Planning a Casual Corporate Event

Posted on: 9 May 2016

If you are a commercial truck driver who is also an owner-operator, you know how important it is to your bottom line to keep trucking insurance costs low. You are considered a high-risk driver simply by your profession, and larger vehicles like trucks are more expensive to insure than smaller ones regardless of your line of work. You may feel saddled down by high insurance rates, but it does not have to be that way. You can lower your trucking insurance costs and keep more money in your pocket because of it. Here are three simple ways you can lower your trucker insurance rates.

1. Improve Your Credit Score

Just like with regular car insurance, your credit score plays a role in the rate you pay for your trucking insurance. This is because insurance agencies view people with better scores as more likely to pay their premiums on time. Those with lower scores get charged higher rates for the insurance company taking on a higher perceived monetary risk. If your trucking insurance rates are high, look into ways you can improve your credit score. Once it's raised by 20 to 30 points or more, call your insurance company and ask if they will lower your rate.

2. Keep Your Truck in a Safe Location When You're Not Using It

According to TheTruckersReport.com, commercial trucks are three times more likely to be stolen than regular cars. This is for three reasons. One, commercial trucks are more valuable than regular cars, and they can be sold for a high price. Two, trucks have more metal and parts that can be sold to scrapyards. Three, the trucks sometimes contain cargo that is valuable and that can be sold online or on the black market. Whether or not the truck contains cargo, there is more money in stealing a commercial truck than there is in stealing a regular private vehicle.

This is why the location where your truck is kept when not in use is so important to insurance companies. If you store it in an area known for crime, if you don't keep it in a secured place, or if you are away from it for long periods of time, your insurance premiums may be high.

The insurance company has to protect itself in case it has to pay out a large amount of money to replace your stolen truck. You may also get some discounts if you put alarms on your truck. The more secure the truck is, the lower your rates will be.

3. Get More Experience as a Commercial Truck Driver First

New truck drivers are more likely to have accidents than experienced drivers. If you are just starting out in the industry, your premiums will be higher than those who have been driving for a while.

There is no quick fix to getting experience. You just have to get out there and drive. Most insurance companies are willing to lower your rate after you have been driving for around two years. Once you have reached this milestone, call your company and ask if they will lower your rate.

The more experienced you become, the lower your rate will be. Drivers who have been driving for decades are considered the safest risks, and get the best rates. Be sure to keep asking for rate reductions for each year you drive after the first two.

Conclusion

Driving a commercial truck as an owner-operator is a rewarding career. You own your own business and make your own schedule. But it also comes with its own unique set of expenses, and trucking insurance is one of them. While it is more expensive than the insurance you use on your private vehicle, there are things you can do to lower the cost. Try the aforementioned things and then call your trucking insurance agent to see what else you may be able to do to reduce the cost of your monthly premiums.