HAVE YOU EVER HEARD OF MOTOR TRUCK CARGO INSURANCE?
Simply put, it provides insurance on the freight or commodity hauled by a for-hire trucker. this insurance policy covers the liability of the trucking company in case of damage or loss of a customer’s cargo either during transit, while loading and unloading at terminals, or while it is being held at docks awaiting final distribution.
WHAT EXACTLY DOES IT COVER?
Coverage can vary depending on the policy; however, it typically covers
cargo damage or loss caused by:
– Striking of a load
– Water damage
– Equipment failure
– Refrigeration breakdown
ADDITIONAL COVERAGE PROVIDED BY MOTOR TRUCK CARGO INSURANCE
If your load is accidentally dumped on a roadway or waterway (Removal
Expenses coverage), our coverage pays for the cost to remove debris or
extract pollutants caused by the debris. It will also pay for costs related
to preventing further loss to damaged cargo (Sue and Labor Coverage),
legal expenses in the defense or settlement of claims, and even freight
charges the customer loses when failing to deliver a load (Earned
IS MOTOR TRUCK CARGO INSURANCE MANDATORY?
Currently, there isn’t a federal mandate requiring cargo insurance for
motor carriers who don’t ship household goods; however, we strongly
suggest you get this insurance policy to protect the goods transported
and avoid headaches if anything happens to the load while you’re
WHAT LIMITS OF MTC INSURANCE SHOULD YOU CHOOSE?
It depends since it’s based on the trucking operation, the number of
vehicles, and the type of cargo. However, usually, the coverage for a
for-hire motor carrier is $100,000, even though this amount may be
higher depending on the commodities hauled and shipper or broker
WHO BENEFITS FROM THIS COVERAGE?
It covers for-hire trucking risks on several vehicles such as fl atbeds,
cargo vans, box trucks, tractor-trailers, car haulers, and other similar
local and long-haul shipping trucks.
Here at Skholl we’re happy to help you find your way through additional cargo insurance inquiries. Email us at
firstname.lastname@example.org or request a quote here.