Risk management

Truckers coverage form

Clause

Contractor shall obtain, at Contractor’s expense, and keep in effect during the term of this Contract, Truckers Coverage Form Insurance covering, “all owned or non-owned vehicles." This coverage may be written in combination with the Commercial General Liability Insurance (with separate limits). Combined single limit per occurrence shall not be less than $ _________

When do they apply?

  • Use when contracting for transit by a common carrier, or trucking entity that will be driving a truck on behalf of the state. If Contractor transports hazardous substances, waste, and/or materials require pollution liability coverage .

Notes

  • Defends and pays Contractor´s liability for property damage and bodily injury to others while operating owned and non-owned trucks in the capacity of acting as a common carrier.
  • If the Contractor is hauling a trailer owned by the state, insure that this insurance includes Trailer Interchange Coverage. This is coverage for the legal liability of truckers for loss or damage to non-owned trailers and equipment which are in the insured´s possession under a written trailer or equipment interchange agreement. A trailer interchange agreement is an arrangement whereby one trucker transfers a trailer containing a shipment to a second trucker for continued transportation. 

Setting limits

  • Assess the risks of the particular contract to determine appropriate insurance limits and risk control measures. 

Motor truck cargo liability coverage

Clause

Contractor shall obtain, at Contractor’s expense, and keep in effect during the term of this Contract, Motor Truck Cargo Liability Insurance covering loss to cargo in transit during the performance of this contract. This coverage may be written in combination with the Commercial General Liability Insurance (with separate limits). Combined single limit per occurrence shall not be less than $ ____________.

When do they apply?

  • Use when contracting for transit by a common carrier, or trucking entity to cover state property during the transit and while in the care, custody, or control of the carrier.

Notes

  • Covers the common carriers legal liability for loss to covered property while under their care, custody, or control that the carrier becomes legally obligated to pay under a bill of lading, contract of carriage, or shipping receipt. Check the policy exclusions to ensure your property will be covered. Check to ensure that all costs, including extra expenses are included in coverage limits. Make sure to include the amount of any potential additional costs, expenses, fees, fines, penalties, or other damages

Setting limits

  • Insurance limits should be high enough to cover the replacement, repair, or recovery of the property that will be in transit.  Use the Risk Assessment tool​ to determine appropriate limits..