6 Ways to Save on Trucking Insurance Cost and Reduce Your Overhead
Maybe you own a fleet of trucks. Or maybe you’re the owner/operator of a single rig. Either way, you’ve been incorporating trucking insurance cost into your overhead for a while. And we know it would be nice to lower your premiums. Unfortunately, you can’t control most factors that set your rate, but you can do a few things to manage it. So, let’s discuss ways to save.
Maintain a high credit score.
Many insurance carriers examine your credit score when setting rates—just like they do for any other type of policy. A high score indicates that you’re a responsible person and less of a risk. So, do your best to keep it up.
Prioritize a clean driving record.
As an owner/operator, you need to drive safely. And as the owner of a fleet, you need to hire employees who drive safely—and check their driving records to ensure they’re clean. Insurance carriers will give better rates to those who can avoid accidents—and consequently—claims.
Use new, well-maintained vehicles.
Carriers prefer trucks no older than 10 years, so you can save on trucking insurance cost with a newer rig. You’ll also get a better rate if you update your equipment and get regular maintenance. Insurance companies will consider an outdated, rickety rig a bigger risk.
Hire drivers with experience.
If you own a trucking company, insurance carriers prefer that you hire employees who have been on the road for a while. Experienced drivers know how to handle poor weather conditions and unexpected situations, making them less likely to cause accidents. Therefore, look for drivers with at least two years of experience.
Raise your deductible.
You can always raise your deductible to lower trucking insurance cost. But, of course, this means you’ll have to pay more out-of-pocket after an accident, so settle on an amount your company can afford without breaking the bank.
Pay all at once.
Many companies will offer discounted rates for customers who pay annual instead of monthly premiums. In fact, you can save up to 15%.