venture trucking businesses with knowledgeable and experienced agents
- THREE: Best for simple coverage
biBERK: Best for affordable coverage and great digital experience
biBERK is a new member of the reputable Berkshire Hathaways family. They specialize in selling insurance directly to small businesses. They have developed their insurance products in the way that allows them sell and distribute to small businesses completely digitally, no need to get agents and brokers involved in the process. As a result, they are able to cut costs and save small businesses at least 20% on premiums.
Small businesses can get quotes, buy, and bind the policy completely online within 10 minutes. After buying the policy, small businesses can also mange the policy completely online from downloading the certificate of insurance, adding an insured, renewing the policy, or filing a claim.
Progressive: Best for several discounts
Progressive provides commercial insurance coverage to over 12% of the market, making them the US’s largest commercial auto insurance company. The company has the largest American carriers’ market share, providing various coverages. The company also offers several discounts to their customers.
Progressive has policies available in all 50 states, and the company offers coverages for various styles of trucks. If you like dealing with your insurance companies online, Progressive has you covered. They also provide multiple payment options for their customers.
Simply Business: Best for comparing several quotes in one place
Simply Business works with multiple truck insurance companies to provide you with several quotes to compare. Typically, they return 3 or 4 quotes either online or via telephone. Completing their form is a simple process and takes between 5 and 10 minutes.
Simply Business is an independently operated subsidiary of Travelers Insurance, one of the largest commercial truck insurance companies. Be aware that Simply Business will likely return a quote from Travelers when they return your quotes.
InsurePro: Best for flexible pay-per-day coverage
InsurePro is a newer and innovate small business insurance agency. They partner with many leading insurance companies and develop an innovative coverage for trucking drivers and companies. They allows trucking drivers and companies to buy coverage for a short period, just a couple of days. You only pay for the coverage when you are on the road.
This is particularly useful to new venture trucking companies. When you just start out, you may not have enough demand to be on the road every day of the month. You may not need regular coverage that you have to pay premiums for the whole month. Being to pay for trucking coverage for just a few days of the month when you are on the road will save you a lot of money. It is also super fast to get a quote on their website. You may want to give it a try.
The Hartford: Best for fleets
The Hartford has come a long way since its early days as a fire insurance company. Now, it’s one of the country’s best-known commercial insurance companies. The company has commercial trucking insurance options available in all 50 states.
The Hartford is geared toward providing coverage for larger companies, but they do have offerings for smaller companies. If you have a fleet of trucks, you may want to start with the Hartford.
Smart Financial: Best for connecting new venture trucking businesses with knowledgeable and experienced agents
Smart Financial is an online insurance broker. They specialize in trucking insurance and strive to facilitate an easy buying process. This company makes a bold promise of striving to help every trucker in the country find affordable insurance through an easy buying process.
They promise to connect you with agents specializing in trucking insurance even if you are operating under new authority. Their goal of helping every trucker find coverage helps to ensure that you will find a complete coverage package at an affordable rate.
THREE insurance: Best for simple coverage
THREE is another subsidiary of the Berkshire Hathaway family. It was founded on the belief that insurance for small businesses can be simplified in plain English with no jargon or fine print. In fact, they commit to delivering a policy document with no more than 3 pages consisting of several coverages from commercial truck to workers comp to general liability.
THREE is one of a few companies that can offer commercial truck insurance quotes online. You may want to get a quote online. It shouldn’t take more than 10 minutes to get a quote on their website.
What kind of insurance do new venture trucking companies need?
There are three types of commercial trucking insurance that create the foundation of the policy packages purchased by many trucking companies.
- Liability insurance, both general and commercial auto liability. Learn more about trucking liability insurance and best trucking general liability insurance companies.
- Motor truck cargo insurance. Learn more at motor truck cargo insurance coverage and the best motor truck cargo insurance companies
- Trucking physical damage. Learn more at trucking physical damage coverage and the best trucking physical damage insurance companies
Many other insurance offerings are available, but these three form the basis for the packages many truckers consider crucial to their livelihood. Here are some of the other available coverages:
- Non-trucking liability/bobtail insurance: Learn more at the best non-trucking liability insurance companies and the best bobtail insurance companies
- Non-owned trailer coverage
- Medical coverage
- Workers’ compensation (if you have anyone working for you) Learn more at the best workers comp insurance for truckers
How much does new venture trucking insurance cost?
New venture trucking insurance is always more expensive than a trucking business that has been around for a few years. The average cost of new venture trucking insurance for one box truck is $1,800 per month, or $21,600 per year. This is for a good driver, 40 years old, with no violations on his personal driving record. This policy includes trucking primary liability, general liability, trucking physical damage, truck cargo, and bobtail coverages with the following breakdown:
|New venture trucking coverage||Average costs|
|Trucking primary liability||$750 per month|
|Trucking general liability||$250 per month|
|Trucking physical damage||$400 per month|
|Truck cargo insurance||$300 per month|
|Bobtail insurance||$100 per month|
These are just the averages. Your rates will be different. Be sure to shop around with a few companies to compare and choose the cheapest one for you. Getting online quotes whenever available. InsurePro, biBERK, THREE, and Progressive are the carriers providing truck insurance quotes online. You may want to give them a try.
Why is new venture trucking insurance so expensive?
Trucking insurance is generally expensive. But new venture trucking is even more expensive. It is because insurance companies consider new venture trucking businesses one of the high-risk profiles.
As in any business, if you are new to the industry and without prior experience, it is a lot more likely for you to make mistakes. Making mistakes in trucking business is very expensive and insurance companies have to pay for these mistakes. That’s the reason why they charge all new venture trucking businesses a significant premium to reserve for accident payment.
Some insurance companies even refuse to sell insurance to new venture trucking businesses.
What factors affect the cost of new venture trucking insurance?
New venture trucking insurance is a risk for both the trucker and the insurance company. With that in mind, most insurance companies will consider the following factors when considering writing for new trucking ventures.
- Who owns the truck
- Your personal driving history
- The equipment you use and the loads you carry
- Your company size
- The location of your route
The best way to know exactly what items factor into your insurance cost is to discuss your options with the insurance company and agent you have chosen to use. Insurance companies may look at other factors as well as the ones we have listed here. The things they look at are up to their discretion.
How do you find cheap new venture trucking insurance?
The best way to find affordable new venture trucking insurance is to compare rates for coverage. One of the easiest ways to compare quotes is to request a quote from a broker. When you find companies you are interested in working with, request quotes from them. Ensure that you are getting quotes for the same levels and kinds of coverage from each company.
As a new venture trucking company owner, you must have insurance to operate your business legally. Finding the right insurance at a cost you can afford may prove difficult as a new venture trucker. Many companies are hesitant to accept the risk of writing policies for a new venture trucking company.
When you find companies you are interested in contracting with for your insurance coverage, ensure you compare rates and that the coverages are equal in limits and terms.