What is the purpose of Trucking Cargo Insurance?

Motor carriers need to ensure they have trucking cargo insurance to safeguard against liabilities arising from the destruction, damage, or loss of their customers' goods during transportation. There is a wide array of cargo insurance options available, and it's crucial for motor carriers to carefully evaluate and select the appropriate coverage through an insurance agent.

What Coverage Do I need?

As for legal requirements, federal law no longer mandates cargo insurance for motor carriers not involved in household goods transportation (BMC 34 or BMC 83). Nonetheless, it remains essential for trucking companies to purchase cargo insurance to adequately protect the goods they transport. Many cargo insurance policies come with exclusions and deductibles that may limit coverage. Typically, for-hire motor carriers maintain coverage around $100,000, though this amount may vary based on the commodities transported and specific requirements from shippers or brokers.