Many drivers feel that they can’t be fully protected by workers comp unless they’re driving for a commercial trucking company. But this isn’t true! In fact, you should always have workers comp on your vehicle to protect yourself legally from death or serious injury while working for any trucking firm. If you don’t have this important coverage, you could end up having to pay medical expenses and loss of income because you weren’t covered by workers comp.
It’s critical to remember that your insurance rates are calculated the same way regardless of whether you’re a driver for a for-hire company or one of the thousands of trucking companies out there that carry other forms of transportation insurance as well. The rates you’re quoted are also based on the volume of traffic you generate on a regular basis. The more traffic you cause to the roads and highways, the higher your risk, and the higher your rates will be. This is why it’s so vital to always keep your drivers’ license active, as even if you don’t drive your for-hire truck for business purposes, your rates will still be high if you have a heavy towing business operating behind you.
You’ll need to have a workers’ compensation insurance policy on your personal vehicle as well if you use that as your home office. Most trucking companies only provide workers compensation insurance on the trucks and vehicles they operate. However, if you’re an independent contractor who owns and operates your own business, you can get your own personal workers compensation insurance policy. Even if you only work part time from home, it’s still important to keep your personal insurance policy active in the event of an accident that causes you injury or if your vehicle is damaged and you are sued as the result of that accident.
For example, say you are driving to a customer’s place and you hit a deer. If you have a personal workers compensation coverage policy, the court will take care of paying for the damages you caused the customer because you were operating a motor vehicle while under the influence of alcohol. Having a workers compensation insurance policy on your personal vehicle can prevent you from having to pay for medical bills, repair costs, and any other expenses related to the accident.
Employers that have a drivers’ comp policy typically only cover workers compensation for their employees’ health and injury damages. They do not provide coverage for damages to their vehicle or property. Personal accidents, like hitting a deer, are considered a work-related accident and are covered under a workers compensation policy. That’s because most states have laws that force employers to provide workers compensation insurance to their employees. However, it is possible to get workers compensation insurance from other sources, besides from your employer. For example, some trucking companies offer their employees the option of buying workers comp for trucking companies separately from their own insurance.
Some states, such as Texas, don’t require employers to carry workers compensation insurance. Under the Texas workers’ compensation law, an employer is not required to provide workers comp for trucking workers comp class code or experience modification rate reductions to their employees. In addition, there are no limits on the type of trucks an employer can use to provide their employees with compensation insurance.
If your company has been established for more than two years, you may be able to purchase workers compensation insurance from other insurance companies. In order to find out if other insurance companies will offer you a comparable price, you can contact your state’s department of insurance. Most insurance companies are required by law to give you a price quote once you’ve inquired about price quotes from other companies. You can also request quotes from online trucking companies.
As a towing business owner, you’re already at risk. To ensure that you’re not charged with a unnecessary claim and that you’re covered should an accident occur, it’s in your best interest to purchase trucking workers compensation insurance. Purchasing this coverage doesn’t have to take a lot of time or money. Rather, a few simple steps will ensure that you’re properly covered, even for the smallest towing business. By taking the time to research your towing insurance needs, you will ensure that you’re working with a reliable provider and you’ll be able to focus on running your towing business without worrying about whether or not you have enough workers comp for trucking employees.