We just completed our 2024 insurance renewal last month, so I thought this world be a good time to revisit the subject of insurance. It's been several years since we have taken a serious swing at the topic and high time we do it again. Especially since insurance is in the top 5 expenses for most trucking companies and a little savings on your insurance bill can go a long way towards improving your bottom line.

What To Expect From Episode 155

Buying truck insurance is a pretty complicated and sophisticated purchase. The better you understand it, the better product and service you will receive and the better price you will pay. Understanding the players in the truck insurance world is step one in building your insurance knowledge. Craig and I start off the episode talking about the difference between insurance agents/agencies and insurance companies. We also discuss how many agents should you have giving you quotes. I typically recommend that you work with 2-3 agents, because that is usually enough to get you quotes from most, if not all of the major truck insurance companies.

It's good to get an early start whether you are getting a quote for the first time or working on a renewal. I recommend you start gathering all the information needed for the agents giving you quotes around 60 days before your renewal. Here is what you will usually need to provide:

• A completed application, your agent can often take the information over the phone, fill it out and provide you a document to sign.

Timing is critical. I recommend you have all the info your agent needs to get a quote to them at least 30 days before your policy expires so you get the quotes back in a timely manner. I also recommend you bind the new policy, that means making the down payment, at least 1 week before your policy ends. That ensures you don't miss out on any loads. About a week before your policy expires some shippers and brokers won't book loads with you because they see your policy is expiring and they want to see you have a new one in place first.

How much your policy is going to cost depends on a lot of different factors. It really boils down to risk. We talk about some of the main risk factors that affect your pricing, to include:

• How long you have been in business

Not all insurance policies are equal. Price is an important factor, but you also want to make sure you are getting adequate coverage for the type of operation you run. For example, if you have reefers, make sure you get reefer breakdown coverage. If you are hauling something super expensive, make sure your cargo insurance is high enough. If you haul HAZMAT make sure you have the right coverage at the right limits. A good agent who primarily does truck insurance will be able to help you through all of this. Don't work with an agent just because they are someone you know. If they don't regularly write truck insurance they can get you in a lot of trouble by not providing you the coverage you need.