The Benefits Of Trailer Interchange Coverage
Posted on October 13, 2018
Trailer Interchange Coverage
There was a time, long before technology when all you needed was a handshake in order to seal the deal. However, like other industries, the trucking industry knows that there are many details that must be covered. A business definitely needs adequate protection to ensure that a business and the goods that they ship are free from worry during transportation. This is why the trucking industry values the trailer interchange coverage.
This type of policy can protect business owners from various financial liabilities. While it is quite an impossible feat to keep trailers you do not own from damage each time a trucker pulls one to a new destination, having the right type of insurance protects both the trucking company, employees as well as their families.
This insurance policy was put in place to help protect the trucking company from various types of accidents and damage that occur when drivers are loading and unloading goods in the process of hauling freight from one place to another. So this process of loading and unloading is fully covered during the interchange of goods.
The coverage is applicable as soon as the policy is purchased. In some cases, the coverage will only depend on whose possession the truck and cargo are in if damaged. So basically if the trailer is unhooked however it’s still in the possession of the trucker, then the trucker is covered by the trailer interchange insurance.
However, there are some restrictions to this rule. In some cases, some policies will only pay out if the trailer was still attached at the time the damage occurred. There may also be some restrictions on the type of damage and the amount of the insurance payout. There are ultimately maximum payout amounts.
Most people don’t know this, but physical damage is not covered by standard trucking insurance. Unfortunately, this places the truck driver in a vulnerable position. However, with trailer interchange insurance, you are covered in the following instances:
— when freight is being unloaded and unloaded
— if physical damage occurs to the product in the event that you are in an accident
— if a fire that is accidentally started damages the load
— if goods are stolen
— in the event of vandalism
These are just a few examples of the type of protection you get when you choose trailer interchange insurance. Ultimately, the insurance only covers trailers that you do not own. The policy does not extend to trailers that are owned by you and physically damaged.
The amount you pay for trailer interchange insurance will depend on a number of factors such as your driving record, your driving experience, the value of the trailer in question as well as local state regulations. Making use of trailer interchange insurance helps protect your business from the various financial losses that are caused by unexpected circumstances or penalties.
It also helps you to build and maintain your company and reputation as an owner. Ultimately, having a good reputation lets trailer owners know that they can trust you and have confidence when hiring you. This insurance policy not only protects properties not belonging to you but ultimately yourself and your family as well.
Trucking companies incur many expenses on a day-to-day basis. Sadly they are also perceived as a cash cow for scams. While some trucking companies may not see the value of an insurance policy, since they have so many expenses already, the reality of the situation is that the cost of an insurance policy is far less expensive than taking the chance of adding unforeseen expenses and penalties to your business.
Trailer interchange coverage is a smart business decision and it protects your investments in the business. One little-added expense could mean the difference between coverage and financial ruin. The trucking industry has enough dangers already, so why not take a step in ensuring that you don’t add to that list. Trailer interchange coverage can save your business lots of money.
