Understand Minimum Auto Shipping Insurance Requirements
Legally authorized auto transporters are required to have liability insurance. You should make sure your transporter also offers cargo insurance. This means that your auto transporter, if properly insured, should cover any damage caused during the automobile shipping process after you pay the insurance deductible. The terms and amount of coverage can vary depending on the company, so it is best to carefully inspect your transporter’s coverage.
Be sure to ask a potential automobile shipping company for a copy their insurance certificate. They are legally required to provide this to you, and you should feel free to verify the information on the certificate with the insurance company or with the Department of Transportation at www.safersys.org.
Is The Minimum Enough?
Make sure that you are completely comfortable with the amount of coverage you have. While the amount of insurance required by law will offer you some protection, you may find that the minimum coverage offered by vehicle transport companies falls short of the true value of your car. Take responsibility for finding out the exact terms of your transporter’s insurance policy. Some questions you may want to ask about insurance include:
What type of damage is covered?
Are only specific parts of the car, like the body, covered?
Is there a deductible?
What is the limit of their coverage? (Most companies only cover the Kelley Blue Book value of the car)
Will specialty items such as spoilers or ground effects be covered?
Is there an option to purchase additional coverage?
How much will the deductible be for damage claims?
Check with your own auto insurance agent to see how much your personal insurance will cover when shipping a car. Your coverage may or may not cover your vehicle in transit. Regardless, it’s always a good idea to notify your insurance company that you are transporting your vehicle.
Vehicles transported through uShip are eligible for additional coverage through uShip Cargo Insurance. When accepting a bid, you have the option to purchase additional coverage. This policy is all-risk covering approved goods against damage, lost or stolen claims subject to the terms and exclusions of the policy.
If You Need to Make a Claim
Inspect your car thoroughly at delivery. According to Dean Xeros, an industry expert and the VP of Sales, GM – Motors & Relocation at uShip, this time is critical because it is your only window of opportunity to asses for damage. If you cannot be present at the delivery, assign the task of assessing for damage to a trusted representative. In the unlikely event that your car was delivered with damages from shipping, make specific notes on the “Bill of Lading” at delivery and have the driver sign the form before accepting the car. Taking pictures is always a good idea when documenting damages. If the car is delivered at night, inspect the car under bright lights and bring along a flashlight.
In all likelihood, your car will be delivered in the same condition it was dropped off. If there are damages, contact your shipping and insurance companies immediately. You should have no problems if you have carefully inspected your transporter’s insurance policy. A respectable shipping company will want to resolve your complaint as quickly as possible. If you feel like you are being treated unfairly, you can file a complaint with the Better Business Bureau and any professional organizations the company belongs to. Remember, this is an unlikely scenario. If you take some time to research your auto shipping company and properly prepare your car for transport, you are almost guaranteed a painless shipping experience.
Choosing the right transporting company is very important due to insurance purposes and many more.
A Reliable transport company will make sure that the driver that is hired for your shipment has the proper insurance binding making sure that your vehicle is insured according to the dot regulations. The minimum liability insurance that any carrier should carry is a million dollars worth of public liability. Cargo insurance could be different depending on the type of trailer hauling your vehicle(s). If your vehicle is being hauled on a 1-3 car hauler, the minimum insurance for all three vehicles being carried is $150,000. If your vehicle is carried on a 4-8 open car carrier, the minimum cargo insurance is $250,000, for any car carrier that transports 8-10 vehicles at a time, the minimum insurance is $350,000. If your vehicle is worth over $50,000, we always recommend enclosed transport. Gooing via enclosed transport will ensure you a higher cargo insurance, typically starting at half a million dollars. It is very important for the client to ask questions about the drivers insurance prior booking the driver. It is also very important that if a mechanical damage occurs while in transit, the insurance company will most likely deny any claims. Insurance is there for any physical damages that occur due to the drivers negligence.
Yes! Your vehicle will be fully insured. Our drivers carry insurance of up to 1 million dollars.
Carriers are required by law to carry enough insurance for the entire load. Not just your vehicle, but every vehicle that's being transported. Most policies are between $250,000.00 to $1,000,000.00. Once your vehicle is dispatched, copies of the insurance are provided.
Always check the Terms and Condition with the Broker you've narrowed your search down to:
There are different variations of coverages offered, we recommand to have your contract read: "vehicles are fully insured from pickup to drop-off by the Carrier’s cargo insurance, with a ZERO DEDUCTIBLE for you as the vehicle owner. Reputable Brokers will ensure the Carrier has the full amount of appropriate coverage for your vehicle, as part of our service to you. The only limitation on insurance relates to “Acts of God” -- such as hail, tornado or earthquake, in which case coverage would revert to the owner’s vehicle insurance.
Your vehicle is covered under the carriers insurance while being transported.
Your car, but not its contents, are fully insured during the transportaion process. The one thing we do, which a lot of other brokers don't, is that we verify what other vehciles are on their trailer. In the rare case that a truck/trailer roll over and damage every vehicle on their trailer, they should have enough cargo insurance to cover every vehicle.
Definitely! A decent broker will make sure that your car is insured during transportation. The insurance is provided by the carrier`s company and if you need it just ask for the insurance before the pickup to be on the safe side!
How does it work?
If it is deductible.
A car insurance deductible is the amount of money you have to pay toward repairs before your insurance covers the rest.. For example, if you're in an accident that causes $3,000 worth of damage to your car and your deductible is $500, you will only have to pay $500 toward the repair.
If it is non-deductible.
A car insurance non-deductible means you selected coverage options that don't require you to pay any amount up front toward a covered claim. For example, say you opted for collision coverage with no deductible. If you have a covered claim for $1,500 in repairs, your insurer would reimburse you the full $1,500. On the other hand, if you had collision coverage with a $500 deductible, your insurer would reimburse you for $1,000 (covered repairs minus your deductible).
Vehicles are insured while they are on the truck.
When it's on the ground it's the owners responsibility
The carriers we use generally all have a quarter of a million dollar insurance policy for cargo