Coverage

Owner-operator truck insurance

The short answer

There are two completely different owner-operator packages, and which one you need is decided by a single question: are you running under your own authority, or leased on to a motor carrier?

Getting that wrong is the most consequential mis-sale in this market, and it usually surfaces after an accident rather than before.

Slide reading "Build it right the first time — dispatch, fleet management, truck insurance."
The layers of a commercial trucking policy Five stacked layers. Auto liability protects other people and is required federally. Motor truck cargo protects the freight and is required by broker contracts. Physical damage protects your truck and is required by your lender. Trailer interchange protects a trailer you do not own and is required by the interchange agreement. Occupational accident protects you, and nobody requires it — which is why it is the one most often skipped. AUTO LIABILITY Protects other people Federal MOTOR TRUCK CARGO Protects the freight Broker contract PHYSICAL DAMAGE Protects your truck Your lender TRAILER INTERCHANGE Protects their trailer Their agreement OCCUPATIONAL ACCIDENT Protects you Nobody
Three policies, one operator
Cover slide reading "3 Game Changing Insurance Policies".
Slide one, "Commercial Trucking Insurance — protection for your rig and liability". Why it matters: covers accidents, liability, cargo and downtime. Common mistakes: choosing the cheapest option, not having enough coverage, and not understanding exclusions.
Slide two, "Inland Marine Insurance — protecting cargo and equipment". What it covers: cargo theft, equipment damage, tools, and anything mobile. Who needs it: box truck owners, mobile service providers, specialized freight carriers, and owner-operators with high-value loads.
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Two packages, one question

Owner-operator coverage under own authority compared with leased on
Coverage Own authority Leased on
Primary auto liability You carry it, and it is filed with FMCSA The motor carrier provides it
Non-trucking liability Not applicable Yes — covers you off dispatch
Motor truck cargo Yours — brokers require it Usually the carrier's
Physical damage Yours Yours
Occupational accident Yours Yours, sometimes offered through the carrier
Trailer interchange If you pull trailers you do not own Usually the carrier's trailer, so rarely

If someone is selling a leased-on driver a full primary liability policy, they are selling them something they cannot use. If someone is selling an authority holder non-trucking liability as their main coverage, that is worse.

Under your own authority

What is required, and what only feels required

For-hire carriers hauling non-hazardous property in vehicles with a GVWR of 10,001 lb or more must carry at least $750,000 in public liability coverage.

Commonly got wrong: Part 387 was last amended 91 FR 45660, 21 Jul 2026 — the $750,000 figure survived that amendment.

There is no federal cargo-insurance minimum and no federal cargo filing requirement for general freight. The federal cargo rules reach household goods carriers only.

Commonly got wrong: THE most misreported figure in the industry. §387.301T(b) is headed "Household goods motor carriers-cargo insurance" and its prohibition reaches only household goods carriers. §387.303T(c) is headed "Household goods motor carriers: Cargo liability". There is no $100,000 anywhere in Part 387 — that number is a broker and shipper CONTRACT norm, not a regulation. Important caveat to publish alongside it: carrier liability for loss or damage to general freight is a separate body of law (the Carmack Amendment, 49 U.S.C. 14706) and is unaffected. No insurance mandate does not mean no liability.

No motor carrier may operate a vehicle until it has obtained and has in effect the minimum levels of financial responsibility.

Commonly got wrong: Violating §387.7(a) is an automatic failure of the new-entrant safety audit on a single occurrence — 49 CFR 385.321(b), table item 9.

The gap between the federal floor and what brokers actually demand is where new authorities lose money. Federal minimum activates the authority. Brokers commonly want $1,000,000 liability and around $100,000 cargo before they will tender you freight.

Insurance for a new authority, in full →

Build it right the first time
Slide reading "Most carriers don't fail from lack of loads. They fail from: poor cash flow, high operating costs, bad insurance setups, no real systems."
Three of those four are things a dispatcher and a broker touch every week.
Slide reading "The moment you buy your truck and start your company, you become a business man or woman. Treat your company like a business."
Dark slide reading "This is where structure comes in — the right dispatch strategy, the right fleet systems, the right insurance coverage. Not guesswork."
Her working method
Slide numbered 1, "More Choices": an agent usually represents one company; a broker shops multiple insurance carriers to find the coverage that fits you.
Slide numbered 2, "Better Coverage": the cheapest policy is not always the least expensive — missing one endorsement could cost thousands at claim time.
Slide numbered 3, "A Second Opinion": before you renew, have someone review your policy — you may be overpaying, underinsured, or both.
The layers of a commercial trucking policy Five stacked layers. Auto liability protects other people and is required federally. Motor truck cargo protects the freight and is required by broker contracts. Physical damage protects your truck and is required by your lender. Trailer interchange protects a trailer you do not own and is required by the interchange agreement. Occupational accident protects you, and nobody requires it — which is why it is the one most often skipped. AUTO LIABILITY Protects other people Federal MOTOR TRUCK CARGO Protects the freight Broker contract PHYSICAL DAMAGE Protects your truck Your lender TRAILER INTERCHANGE Protects their trailer Their agreement OCCUPATIONAL ACCIDENT Protects you Nobody

The coverage most owner-operators skip

Liability, cargo and physical damage get bought because someone requires them. These get skipped because nobody does — and they are the ones that protect you rather than everyone else.

  • Occupational accident or workers compensation. If you are hurt and cannot drive, no other line in the policy replaces your income. For a one-truck operation this is the coverage that decides whether an injury is a setback or the end.
  • Inland marine. Tools, tarps, chains, straps, load bars, tablets. Cheap, routinely forgotten, and the claim happens at a truck stop.
  • Trailer interchange. Not optional the moment you take power-only, intermodal or a broker drop trailer.
  • Cyber liability. Newer to trucking, and relevant the moment you move money through a factoring portal.

I don’t believe in telling business owners, “You need this policy,” without explaining WHY. I want you to understand the risk first. Then, we can talk about the solution.

— Shay Denise, Aug 12, 2026

Have it built around how you actually run

Tell me your authority status, what you haul, whose trailer you pull and your radius. Sometimes the outcome of a review is a smaller bill, not a bigger one.

Insurance is offered through Shay Denise, a licensed property and casualty producer. Coverage is subject to the terms, conditions and exclusions of the policy actually issued. Nothing on this page is a binder, a quote, or an offer of coverage.

Why the broker route
Cover slide reading "3 reasons an insurance broker can save you more than just money", with the note "save this before your next renewal".
Slide headed "Take note!": "When getting a quote for insurance, it's more advantageous to contact an insurance broker than to contact a major carrier directly." Attributed to Shay Denise.
"Did you know?" slide: leverage is key when obtaining insurance in commercial trucking. Discuss things like your experience with equipment and driving record with the agent — you will likely have more options available to you, and something as simple as safety measures could deem your company statistically less risky.
Three insurance quotes fanned out, with the exclusions being read Three policy quote documents fanned across a desk. The front document is open and a magnifier sits over its exclusions section rather than over the premium. Two further quotes sit behind it, indicating that an independent broker shops several carriers rather than quoting one. PREMIUM LIMITS EXCLUSIONS SIGNATURE READ THIS FIRST NOT THE PREMIUM
Shopping several carriers, then reading the one you sign FIG-04
FAQ

Owner-operator insurance questions

What insurance does an owner-operator need?

It depends entirely on whether you run under your own authority or are leased on. Under your own authority: primary auto liability (filed with FMCSA), cargo, and usually physical damage. Leased on: non-trucking liability and physical damage, because the motor carrier provides primary liability while you are under dispatch. Those are two different packages at two very different prices.

Can I use the same policy if I switch from leased-on to my own authority?

No. The day your authority activates, the whole structure changes — non-trucking liability comes off, primary liability goes on, cargo becomes yours, and the premium rises by a large multiple. Plan and price that before you file, not after.

Do I need occupational accident or workers compensation?

One or the other, and which depends on your state and your status. Workers comp is required for employees in most states. Occupational accident is the product typically available to an independent owner-operator who is not covered by comp. Neither is optional in the sense that matters — if you are hurt and cannot drive, nothing else in the policy replaces your income.

What if I pull someone else's trailer?

You need trailer interchange or non-owned trailer coverage. Physical damage covers equipment you own; a trailer belonging to a carrier, a broker or an intermodal pool is a separate exposure and is usually mandatory under the interchange agreement.

Is there a standard package?

There is a common shape, and anyone selling you a fixed package without asking how you operate has skipped the work. What you haul, whose trailer you pull, your radius and whether you employ anyone all change the answer.

How do I know if I am over-insured?

That happens more than people expect — usually a coverage bought for a type of work you no longer do, or a limit set for a contract that ended. It is one of the things a policy review is actually for, and it is the part where you may leave with a smaller bill rather than a bigger one.

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