Tow truck insurance is a type of insurance that covers the risks associated with operating a tow truck or other vehicle used for towing and transporting cars. This type of insurance can help protect tow truck operators and their businesses from financial losses due to accidents, injuries, and other unforeseen events.
Tow truck companies typically need to have the following insurance coverages:
- Commercial Auto Insurance: This type of insurance provides coverage for damages to the tow truck or any other vehicles involved in an accident, as well as bodily injury and property damage liability for other drivers and passengers.
- Garage Liability Insurance: This insurance covers the tow truck company for any liability claims that arise from the operation of their business, such as injuries or damages that occur on their premises or as a result of their services.
- On-Hook Insurance: This coverage protects the tow truck company for damages that may occur to the vehicle being towed while it is in their care, custody, and control.
- General Liability Insurance: This insurance covers the tow truck company for claims of bodily injury, property damage, or personal injury that may arise from their operations, such as slip and fall accidents or damage to a customer’s property.
- Garagekeepers coverage is an insurance policy that provides protection for damage or loss to vehicles that are in the custody or care of a business, such as an auto repair shop, towing company, or parking garage.
- Workers’ Compensation Insurance: This insurance is required by law in California and provides coverage for medical expenses, lost wages, and other benefits to employees who are injured on the job.
It’s essential for tow truck operators to carefully consider their insurance needs and choose a policy that provides sufficient coverage for their business. Some states have specific insurance requirements for tow truck operators, so it’s essential to check with your state’s Department of Motor Vehicles to ensure that you have the necessary coverage.