Tow Truck Insurance
Every business needs coverage, and the towing business is certainly no exception. Since your company can face claims and lawsuits from all sides, it’s important to stay covered. Everyone from the party claiming ownership of the vehicle you towed to someone you drove past might claim injury. The increased risks can impact your insurance premiums. So can geographic factors that influence those risks. Here are three of those factors:
Where do you park the towed vehicles?
If you just pick up and deliver to a third party, you face limited risks (especially once the job is done). But if you own the garage, you’re responsible for the vehicles for longer. You need to protect against potential damage done to the vehicles while they’re on your property. You also need coverage for the possibility that someone will try to take their vehicle back from you.
Owning the lot can bring more revenue into your business, but it also increases your liability. Do the math with your agent or a new insurance provider to make sure you’re making enough profit after the expenses.
Where do you do business?
Your business’s location has a lot of impact on your premiums. Populated areas with lots of traffic increase the risk of claims and lawsuits your company might face. So does owning a garage or lot in an area with lots of crime or break-ins. That may make your insurance provider think twice about insuring you. It will certainly play a part in your final rates. While you might be willing to relocate your business to an entirely new area, changing your main premises once your lease is up might be worth considering.
What’s your range?
The more you and your drivers travel, the greater your potential risks. This is even more important if you cross state lines. Talk to your company about any additional coverage you might need or what changes can shave down your rates.
Go to J.E.B. Insurance Services, LLC. to see what else could be driving your tow truck insurance premiums up. We provide commercial truck insurance in the states of Florida, Georgia, Texas, North Carolina, South Carolina, Tennessee, Illinois, Iowa, and Nebraska.