Hot shot truckingHot shot trucking can be profitable and rewarding as this type of truck driving position typically pays more than standard truck driving jobs; however, there are insurance requirements for hot shot trucking companies that must be met before considering this line of work.

What is a Hot Shot Driver?

A hot shot driver typically specializes in express deliveries hauling LTL (less than truck-load mode) and does not require the usage of an entire trailer. Typically, a hot shot driver hauls freight utilizing a gooseneck trailer attached to a heavy duty flat bed truck, works on a tight schedule due to expedited hauling, and spends most of the their travel time regionally. While lucrative, it can be difficult to find loads to expedite, and insurance requirements must be met; otherwise, it could lead to financial devastation.

Insurance Requirements for N.C. Hot Shot Trucking Companies

If you specialize in hot shot trucking, you will need to secure the proper insurance protection to cover you, your freight, your transportation, and others. Below are some of the common insurance requirements you will need as a hot shot truck driver:

Liability Insurance- The FMCSA (Federal Motor Carrier Safety Administration) requires commercial truckers to carry auto liability insurance in case of injury/damages you cause in the operation of your truck. While the minimum required is $750,000, most brokers will not allow you to haul the load without at least $1,000,000 in coverage.

Cargo Insurance- This type of protection for cargo is required by the FMCSA and most shippers request/prefer at least $100,000 in insurance. It is required that your insurance coverage matches the freight that you are expediting. Finding the right type of flexible insurance protection is vital in this business so if your freight/load changes, you can adjust the insurance accordingly.

Physical Damage Coverage- This is an optional coverage, but recommended and provides protection for your truck and trailer for losses such as collision, theft, vandalism, and fire.

Other Available Insurance- You may also want to discuss with your local N.C. independent insurance agent whether you may consider other coverage options such as Medical Payments, Bobtail Insurance, Towing and Storage, Loading/Unloading, or Earned Freight, amongst others.

Flexible Coverage Doesn’t Have to Be Difficult to Find 

Hot shot insurance can be costly, ranging anywhere from $6,000 to $12,000 per year, so it pays to shop around to find the best insurance protection with your needs in mind, at an affordable price to you. Also, make sure you communicate clearly about your typical loads, inquire whether there is flexibility to adjust the insurance if needed depending on the amount of the load, your typical radius of hauling, the type of truck you are driving, and whether you have a CDL license.

Many factors contribute to finding the coverage that fits your specific needs and we understand that at Paramount Insurance Agency. The good news is that we are here for you to find and compare North Carolina hot shot trucking insurance rates to find one most suited for you and your budget. Contact us TODAY at 866-869-3335 so that we can find the best policy and help you compare the coverage options you need for being a hot shot truck driver.