Truck insurance rates are calculated based on different factors. Understanding what these factors are should help you get the best possible rate from your truck insurance coverage. If you are a business owner who is in need of an auto insurance policy for delivery trucks or trailers, the following factors are worth checking:
The age of your driver employees. Who drives the truck is an important question. Based on driving statistics, teenagers and senior citizens are more prone to vehicular accidents than other drivers. Therefore, to reduce premium, you may want to consider hiring employees that are at least at the age of 25 to 50.
The driving history of your employees. People with a good driving record will surely be offered with lower truck insurance rates. If you are going to hire drivers, look for people with a longer employment history and a clean record.
How old your company is. If you have been operating a business for more than a year or a much longer time, an insurance provider will have more confidence in your management skills so you may be able to request for better truck insurance rates.
Your location. The location or route where your vehicles drive through is another factor. If you frequently drive in a State where there is a high rate of accidents reported, then expect insurance costs to be higher than normal.
Your cargo. Since cargo is part of the insurance coverage, a potential insurer will want to know what kinds of things are loaded in your truck. Understandably, the value of the load will also affect cost or charge of your insurance premium.
The condition of the truck. To enjoy a lower insurance, you need to be sure that each truck is in good condition. See to it that each vehicle is equipped with anti-car theft devices and safety features in case of accidents.
The amount deductible. This refers to amount of expenses that you are willing to shoulder as an insurance policy holder. Obviously, if you are going to increase the deductible, insurers will also lower your premium.
Your business credit history. Being a business owner, make sure that you can present an impressive business credit rating. Using a good business credit as an advantage by negotiating for a lower rate or premium is definitely possible. Since insurers only offer their best truck insurance rates to their best clients, having a solid business credit can boost your negotiating power.