Understanding the Differences Between Owner-Operator and Fleet Insurance

Having appropriate trucking insurance can help protect your company’s financial stability. Two common types of insurance in this industry are owner-operator insurance and fleet insurance.

Understanding the key differences between owner-operator and fleet insurance can help you determine which is right for your situation. The following are a few key points to know:

• Number of vehicles—Owner-operator insurance is for single-truck operations, while fleet insurance covers multiple vehicles.

• Policy management—Fleet insurance can help simplify management by covering all vehicles under one policy, whereas owner-operators manage individual policies.

• Cost—Fleet insurance can be more cost-effective for businesses with several vehicles and may offer bulk discounts and simplified administration.

• Underwriting—Fleet insurance underwriters consider many factors, including driver turnover and claims frequency when determining premiums. Owner-operator trucking insurance premiums depend on multiple factors, including the driver’s history of accidents, moving violations and claims.

Whether you manage a fleet of company-owned vehicles or are an owner-operator, certain coverage is mandated by state and federal insurance regulations. All trucks must have the minimum amount of state and federally required liability coverage. This policy may help cover third-party accident-related injuries and property damage. Your agent can help you understand how state and federal insurance requirements apply to your company’s situation.

Choosing the Right Insurance

Selecting the right insurance depends on your specific needs and business model. If you own and operate a single truck, owner-operator insurance can provide tailored coverage for your unique risks.

If you manage a fleet of vehicles, fleet insurance offers comprehensive coverage and administrative ease, making it a more practical choice. Your local agent can help you get trucking insurance tailored to meet the needs of your organization.

Learn More

Contact Bienvenido Insurance in San Antonio, Texas, for a personalized trucking insurance or fleet insurance quote.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.