Required Hot Shot Trucking Business Insurance Coverage Explained
- 1 day ago
- 2 min read
Hot shot trucking is a specialized freight service that demands speed, flexibility, and strict regulatory compliance. Understanding required hot shot trucking business insurance coverage is essential to legally operate and protect your assets, cargo, and financial stability.
Whether you’re an owner-operator or managing a small fleet, carrying the correct insurance coverage ensures compliance and shields your freight operation from major financial losses.
Primary Auto Liability Insurance
Primary liability insurance is the foundation of hot shot trucking coverage. If you operate across state lines, the Federal Motor Carrier Safety Administration (FMCSA) requires minimum liability limits of $750,000 to $1,000,000, depending on the type of freight hauled.
This coverage protects against bodily injury and property damage caused by your truck during an accident. Without it, you cannot legally operate under federal authority.
Motor Truck Cargo Insurance
Cargo insurance protects the freight you haul. While federal law may not mandate a specific cargo amount for all freight types, brokers and shippers typically require at least $100,000 in cargo coverage.
This policy covers loss or damage to transported goods due to:
Accidents
Theft
Fire
Collision
If you transport specialized or high-value freight, higher limits may be necessary.
Physical Damage Coverage
Hot shot trucks and trailers represent a significant investment. Physical damage coverage protects your equipment against:
Collision
Comprehensive losses (theft, vandalism, fire)
Weather-related damage
Lenders typically require this coverage if your truck is financed. Even if it’s paid off, this protection prevents out-of-pocket repair costs that could disrupt your operation.
General Liability Insurance
General liability coverage protects your business from non-driving-related claims. For example, if a client is injured while inspecting a load or property is damaged during loading or unloading, this policy provides coverage.
Many freight contracts require proof of general liability insurance before you can secure loads.
If you lease onto a motor carrier but use your truck for personal purposes when not under dispatch, non-trucking liability insurance fills coverage gaps and protects you outside of business use.
Why Proper Coverage Matters
Operating without required insurance can lead to fines, revoked authority, and costly lawsuits. Proper hot shot trucking insurance ensures:
Legal compliance
Financial protection
Contract eligibility
Business continuity
For tailored protection that meets FMCSA requirements and protects your freight operation, request a customized quote from Wexford Insurance. Our specialists understand trucking regulations and can structure policies to match your routes, cargo, and equipment.
