According to Statistics Canada, 134,000 for-hire trucking companies were actively operating in the country in 2019. And these businesses generated around $67.8 billion in revenue from trucking operations and related services. Specifically, the province of Alberta contributed more than 6% of the total revenue.The profit from trucking operations is impressive, and business owners will do well to protect such a significant income-generating company. So, how do you protect your trucking business? The answer lies in the right business insurance in Alberta.
What is a Business Insurance?
Business insurance is the general term for businesses’ different insurance policies. Under this type of insurance are general liability insurance, commercial auto insurance, business interruption insurance, worker’s compensation insurance, cargo insurance, and more.Business insurance is a crucial component business owners need to keep their companies safe and secure. Specifically, a business insurance policy protects your financial assets and intellectual and physical property from risks such as lawsuits, theft, property damage, and loss of income, among others.
However, your protection coverage depends on the type of insurance you acquire. It will not always cover everything mentioned above, so it’s best to discuss it with your insurance agent or broker for better understanding.
When needed, you can get one policy on top of another so there are no loopholes in your coverage and your business becomes well-protected.
Why Get Your Trucking Business Insured?
It’s exciting to be the owner of a trucking business where growth opportunities are vast. With the right strategies, you can be assured of a significant income for a long time, plus a big chance of expanding your business. However, excitement is almost always coupled with concern and anxiety. With all the risks associated with trucking operations, it’s easy to think of multiple problems you might face along the way.
And what are these risks?
● There’s a high risk of accidents on the road.
● Theft is also common, especially during stopovers or when drivers need to rest.
● Additionally, owners of trucking companies are concerned about the damages to the items they carry and transport.
● There are also injuries and damages acquired in the office or business establishment that need to be considered, although less common.
Risks can still become realities no matter how careful and compliant your business is to state laws. And when faced with this situation, your business can suffer significant losses. Without the proper protection, you might lose everything, including your business. Worse, you end up with debts. Fortunately, you can set up a business insurance plan before starting your trucking operations to ensure your company and its assets are well-protected.
But what kind of business insurance should you get?
What’s the Right Business Insurance for Trucking Companies?
There are numerous business insurance plans available for business owners today.
However, as a trucking company owner, it’s crucial to analyze the risks of your venture to know what coverage you need and identify the most suitable business insurance policy for your business.
Here are some standard insurance policies owners of trucking companies usually get.
General Liability Insurance
This type of insurance policy is one of the most common business insurance for various businesses. And trucking companies will significantly benefit from it.
Typically, general liability insurance covers bodily injury and medical payments, property damage, legal defense and judgment, and personal and advertising injury. If, unfortunately, you get sued for the reasons mentioned, you can compensate for the damages using your insurance policy and keep your business and assets safe.
Commercial Auto Insurance
Trucks and driving are the main elements of a trucking business. So, an insurance policy covering commercial vehicles on public roadways is a must.
Commercial auto insurance covers legal costs, medical bills, and physical damage incurred from accidents involving business vehicles.
Worker’s Compensation Insurance
Protecting your employees should also be your priority as a business owner. Hence, it’s essential to have worker’s compensation insurance that protects you from lawsuits brought about by injury or damage suffered by workers. It also covers their medical expenses, as necessary.
Business Interruption Insurance
Natural disasters and other circumstances can temporarily or completely stop your business operations. In this situation, your business will lose profits, and you might eventually lose your assets. Fortunately, business interruption insurance can protect you from losing income and help you get your operations up and running again.
Lost or damaged cargo is a common problem in trucking businesses. Thus, you need cargo insurance that will cover the costs of replacing or repairing cargo during transportation. Undoubtedly, business insurance in Alberta protects you and your business in the best way. Plus, it adds value to your company. So, if you don’t have an insurance policy for your trucking business, it’s time you get one. Contact us today, and we’ll discuss your options and give you a free quote.