Tow Truck Insurance in Owings Mills, MD | Hankoff Insurance

Tow Truck Insurance


Keep your mind on the job, not on your insurance coverage. Your business has specific needs, and with those needs, specific insurance is required. For towing businesses, you need tow truck insurance to protect you, your business, and your drivers from the risks involved with owning and operating a tow truck company. To choose the right tow truck insurance, you have to consider civil liability for traffic and operating civil liability. Are damages such as theft, fire, and broken glass covered? The policy also should provide coverage for the transported vehicles. Additional tow truck insurance coverage can include roadside assistance, personal guarantee, and financial losses.


At Hankoff Insurance, we know the ins and outs of operating a tow truck business. We are here to ensure that your business is covered with comprehensive tow truck insurance. As an independent tow truck insurance agency, we can offer coverage from a wide range of tow truck insurance carriers. Our team ensures that you have adequate coverage without sacrificing your business budget. The cost of damages resulting from an accident or other event without coverage would be far more than the tow truck insurance cost.


Tow Truck Insurance Cost


Insurance carriers factor in several things to decide the tow truck insurance cost for your policy. Some factors include the age of the tow trucks, the mileage, history of company incidents, whether a dashcam is used, how drivers are trained, the age of drivers, etc. Other factors can include the area the business is operated in, the size of the fleet, and what kinds of tows the company is performing. Tow truck insurance costs can also be affected by the experience of your drivers. If any accidents occur or tickets are received while on the job, you might have to face an increase in tow truck insurance cost, as with any insurance involving motor vehicles.


Before you receive a quote for tow truck insurance, tow truck insurance companies generally take a look at your loss-run - a record of claims your business has faced. Outside of these and other factors that influence cost, several tow truck insurance requirements can also affect tow truck insurance costs. Tow truck insurance requirements vary widely based on factors unique to each business - such as the area you operate from, the size of your fleet, the drivers you have on hire, etc.


Tow Truck Insurance Coverage


Business owners rely on commercial insurance protection to cover operational risk and liability. Tow truck operators usually carry general liability insurance, but there are some other essential tow truck insurance coverages to protect you and your assets from losses. Tow truck insurance coverage can include:


  • Auto Liability – Covering damage caused by the truck or its operators to others on the road.
  • Physical Damages – Covering damage or loss of the tow truck operator’s vehicle.
  • Uninsured Motorist – Covering damages or losses caused by motorists who do not have sufficient insurance coverage or who don’t have insurance at all.
  • Medical Payments – Covering medical expenses for operators or passengers injured during an accident.
  • On Hook - Covering damage to customers vehicles while they are being transported.


As a tow truck business owner, you might have employees who require additional tow truck insurance coverage. Many states require workers’ compensation when you have any employees. However, even if state law does not require it, workers’ compensation is essential coverage to obtain. Any employee injury can result in hefty out-of-pocket medical and rehabilitation costs if insurance coverage is not present.


If your business stores the vehicles you tow, you might need two other kinds of specialized tow truck insurance. These are garage-keepers insurance and on-hook insurance. Garage-keepers insurance is essential if you store vehicles on business premises. If something were to happen to the vehicles while they are on the premises, you would be held liable. On-hook or in-tow insurance protects vehicles while they are being transported. Tow truck companies can also benefit from a tow truck insurance policy with excess liability coverage or umbrella coverage. Towing is an essential service and is also fraught with risk. Make sure your company, your equipment, and your drivers are covered with tow truck insurance.