Owning a dump truck business is an excellent way to earn a decent living. But before you can get started, there are some things you need to consider about commercial dump truck insurance companies. Which one provides the coverage you need at a price you can afford?
Here are a few comparisons to help you make an informed decision when choosing commercial trucking insurance:
Quicklook: 5 Best Commercial Dump Truck Insurance Companies
- Best for the Largest Selection of Policies: Progressive Commercial
- Best for Customer Satisfaction: State Farm
- Best for New Drivers and Companies: Nationwide
- Best for High-Risk Drivers: The Hartford
- Best for New Owner-Operators: Marquee
What Is Dump Truck Insurance?
Dump truck insurance is a specialty coverage. It is designed for companies that operate dump trucks to haul sand, gravel, rock, dirt, asphalt, and other loose materials. It falls under the broader category known as commercial automobile insurance.
How Does Dump Truck Insurance Work?
Motor carriers, private carriers, and owner-operators are required to have commercial vehicle insurance before operating their vehicles. This coverage protects individuals from financial losses due to accidents.
When choosing commercial vehicle insurance, the purchaser must decide the amount of coverage needed, the monthly premium, deductible, and policy limits.
The insurance company will pay for repairs, damages, and medical or legal expenses associated with a covered incident. When a claim is made, the insured must pay the deductible before the company will pay the remaining expenses.
Commercial dump truck insurance is beneficial because it covers drivers, passengers, vehicles, and cargo through primary and general liability, medical payments, collision, and more.
Best Commercial Dump Truck Insurance Companies
Although commercial dump truck insurance is mandatory, trucking companies do have some options. A variety of providers offer different rates and coverages, allowing truckers to make the best choice for their needs. Here are some of the top choices on the market.
Progressive Commercial
Founded in 1937, Progressive is regarded as one of the best commercial trucking insurance companies today. In 2020, they wrote the highest number of insurance policies in the U.S.
Best for: Largest Selection of Policies
Online Quotes: Yes
Coverage Options:
- Primary liability
- Non-trucking liability
- On-hook towing
- Trailer interchange
- Rental reimbursement
Regardless of a company’s size or specialty, Progressive is a good choice among dump truck insurance companies.
Special Features:
- Various discounts for businesses that are 3+ years old
- Smart-Haul program for drivers who use ELDs
- CDL discount program
- Snapshot program that provides discounts
Benefits:
- Easy online or over-the-phone quotes
- A+ rating from A.M. Best for financial strength
- AA rating from Moody’s and S&P for meeting financial requirements
- A+ rating with the BBB
Disadvantages:
- Slightly low customer satisfaction scores
- Only 57% of costumes were satisfied with claim resolution
- Customers complained about the agent’s lack of professionalism
- Roadside assistance is not always reliable
Due to its financial strength ratings and strong reputation, Progressive is a reliable commercial trucking insurance provider.
State Farm
As a Fortune 500 company, State Farm is the largest U.S. provider of home and auto insurance. They provide comprehensive insurance coverage with discount options when possible.
Best for: Customer Satisfaction
Online Quotes: No
Coverage Options: State Farm offers standard commercial truck insurance options such as:
- Bodily injury
- Property damage liability
- Personal injury
- Comprehensive
- Collison
- Uninsured/underinsured motorist coverage
State Farm also offers discounts for vehicles that have safety or anti-theft features. The policy can be bundled with other business coverage for additional savings.
Special Features:
- High customer satisfaction ratings
- Rated as an A+ business with the BBB
- AA financial rating from Standard & Poor’s
- Carries an A++ rating for financial strength from A.M. Best
Benefits:
- Offers coverage for drivers and the freight being hauled
- Discount options for lower premiums
- Best reputation of any commercial trucking insurance company
- Wide range of policy options for all trucker’s needs
Disadvantages:
- Does not offer online quotes
- Potential customers must speak with a rep to get a quote
- Offers only basic coverage
- Not accredited by the BBB despite a high rating
Overall, State Farm provides a comprehensive, affordable policy backed by solid customer service.
Nationwide
Founded in 1926, Nationwide is one of the oldest insurance companies in the U.S. They have local branches all across the nation, making it easy for customers to get in touch with their reps.
Best for: New Drivers and Companies
Online Quotes: Yes
- Box trucks
- Pickups
- Utility trucks
- Farm trucks
Coverage Options:
- Liability
- Medical payments
- Motor truck cargo
- Uninsured/underinsured motorist coverage
- Collision/comprehensive
Special Features:
- BBB accredited since 1955
- Above-average customer satisfaction rating
- A+ rating from the BBB for fair business practices
- Carries an A+ rating from A.M. Best and S&P
Benefits:
- A+ ratings for financial strength
- Excellent credit ratings
- Strong history of paying claims promptly
- Discounts for paying the annual premium in full
Disadvantages:
- Does not provide coverage for semi-trucks or tractor-trailers
- Low customer satisfaction rating with J.D. Powers
- Slow response to customer inquiries
- Delays in paying claims
Nationwide is a good choice when it comes to lower costs and solid discounts on dump truck insurance.
The Hartford
The Hartford is one of America’s oldest insurance companies. Founded in 1810, it began doing business as a fire insurance provider. Today, it is a Fortune 500 company providing insurance for more than one million businesses.
Best for: High-Risk Drivers
Online Quotes: No
Coverage Options:
- Liability
- Property damage
- Uninsured/underinsured motorist coverage
- On-hook towing
- Trailer interchange
- Cargo
- Livestock transit
- Property in transit
The Hartford will customize a policy to meet the specific needs of a commercial trucking business.
Special Features:
- 200+ years of outstanding reputation
- A+ rating from the BBB
- Top performer in customer satisfaction
- J.D. Power rating of 868 out of 1,000 for customer service
Benefits:
- A Fleet Ahead program to help fleet managers improve safety
- Excels in meeting financial obligations on claims
- Customized policies to meet the needs of any company
- Emphasizes efficiency and safety
Disadvantages:
- Ranks as average in overall client satisfaction
- More than average complaints about home and auto insurance
- Slow response to customer calls or emails
- High rates for younger drivers
The Hartford offers a variety of plan options to make sure customers get the best coverage for their needs.
Marquee
Marquee Insurance Group is a good choice among the many commercial dump truck insurance companies because they specialize in trucking insurance.
Best for: New Owner-Operators or Fleet Managers
Online Quotes: No
Coverage Options:
- Primary liability
- Physical damage
- General liability
- Motor truck cargo
- Non-trucking liability
- Occupational accident
- Worker’s compensation
Special Features:
- Partnerships that help bring additional perks to carriers
- Best customer reviews
- Customized policies for owner-operators or fleet managers
- Best Google reviews for insurance companies
Benefits:
- 24/7 online access to your Certificate of Insurance
- Waives the waiting period
- More underwriters for better rates
- Responsive customer service
Disadvantages:
- Doesn’t provide coverage in all states
- Slow response to customer calls
- Not BBB accredited
- Must speak with an agent to get a quote
Marquee Insurance Group is a relatively new company founded in 2014. Their objective is to provide exceptional customer service and transparency.
Which Factors Affect the Price of Dump Truck Coverage?
Dump truck insurance rates vary for many reasons. Some of the things that affect the cost of coverage may include:
- The state in which the vehicle is registered
- Driving record and accident history
- Value of the vehicle
- Type and value of the load being transported
- Route and distance traveled
- Bundled or single policies
- Where the vehicle is kept when off duty
Comparing quotes is a good way to get the best commercial truck insurance without unnecessary costs.
What to Consider with Dump Truck Insurance
Knowing the types of coverage available is the first step in choosing the best provider and policy. Here are some things to consider when choosing dump truck insurance:
Coverage Options
Insurance requirements vary by state, and each company differs in the type of coverage they provide. A state may not require specific coverage, but truckers should have it for their own protection.
Types of Trucks and Hauls Covered
Expensive trucks with advanced features warrant higher premiums for coverage. Each vehicle carries a different risk profile that can affect the costs of repair and cause higher premiums.
Also, the type of freight hauled influences the insurance premium. HIgh-value loads hauled over long distances are more expensive to cover.
Deductibles
The deductible has a direct effect on the insurance premium. A higher deductible is the best way to save money on monthly premiums. But this is risky because it means paying more money out of pocket before the insurance pays out.
Monthly Premium
Getting the lowest rate is not always beneficial if it means missing out on important coverage. A low monthly premium and adequate coverage is possible but will require doing some research to compare quotes and coverages.
Policy Limit
Policy limits reflect the actual maximum cash amount the insurance company will pay out for a claim. Policies with lower limits have lower monthly payments. It’s not always necessary to choose the highest policy limits offered by a provider. Business owners should stick with the lowest limits that provide the coverage they need without extra costs.
Load Destination
Truckers with a large operating radius may pay more for insurance due to longer travel times between stops. A driver who unloads locally, including at landfills or transfer stations, will pay less for insurance.
Provider’s Financial Standing
A company’s financial standing affects its ability to pay claims now or in the future. Insurance companies with high financial ratings may require higher premiums. But they are more capable of meeting their obligations. Information is available about a company’s financial standing at A.M. Best, Standard & Poor’s, or Moody’s.
Protect Your Business With Insurance for Dump Trucks
Finding the right commercial dump truck insurance is crucial to protecting your business, vehicles, and employees.
The companies highlighted above stand out for their comprehensive coverage options, competitive pricing, and industry expertise. Take the time to compare your options, assess your unique needs, and choose a provider that offers the peace of mind and protection you deserve. With the right insurance partner, you can focus on driving your business forward with confidence.
FAQ
Commercial insurance is mandatory in most states for all commercial vehicles, including dump trucks. Due to the level of damage that can be caused by these heavy vehicles, insurance is essential.
In most cases, basic dump truck insurance is enough. However, other coverage is available that will customize the policy for each company’s specific needs.
The cost of insuring a dump truck varies based on several factors, including the truck’s size, the materials hauled, the driver’s experience, and the business’s operational radius. On average, owner-operators can expect to pay between $2,500 and $8,000 per year for a single dump truck.