What Does Semi Truck Insurance Cost?

It’s impossible to give a definitive answer to the question, “how much is semi truck insurance?” The reason for this is commercial truck insurance costs vary widely and depend on several different factors. As I’m sure you’re aware, all trucking businesses have their own unique risks.

On average, it may cost $3,000 to $5,000 per year if you lease onto a motor carrier. However, if you operate under your own authority it may cost you around $9,000 to $12,000 per year. Unfortunately, if you’re a new authority you could be paying close to $16,000 per year.

As of recently, truck insurance has been steadily increasing due to a high number of accidents, claims, and DOT violations. In this article, we’ll discuss the average cost of semi truck insurance, as well as ways you can save.

What Does Semi Truck Insurance Cost on Average?

The cost will depend on several things. You should take into consideration what you haul and how large your hauling radius is.

If you’re leased onto a motor carrier then they’re responsible for making sure you have the proper insurance. Therefore, the majority of the time the motor carrier will cover these expenses but you may be asked to chip in. However, this varies from company to company, the smaller the trucking business the more likely you may be asked to cover some of the insurance costs.

Below are some of the coverage types you’ll need and their average cost annually:

  • Auto Liability: $5,000+
  • Cargo Insurance: $400-$1,800
  • Non-Trucking: $400
  • Occupational Accident: $1,600-$2,000
  • Physical Damage: $1,000-$3,000
  • Pollution/Hazmat: $2,500+
  • Truckers General Liability: $600
  • Workers Compensation: $3,000-$5,000

What Affects the Cost of Semi Truck Insurance?

Your semi truck insurance rates will be affected by the following factors:

  • What you haul
  • Your hauling radius
  • The age and experience of your drivers
  • How long you’ve been in business
  • Your claims history 
  • The year, make, and model of your semis
  • How many semis you have
  • Your location 

By evaluating the following factors you’ll be able to get a general sense of what your semi truck insurance quote will be.

Keep in mind, every insurance company evaluates things differently. Therefore, you should explore your options and gather multiple quotes from several reputable truck insurance companies. This way you can make an informed decision and weigh your options.

This decision shouldn’t be taken lightly since insurance is an integral part of a trucking business.

How to Lower the Cost of Your Semi Truck Insurance

Drivers can try plenty of methods to reduce high insurance rates. You can try the steps mentioned below to get the best deal in terms of money.

1.     Pay Yearly

Another way truck drivers can save on their premiums is by paying in one lump sum. Many truck insurance companies offer substantial discounts if you decide to pay yearly instead of monthly. We understand that paying all at once is a significant amount of cash; however, you can save around 10-20% in total.

2.      Maintain a Clean Driving Record

A clean driving record can substantially impact your semi truck insurance rates. A clean record indicates to the insurer that you prioritize safety and will likely have less claims. Therefore, some truck insurance companies offer additional discounts to drivers with a clean driving record.

3.      Lease onto a Motor Carrier

Leasing onto a motor carrier can save you a substantial amount of money than operating under your own authority. This is because you’ll be responsible for paying for your own insurance. When you lease under a motor carrier you can generally save around 50 to 75% on insurance.


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