What is tow truck insurance?

Towing vehicles places both trucks and operators in precarious situations, especially since towing is most needed when conditions are their worst. An insurance policy certainly won’t prevent something bad from happening on the side of the road. Should something happen, though, having tow truck insurance can provide Texas towing operators with important financial protection.

Tow truck insurance is tailor-made for towing operators. Policies usually help protect tow trucks, the vehicles they tow, and the people and businesses that own them.

What Texas businesses should purchase towing insurance?

Most tow truck operators in Texas should have towing insurance. State law generally requires that certain coverages are in place, and additional protections are highly recommended.

Since tow trucks are operated by a variety of businesses, multiple types of businesses end up purchasing towing policies. It’s common for auto service centers, independent mechanics, standard wreckers, heavy-duty wreckers and police departments to purchase these policies. Other businesses may purchase towing policies too.

What insurance policies are available for heavy-duty wreckers?

Insuring heavy-duty wreckers that tow tractor-trailers and similarly sized equipment presents unique risk considerations. Operators with these types of wreckers should work closely with a specialized agent to identify their coverage needs. An agent who’s familiar with towing insurance will be able to recommend and explain coverages, and help find a robust policy.

What coverages do towing insurance policies come with?

Towing insurance policies generally meet state minimum requirements, and also offer a range of other protections. Some coverages that operators need or should strongly consider are:

Can vehicle transporters insure themselves with tow truck policies?

Although vehicle transporters might need some of the coverages found within tow truck policies, these policies usually don’t provide all of the coverages that transporters require. A different commercial vehicle insurance policy is usually better suited for transporters. An insurance agent who assists with tow truck policies can likely also help transporters find policies that suit their needs.

How much are the premiums for tow truck policies?

The premiums charged for tow truck policies vary, as they’re based on many different considerations. Some details that insurance companies look at are:

• Year, make and model of insured wrecker(s)
• Number of wreckers being insured
• Areas where towing services are offered
• Operator experience and driving record
• Company’s past claims history

Comparing policy options with an independent insurance agent is an easy way to find out how much insuring a specific wrecker will cost. In most cases, coverage is readily available at affordable rates.