While over-the-road and regional vehicles traverse large areas and cross borders, local trucks remain within metropolitan areas. As a result of that tight-knit territory, local freight truckers must navigate smaller roads. They also face a wider array of potential accidents.

Hazards include congestion, one-way streets, pedestrians, cyclists and traffic mitigation measures like roundabouts and lights, as well as tight loading docks and loading/unloading processes that differ by customer and location.

Given these challenges, having the right local freight trucking insurance is imperative for your trucking company’s financial stability.

Some insurance is required

Most provinces require local freight trucking companies to carry some trucking insurance, usually commercial auto liability.

Commercial auto liability covers you if your drivers harm others or their property in the course of operating a company vehicle. Commercial auto liability does not cover damage to your company vehicles or injuries sustained by your employees. Those are covered by vehicle physical damage insurance and workers’ compensation, respectively. Workers’ comp is required in almost every province, depending on the size of your company and makeup of your drivers.

To protect your assets beyond what is minimally required, you may wish to carry several other important coverages.

Physical damage – As mentioned above, this coverage includes comprehensive collision protection for your company’s vehicles. “Collision” covers damage to your truck if it hits something or overturns. “Comprehensive” covers nearly all other types of damage, including fires, theft and vandalism, unless they are specifically excluded.

General liability insurance – This type of policy covers you if you or one of your drivers damages someone’s property or causes them bodily injury during work hours while not operating a company truck. It helps pay for claims costs such as legal fees, settlements or judgments, medical expenses, and professional help in restoring your reputation.

Motor truck cargo – This type of insurance covers the value of the goods you are hauling and provides restitution if that cargo is damaged, stolen or lost. It also covers the cost of debris removal and freight charges if an accident leads to substitute transportation for your freight. Your premium will be based on the type of cargo you haul. Policies typically exclude contraband, drugs, tobacco, alcohol, live animals, and any property or goods you own. Your insurance broker can also outline scenarios where coverage won’t apply, such as when goods are intentionally damaged, they degrade due to poor packaging or shipping conditions, or the nature of the product leads to an expected loss of quality or volume.

Special considerations

The insurance described above covers the basics, but local trucking varies by type, scope and vehicle usage. Some of the most common add-on policies are listed below, but your broker may recommend others depending on your operations.

Non-trucking liability (NTL) – If you are an owner-operator working independently or under a permanent contract with a motor carrier, you are covered under your own general liability policy or the motor carrier. However, your coverage only applies when using the truck for business. If you drive your truck for personal use, you’ll need NTL for these instances.

Bobtail insurance – Although less common in local freight hauling, bobtail insurance covers you when you are driving just the cab. Typically, only drivers under lease agreements need this coverage, as liability policies for owner-operators usually include bobtail protection. However, policies differ by insurance company, so confirm with your broker.

Trailer interchange insurance – If you don’t own the trailers you’re using and are transporting someone else’s trailer from one location to another, you’ll need this insurance. It covers the cost of any physical damage caused to another owner’s trailer while in your possession.

Commercial fleet insurance – If you own and operate more than one truck, fleet insurance is usually a more cost-effective option than purchasing insurance for each vehicle individually.

Umbrella insurance – The expense of some lawsuits can go well beyond your primary liability limits. Umbrella insurance provides a cost-effective safety net to cover catastrophic losses. While it won’t pay for damages to your property, it will protect you if you’re accused of or found at fault for someone else’s injury, death or property damage. Umbrella coverage picks up where your primary liability policy ends.

Refrigeration breakdown – If your truck or fleet includes heated or refrigerated units, this policy covers the liability costs associated with cargo loss due to equipment failure.

Permanently attached equipment – Some property damage policies exclude specific types of permanently attached equipment like electronics or custom accessories like murals, decals and running boards. If you’ve invested in such items, this add-on policy will reimburse you for their repair or replacement if they’re damaged by a covered peril.

Specialized hauling – Based on the types of vehicles you have and your hauling category, you may need specialized coverage. Examples include dedicated policies for logging trucks, tankers and refrigerated trucks and the hauling of hot or liquid asphalt, steel, sand and gravel.

Business owners’ insurance – If you are a trucker and a business owner with employees and a physical location, you’ll need additional insurance for full protection. Depending on your situation, this may include employment practices liability insurance and commercial property insurance. Employment practices liability covers your company for issues related to the mistreatment of employees, and commercial property insurance covers your buildings and their contents. Keep in mind that your homeowner’s insurance won’t cover your business property if you have a home office, so commercial property insurance is essential.

Trucking insurance can be complicated

What and where you haul, and whether you are an independent owner-operator or a business owner, makes trucking insurance complex. An insurance professional familiar with local trucking can review your operations, explain any exclusions and design a plan that’s right for you.

When it comes to car insurance, many of us believe that we are good drivers and may only need liability coverage. After all, accidents happen to other people, right? But what if the unthinkable happens? What if your car is stolen or, even worse, goes up in flames? Have you ever wondered how your coverage would protect you in such situations?

At Ing & McKee Insurance, we understand the importance of having appropriate insurance coverage. We want to ensure that our clients are prepared for any unforeseen circumstances. That’s why we encourage you to review your insurance policy and understand how it can affect you in different scenarios.

Vehicle theft is indeed a significant concern in Alberta, Canada. Here are some statistics related to vehicle theft in the region:

• Alberta had an 18.3% increase in vehicle thefts from 2021 to 2022, making it the province with Canada’s second-highest auto theft rate. 
• Approximately 57 vehicles are stolen every day in Alberta, and there are 95 thefts from vehicles each day. 
• Alberta has an index of 13.1 stolen cars per 10,000 inhabitants, which is more than twice the index of Quebec. 
• In 2022, almost 21,000 vehicles were stolen in Alberta, accounting for nearly 20% of all motor vehicle thefts in Canada.

We hope that you never find yourself in such unfortunate circumstances; it is so important to be prepared. Your insurance broker is here to help navigate the complexities of car insurance and explain the risks involved in different coverage options. However, the ultimate decision lies with you.

Reviewing your policy and assessing whether it will protect you against potential risks is essential. Consider the value of your vehicle, your driving habits, and the area where you live. By taking the time to evaluate your coverage, you can ensure that you won’t be caught off guard if the unexpected happens.

• Value of your vehicle: If you have a newer or more expensive car, it may be wise to invest in comprehensive coverage that will protect you in the event of theft, vandalism, or damage from natural disasters. On the other hand, if you have an older vehicle with a lower market value, you may choose to opt for more cost-effective options.

• Driving habits: Are you frequently on the road, commuting long distances, or engaging in high-risk activities? These factors can increase the likelihood of accidents or incidents and may require additional coverage. Understanding your driving habits will help you determine the level of protection you need.

• Where you live: Certain regions may have higher vehicle theft rates or greater exposure to natural disasters. By understanding the risks associated with your location, you can make informed decisions about coverage options that address these concerns.

Life is unpredictable, and accidents can happen to anyone. That’s why our team at Ing & McKee Insurance is dedicated to helping you find the right coverage for your needs. Don’t wait until it’s too late. Reach out to our knowledgeable brokers who can guide you through the insurance process and provide peace of mind.

Remember, life happens, but stay prepared with Ing & McKee Insurance. Contact us today to review your insurance policy and ensure you have the coverage you need when it matters most.

For more statistics, click on the link below.

Car Theft Statistics from 2021 

These statistics include: car theft claims across Alberta, how many vehicles were stolen across Canada/second, the Alberta 2021 top 10 stolen cars ranking, and the annual cost of car theft for insurance companies across Canada.

Every new year, you set resolutions to make yourself better, healthier, stronger, friendlier, lighter and so on. Unfortunately, these resolutions are not always realistic. We all want to do better, but we sometimes set goals we cannot achieve.

The key to a successful resolution is setting realistic goals for things you can control. Committing to not having a car accident may help you drive more defensively, but you can’t control other drivers. However, you can commit to actions that reduce your risk of causing an accident: not tailgating, not texting and reducing your speed in wet and snowy conditions. These are all practical actions you can hold yourself accountable for.

You also need to have an interest in the resolution you make. Stating you will eat more vegetables to improve your health when tomato sauce on spaghetti is the only vegetable you’ve eaten in years will probably not lead to long-term success.

Finally, take small actions that provide an immediate, measurable benefit. Small successes will encourage you and help you build better habits for the long term. Using the example above, you could replace regular spaghetti noodles with whole wheat pasta or use a tomato sauce with hidden veggies.

To get started, consider the following safety resolutions. These are easy to initiate and maintain. They directly benefit you, your loved ones and your coworkers. And they can easily be adapted to your circumstances.

• Commit to finding and removing hazards from your workspace or home. For example, remove objects from stairs, roll and store hoses away from walking areas and vehicle paths, and keep lids on chemicals when they’re not in use to reduce fire and breathing hazards.
• Use proper lifting techniques, regardless of the size, weight or location of the object you need to move. This means bending at the knees (not the waist), only lifting what you can safely handle, asking for help when you need it, and turning with your feet (not twisting at the waist).
• Use personal protective equipment (PPE) consistently. For example, use hearing protection around loud machinery or when mowing the lawn, wear safety goggles and a face shield when handling liquid chemicals, and wear work gloves when handling wood or masonry.
• Remind coworkers and family members to protect themselves from hazards. Speak up if you see someone in danger, and offer PPE if they are not using it.

Trying to do all of these at once may feel overwhelming. Start with just one or two commitments and add more as your actions become good habits. In no time, you will be making a difference in your life and the lives of those around you.