What Insurance Does a New Trucking Company Need?

By Jamie Montalvo, Independent Insurance Broker & Risk Advisor · NPN #20985449
Updated September 29, 2026

Short answer: Most new for-hire trucking companies need primary auto liability (with the federal filing that proves it), and usually also physical damage coverage. Depending on how you operate, you may also need general liability, trailer interchange, and coverage for yourself or any drivers you hire. Exact requirements depend on what you haul, where you operate, and what your shippers, brokers and lenders require.

The core coverages

• Primary auto liability. Covers injuries and damage your truck causes to others. For-hire interstate carriers must carry federally required minimum limits, which are higher for certain hazardous materials. Your insurance company files proof of this coverage with the FMCSA so your operating authority can become active. Many brokers and shippers require more than the federal minimum.
• Physical damage. Covers your own truck and trailer for collision, theft, fire and other covered losses. If your equipment is financed, your lender will require it.

Coverages that often come up

• Non-trucking liability ("bobtail") is for owner-operators leased to a motor carrier. It covers you when you're driving the truck for non-business purposes, while the carrier's policy covers you under dispatch.
• General liability covers claims that aren't about driving, like an injury at a customer's dock.
• Trailer interchange covers a trailer you don't own while it's in your care under an interchange agreement.
• Occupational accident or workers' compensation protects you or your drivers if hurt on the job. Requirements depend on your state and how your drivers are classified.

Why new ventures are harder, and what helps

Insurance companies price trucking risk heavily on experience and loss history. A brand-new authority has neither, so fewer carriers will write it, and premiums are typically higher in the first years. Things that tend to help:

• prior commercial driving experience you can document
• a clean driving record (MVR) for every driver
• clear answers about what you haul, where, and how far
• starting with an independent broker who can take your submission to multiple markets that write new ventures

The bottom line

Before you file for authority or sign with a broker, get the insurance picture clear: which coverages you need, which filings, and at what limits. I work with new ventures and established carriers alike, and I'm glad to help you understand what's required and what your options look like. See Trucking & Transportation.

This article is general information, not advice about your specific policy. Coverage depends on the policy issued and varies by state, carrier and underwriting.

Ask Jamie about your situation