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Is Truck Insurance More Than A Car

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What To Look For In A Company

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Some things that you should look for in a great commercial truck insurance policy include the following options.

Discount options. Commercial truck insurance can be very expensive especially if youre an independent owner-operator and you dont have a corporation that foots your insurance bills. Look for policies that offer you ways to save. From maintaining a safe driving record to discounts for getting additional safety licenses, the best policy providers offer you plenty of ways to save.

Coverage for your current truck. While every insurance provider will offer coverage for pickup trucks, some providers might have limitations on specialized vehicles like dump trucks and semis. Understand the exact make and model of your vehicle and look for an insurer who offers protection for your investment.

Coverages across the country. Every insurance company isnt authorized to operate in every state and with a commercial truck, you may have areas of the country excluded from your policy. Look for companies that provide coverage in as many states as possible for greater protection.

What Does It Mean When Your Car Is Totaled For Insurance

Total loss refers to vehicles that are damaged beyond repair or it is “totaled”. Repairs would cost more than the actual cash value of the vehicle. If your insurance company deems the damages so substantial that they can’t be repaired safely, it will be a total loss, aside from cost considerations.

Insurers use factors such as repairs costs, salvage, safety and financial considerations for damage estimates and repair timelines.

Heres an example of a total loss situation :

Lets say the market value is $10,000, and you still owe $12,000 on your loan. If your car is totaled, you will still owe your financing company $2,000. The $10,000 settlement cheque will be paid to the finance company. You are responsible for paying off the remaining balance on your loan.

Once your insurer writes off the automobile as a total loss, it is branded as salvage. The cash value is determined by the make, model, mileage and conditions. Next, it will be auctioned off for its salvage value.

Finding Your Best Rates And Managing Your Insurance Costs

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It may cost more to buy and insure a truck, but youre also investing in more vehicle size, performance, and capability. You can stay on top of your ongoing ownership costs to make sure youre leveraging any and all available savings. Some suggest finding new insurance quotes at least once each year to identify cheaper options. Other ways to save might include building a strong credit history or considering a higher deductible.

As your truck ages, you can also reduce the types of coverage you have in your policy as well. Of course, its best practice always to drive safely and avoid compromising driving conditions. Use available driver assistance features whenever possible for the safest roadway navigation. A history of accident-free driving might be your best weapon in combating higher insurance costs.

Truck insurance is a requirement for all truck drivers. You can expect to pay a little more in premiums for a truck than if you were insuring a mid-size sedan. Ultimately, the differences in monthly price can be managed and will vary based on a variety of reasons. Stay on top of your premiums and the other truck ownership costs so that you know what to expect.

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Why Do You Need Truck Insurance In Georgia

The average cost truckers pay for commercial truck insurance in Georgia is about $15,890. There are numerous reasons why truck insurance is essential. Understanding your risks is the primary step in searching for the right policy. Therefore, check out the following common risks you face as a trucker in Georgia:


Within a state, road transportation is the most popular mode of transportation. Trucks are one of the primary commercial vehicles used in road transportation to transport goods and services. However, trucks are larger than cars and are more vulnerable to accidents and injury. Hence, it would help if you had insurance to cover your liabilities and physical damage to your truck.

Natural disasters

Each of the states in the U.S is vulnerable to different types of disasters. According to Crisis Equipped, you need to be ready for natural disasters like storms, hurricanes, flooding, landslides, wildfires, and severe weather in Georgia. As a trucker, you are at risk of losing money due to these occurrences. Hence, you need insurance to cover the damage to your truck and its contents.

Cargo risks

When traveling to its final destination, your cargo is often vulnerable to theft, damage, or loss. If you are transporting very valuable cargo, then your losses will be financially draining. So, it is best to be safe and invest in insurance.

Risks to your workers

Uninsured/ Underinsured motorist

How Much Does Commercial Auto Insurance Cost

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Is It Cheaper To Insure A Truck Or A Car

Car insurance companies use several variables to determine insurance rates. Some of these factors are vehicle-specific, like crash ratings associated with the make and model. Others, however, are based on the driver and the location. Driving record and age are two of the most impactful variables that factor into rates. A poor driving record can result in a much higher cost for car insurance than if that same person had a clean record. Likewise, the youngest and oldest drivers tend to cost more to insure and typically see higher rates from insurers.

Because of this mix of variables and how many arent based on the vehicle, you need more information when comparing car versus truck insurance. While you can find average rates for different vehicles, those estimates wont capture the other variables that factor into auto insurance premiums. Not only does the make and model of the vehicles matter, but the location where theyre driven and who drives them all factor into determining the cost of auto insurance.

Tips For Lowering Your Car Insurance

  • Shop around for a new policy
  • Lower your coverage
  • Check for discounts
  • Reduce your mileage

These are some of the quickest and most efficient ways to lower your rate if youre struggling to afford your coverage. As a long-term solution, you can try to fix other factors like the type of car you drive, your credit score, or your driving record. To learn more, check out WalletHubs guide on how to lower your car insurance premium.

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How Much Is Insurance For Trucks

How much is auto insurance for a truck? That answer depends on what truck youre trying to insure, the insurer you choose, and whether or not you have a clean driving record. Pickup truck insurance rates also depend on the make and model year of the vehicle. So how much does it cost to insure a truck?

Lets look at the average pickup truck insurance cost per month of the top ten most popular trucks that drivers love. According to J. D. Power, these are the top trucks based on customer feedback and national truck sales.

Average Monthly Truck Insurance Rates by Vehicle Make and Model

Vehicle Make and Model

The cheapest trucks to insure are the Chevy Colorado, Ford Ranger, and Ford F-150. These monthly auto insurance rates are based on the latest model years of each automobile. Therefore, you probably save more than expected with a new truck.

Because these trucks are the most recent, they carry higher than average values, which means collision and comprehensive coverage is worth more than liability insurance.

Cheap pickup insurance depends on the company youre with, your age, gender, location, available insurance discounts, and several other factors. Continue reading to learn more about why pickup trucks are cheaper than most automobiles when getting auto insurance.

How The Insurance Companies Determine Premiums

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Insurance companies rely on a variety of data points to help them determine premiums and coverage plans for vehicles. They manage their risks by assigning costs, which are usually higher for conditions that present more significant concerns. How often you drive your car and your overall driving history are significant factors.

Other factors involve the vehicles themselves. Standard safety features and safety ratings can equate variable insurance discounts. In assessing the type of vehicle to cover, insurance providers will look at potential damages should there be an accident and potential cost of repairs. So, because trucks are bigger than cars, does that make them more expensive to insure?

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Commercial Truck Insurance Statistics

As noted above, the type of business that you are conducting will be a major factor in determining the cost of your policy. The manner in which you conduct business will also be considered. Specifically, owner-operators without a permanent lease pay more for insurance coverage.

According to Progressive, the national average monthly cost to insure a commercial truck ranged from $640 to $982 in 2020. The lower figure was the average cost for specialty truckers like tow truck drivers. The higher amount was the average cost for transport truckers.

The East Insurance Group reported that owner-operators with a permanent lease paid roughly $3,000 to $5,000 per year for coverage. On the other hand, owner-operators that conducted business under their own authority paid anywhere from $9,000 to $12,000 annually. Costs have risen dramatically in recent years, causing new owner-operators to now pay as much as $16,000 per year for auto insurance.

Factors That Affect Your Car Or Truck Insurance

Many variables go into determining the auto insurance rate for a particular vehicle and driver. While some of these factors are purely based on the vehicle, others depend on the drivers information. When insurance companies determine auto insurance rates for a customer, they compile these many variables together to create a risk estimate. This risk estimate evaluates how likely any driver is to file a claim and how much those claims are likely to cost. While the insurance companies cant tell the future, these algorithms tend to get better with time and are based on real-world statistics.

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How Much Does It Cost To Insure A Pickup Truck

There are several significant factors that will affect your auto insurance rates:

  • Driving record One factor is your personal driving record. This is also true for trucking companies hiring drivers your driving record will directly affect your insurance cost. Safe driver discounts are available with some insurers.
  • Truck type and coverage type Another component is what kind of truck you are insuring. A personal vehicle will often be less expensive to insure than a commercial automobile, mainly because commercial vehicles tend to travel more, which increases the risk of an accident occurring.
  • Truck usage If youre talking about commercial insurance, then the type of goods youre hauling will factor in as well. For example, a company whose trucks haul livestock will have lower insurance rates than a company whose trucks haul oil, gas, dynamite, etc.

This isnt because theyre hauling dangerous items but also because commercial insurance usually covers the products being carried as well. Often the more dangerous items have a much higher dollar value than something more benign.

For your personal vehicle, the amount of driving you to do will affect your rates, as well. Someone who drives to and from work 25 miles a day will pay less than someone who drives 120 miles a day. Other factors the insurance company will consider are:

  • Age
  • Year, make, and model of vehicle
  • State, city, and ZIP code

Which Coverages Cost More Cars Or Trucks

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Because the risk of vehicle or property damage is greater with a truck, along with any potential associated repair costs, truck insurance will be more expensive. In a recent study by The Zebra, major insurance carrier quotes were assessed for several cars and pickups. They found a difference of around $102 each month between the two, with trucks being more expensive.

Interestingly enough, the cheapest truck to insure in this study is the Chevy Colorado, with a mild variation of only $3 in premiums. The bottom line is that because youre driving a bigger vehicle with potential for heftier damages, the premiums will reflect those increased risks. However, based on your personal driving habits, you can easily find comparably priced coverages.

If you plan to buy a truck in the coming weeks, youll pay a little more for it than you would an economy sedan. Its also a good idea to also consider some of the additional costs of truck ownership, outside the purchase price itself. In addition to higher truck insurance costs, fuel efficiency may be different if youre transitioning from a car to a truck. Calculating routine maintenance services might contribute to your truck-buying decision as well. In many cases, trucks can be more costly to own than cars.

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How Much Is Commercial Truck Insurance

Commercial truck insurance is significantly more expensive than both personal car insurance and commercial car insurance. Experts estimate that the average semi-truck owner pays between $9,000 and $15,000 per year for insurance. Higher policy limits, specialized license laws, awkward truck bodies and high weights are just a few of the contributing factors that make commercial truck insurance so expensive.

Like personal auto insurance policies, the amount that youll pay for your insurance depends on a number of factors, including:

  • How long youve been driving your truck
  • How many years of driving experience you have
  • Your age and gender
  • The average length of your trips
  • Where you drive
  • How much your truck is worth

As you get more experience behind the wheel, youll usually end up paying less over time for your insurance as long as you arent involved in an accident.

Other Factors That Can Affect Your Car Insurance Quote

Your car make and model arent the only factors that go into an auto insurance quote. Other factors that affect your quote include:

  • Personal characteristics like age, gender and marital status. For example, teen drivers have higher car insurance quotes on average than any other age group.

  • The coverage you choose. The more coverage you have, the higher your insurance rates are likely to be.

  • Your driving record. A recent DUI, speeding ticket or at-fault accident can raise your rates.

  • Your location. Every state has different car insurance minimums, and factors like your neighborhood’s crime rate and population density will affect your insurance price.

  • Your credit score. Drivers with poor credit typically have higher car insurance rates. Insurers use a , which is different from your regular credit score, to determine the likelihood youll file a claim. A credit-based insurance score looks at factors such as payment history and outstanding debt but can’t use any personal information like your income or occupation to determine your score. California, Hawaii and Massachusetts have banned insurers from using credit scores when calculating car insurance rates.

  • Your car insurance history. This can include whether your car insurance has lapsed, insurance claims, how long youve been with your insurer and your last insurance company.

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Gmc Sierra 3500hd Slt

Average annual premium: $2,026

This one-ton truck is a two-wheel drive monster that has a 6.0L V8 SFI Gaseous CNG/LPG capable engine so you can run it on compressed natural gas or LPG. This truck puts out 360 hp and can tow almost 24,000 pounds.

The $53,000 starting price certainly contributes to its high insurance cost but so does its luxury filled interior. The SLT comes with eight-inch diagonal high-resolution, color touch screen integrated with the 4.2-inch diagonal display as well as a leather interior as standard equipment. The fact that it comes with a CNG compatible engine puts the price up when compared to a normal gas engine and contributes to its higher insurance rates as items like this that make a truck special can also make it more expensive to repair, says Gusner.

Commercial Truck Insurance Vs Auto Insurance


Whether you use an entire fleet of commercial flatbed trucks or a single pickup truck, as soon as you clock in for work, you need commercial insurance. The difference between commercial insurance and personal car insurance seems simple on the outset personal insurance covers personal trips, while commercial insurance covers commercial trips and vehicles.

But if you leave a job site with a truck full of tools to go pick up fast food for lunch, how are you covered?

Certain types of trucks need commercial insurance no matter how theyre used. This is because personal auto insurance policies are rated to account for the average auto accident. As soon as you start shopping for commercial truck insurance, youll immediately notice that policies are much more expensive than what you pay on your personal vehicle.

This is because commercial trucks tend to be heavier and more difficult to maneuver which increases their chances of being involved in a costlier accident. Your commercial truck insurance policy will include limits that are much higher than your standard auto policy.

In addition to higher limits, commercial truck insurance also has a number of other benefits for business owners and independent operators. Your commercial insurance is considered a business expense and you may be able to deduct your premium from your insurance. If you own a vehicle thats only used for work, you can deduct 100% of the cost of your insurance from your federal income taxes.

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