Trailer Interchange Insurance | Non-Owned Trailer
Truck drivers and carriers understand that when they are moving a shipment from one place to another, several carriers may be involved. Shipments can move by truck, train, or ship depending on the trailer or container used. This means that the trailer or container being moved is in possession of many different people before reaching its final destination.
Additionally, many carriers understand that to move the most shipments; they must interchange trailers with different carriers. They may drop off a full trailer at a warehouse and pick up an empty trailer to go to the next stop. Since it is impossible to have carrier-owned trailers sitting at every warehouse in the country, most carriers have interchange agreements with other companies to use their trailers when necessary to move freight.
When you are moving a trailer that belongs to someone else, whether you are an independent truck driver or a carrier, you are responsible for that trailer if it is damaged. Having trailer interchange insurance or a non-owned trailer policy in place will protect you in the event of a non-owned trailer being damaged.
What Does A Trailer Interchange/Non-Owned Trailer Policy Cover?
These policies cover the physical parts of the trailer. For instance, if the trailer is hot by another vehicle, if it is damaged while unloading or loading, or if it is damaged when being changed from truck to truck, the damage to the trailer would be covered.
These policies do not cover the cargo within the trailer.
Many Brokers Now Are Requiring This Coverage
Many freight brokers are now requiring that carriers have this type of coverage for their trailers, even with signed trailer agreements in place. Some freight brokers also require that independent truck drivers carry this insurance in the event that a smaller carrier is not covered.
Freight brokers can be held liable when a trailer is damaged because they are part of the shipping process. By requiring this insurance coverage from the carriers and drivers they use, all parties are protected when the shipment is in motion.
Quick Facts About Trailer Interchange and Non-Owned Trailer Policies
• Trailer interchange agreements do not have to be in place for the insurance policy to be valid. When you have this policy it will cover any trailer that is being moved as long as the driver or the carrier does not own the trailer.
• The trailer must be hooked up to a truck for the coverage to be valid. This policy does not cover damage to trailers that happen in shipping yards or any other place where a trailer may be stored between loads.
• The average policy covers between $20,000 and $30,000 per incident. These policies generally have a $1,000 deductible.
If you actively move freight in trailers that you do not own, this is one of the best policies you can have to protect yourself from physical damages to the trailer.
Speak With VMC Trucking Insurance
If you are interested in purchasing a trailer interchange insurance policy or have any questions about what this policy covers, we ask that you call VMC Trucking. Our agents have the experience and knowledge that you need to find the right insurance policies for your business.
VMC Trucking Insurance provides insurance policies for independent truck drivers as well as carriers. We can help you with all of your insurance needs.
VMC Trucking Insurance is located in Illinois but offers policies in AL, AZ, CA, CO, DE, FL, GA, IA, IN, LA, MD, MN, MT, NC, NV, NJ, OH, OK, OR, PA, SC, TX, VA, VT, WA, and WI. VMC Trucking Insurance has been actively writing policies for over five years and works with over 50 carriers. Call today to see how we can help you.