How to Get Municipal Waste Contracts for Your Garbage Truck Business
- Nate Jones, CPCU, ARM, CLCS, AU
- Sep 23
- 2 min read
Securing municipal waste contracts is one of the most reliable ways for garbage truck companies to build long-term revenue and credibility. These contracts, often awarded by local governments, provide consistent work and can be a cornerstone of your business growth. But winning them requires strategic planning, compliance, and the right insurance coverage.
1. Understand the Municipal Bidding Process
Municipalities typically award waste hauling contracts through a formal bidding process. This involves responding to Requests for Proposals (RFPs) that outline service expectations, insurance requirements, and performance standards1.
To qualify, your garbage truck business must meet specific criteria, including:
Adequate fleet capacity
Environmental compliance
Financial stability
Proven operational efficiency
Monitoring local government procurement portals and subscribing to bid alerts can help you stay ahead of opportunities.
2. Build a Strong Operational Foundation
Before bidding, ensure your business is legally and operationally ready:
Register your company and obtain necessary permits
Purchase or lease reliable garbage trucks
Hire trained drivers with clean records
Set up routing and dispatch systems for efficient service
A well-organized operation increases your chances of winning and successfully fulfilling contracts.
3. Offer Competitive and Transparent Pricing
Pricing is a key factor in municipal contract awards. Consider:
Frequency of service
Type and volume of waste
Fuel and labor costs
Local disposal fees and regulations
Offering flexible service plans and transparent pricing can help you stand out from competitors.
4. Meet Insurance Requirements
Municipal contracts often require specific insurance coverages to protect public interests. Essential policies include:
Commercial Auto Liability – Covers bodily injury and property damage caused by your trucks
Physical Damage Coverage – Protects your vehicles from accidents, theft, and vandalism
Environmental Liability – Covers cleanup costs from spills or hazardous waste
General Liability Insurance – Covers non-driving incidents like property damage during waste collection
Workers’ Compensation – Required in most states for employee injury protection
Wexford Insurance specializes in providing tailored insurance solutions for garbage truck companies. Whether you're a new venture or an established hauler, we help you meet municipal requirements and protect your operations.
5. Align with Municipal Goals
Municipalities increasingly prioritize sustainability and community impact. To improve your chances:
Highlight recycling and waste diversion efforts
Offer route optimization to reduce emissions
Provide workforce training and safety programs
Include community engagement initiatives
Refer to EPA’s Contracting Best Practices for guidance on aligning with municipal goals2.
Final Thoughts
Winning municipal waste contracts is a strategic process that requires preparation, compliance, and competitive service offerings. With the right business setup and insurance coverage from Wexford Insurance, your garbage truck company can thrive in a growing industry.
Contact Wexford Insurance to explore coverage options tailored to municipal and private haulers.
