Pricing Emergency vs. Scheduled Towing Services
- Nate Jones, CPCU, ARM, CLCS, AU
- Sep 24
- 2 min read
Pricing towing services correctly is essential for profitability and customer satisfaction. Tow truck companies often offer both emergency and scheduled towing, each with different cost structures and expectations. Understanding how to price these services fairly and strategically can help you stay competitive while covering your operational costs.
Emergency Towing: Higher Risk, Higher Reward
Emergency towing typically involves:
After-hours service
Immediate dispatch
Unpredictable locations and conditions
Because of the urgency and complexity, emergency towing commands higher rates. Pricing factors include:
Base Fee: Often $75–$125 for the first few miles
Per-Mile Charge: $2–$5 per mile thereafter
After-Hours Surcharge: 20%–50% more than regular rates
Vehicle Type: Larger vehicles like trucks or SUVs may cost more due to specialized equipment needs.
For example, towing a sedan 10 miles in a city might cost $80, while towing a pickup truck 30 miles in a rural area at night could reach $250.
Scheduled Towing: Predictable and Cost-Efficient
Scheduled towing is typically booked in advance for:
Vehicle relocations
Repairs
Transport between dealerships
This service is less urgent and allows for route planning and resource allocation. Pricing is generally lower:
Base Fee: $50–$100
Per-Mile Charge: $1.50–$3
No Surcharge: Services during business hours avoid after-hours fees.
Scheduled towing also allows for bundling services or offering discounts for repeat customers.
Pricing Strategy Tips for Tow Truck Companies
To price your services effectively:
Know Your Costs: Calculate your cost per call by dividing total annual expenses by the number of tows.
Segment Your Services: Clearly differentiate emergency vs. scheduled towing in your pricing menu.
Offer Transparent Quotes: Provide itemized estimates to build trust and avoid disputes.
Use Dynamic Pricing: Adjust rates based on demand, time of day, and location.
Monitor Competitors: Stay aware of local pricing trends to remain competitive1.
Don’t Forget Insurance Protection
Tow truck businesses face unique risks. Wexford Insurance offers comprehensive coverage tailored to your needs, including:
On-Hook Towing Insurance (covers vehicles being towed)
Auto Liability Insurance (required in all states)
Garagekeepers Legal Liability Insurance (for stored vehicles)
Physical Damage and Medical Payments Coverage
Whether you're handling emergency roadside calls or scheduled dealership transfers, Wexford Insurance helps you stay compliant and protected.
Conclusion
Balancing pricing between emergency and scheduled towing services is key to running a profitable tow truck business. By understanding cost drivers, offering transparent quotes, and securing the right insurance through Wexford Insurance, you can build a sustainable and trusted operation. Connect today!
