Key Glossary of Trucking Insurance Terms for Professionals

Trucking Insurance Glossary Key Terms You Should Know

Familiarize yourself with essential trucking insurance terms to navigate the complexities of coverage, claims, and policies with ease. This glossary provides clear definitions of key terms for business owners and fleet operators.

Bodily Injury Liability

Covers medical expenses and lost wages for individuals injured in an accident caused by your vehicle.

Business Interruption Insurance

Coverage that compensates for lost income when business operations are halted due to covered events like accidents or disasters.

Claims Adjuster

A professional who investigates and evaluates the damages or losses claimed in an trucking insurance policy.

Claims History

A record of past insurance claims filed by the insured, which can influence future premiums.

Collision Coverage

Insurance that covers damage to your vehicle resulting from a collision with another vehicle or object.

Commercial Auto Insurance

A broad term for insurance policies that cover vehicles used for business purposes, including trucks, vans, and cars.

Contingent Cargo Insurance

Provides coverage for cargo when the primary cargo insurance does not apply or fails.

Deductible

The amount you pay out-of-pocket before your trucking insurance coverage kicks in.

Excess/Umbrella Insurance

A policy that provides extra coverage beyond the limits of standard liability insurance policies for catastrophic incidents.

Exclusions

Specific conditions or circumstances not covered by an trucking insurance policy.

General Liability Insurance

Coverage that protects your business from lawsuits or claims involving bodily injury, property damage, or advertising mistakes.

Hired Auto Insurance

Coverage for vehicles rented or leased for business purposes, often covering damage or liability during the rental period.

Insurance Policy Endorsement

A written provision that modifies the terms of your standard trucking insurance policy.

Liability Coverage

Insurance that covers the cost of damages to others when you're at fault for an accident.

Loss of Income Coverage

Insurance that compensates for lost earnings due to an event that causes damage to your business property or assets.

Loss Payee

A party designated in an trucking insurance policy to receive payment for a claim, typically a lender or leasing company.

Non-Trucking Liability Insurance

Coverage for when the truck is used for personal purposes, outside of business operations.

Physical Damage Coverage

Insurance that protects your vehicle from damage caused by accidents, theft, or natural disasters.

Policy Limit

The maximum amount your trucking insurance will pay for a covered loss or claim.

Primary Truck Liability Insurance

Covers accidents where you're at fault.

Trailer Interchange Insurance

Covers damage to trailers that aren't owned by the insured while in their possession during interchange agreements.

Total Loss

A situation where the cost of repairing the insured property exceeds its value, resulting in a payout to the policyholder.

Workers' Compensation

Insurance covering employee medical expenses and lost wages due to job-related injuries or illness.

Accident Report

A document detailing the events, damages, and parties involved in an accident, typically used for insurance claims.

Aggregate Limit

The maximum amount an insurance policy will pay out over the course of the policy period for all claims.

Comprehensive Coverage

Insurance that covers damage to your vehicle from non-collision events like theft, vandalism, or natural disasters.erations are halted due to covered events like accidents or disasters.

Contingent Liability Insurance

Coverage that protects against liabilities arising from incidents that may not be directly under the control of the insured.

Driver Liability Insurance

Covers bodily injury or property damage caused by a driver while operating a company vehicle.

Endorsement

A rider or provision added to an trucking insurance policy that modifies or adds to the existing coverage.

Underwriting

The process by which an insurer evaluates the risk of insuring a person or business and determines the premium.