What determines your insurance premium? Do you know? A variety of factors are taken into consideration when an insurance company is deciding the amount of your truck insurance premium. These factors are used to establish the accident and financial risk. The driver is also a factor because an insurance premium may be higher or lower because a drivers history or experience and in most cases age. Listed below are factors in which determine how much more or less your insurance premium is.
Truck Driving Experience Level
– The more experience one has, they pose less of a risk
– Experience in driving in different weather and road conditions
– Number of years driver has been driving a certain type of truck

Age
– Drivers that are too young or too old pose more of a risk to get in an accident

Accident History
– Truckers who have a history of accidents are more likely to get in more in the future
– Less accidents and violations that appear the lower the premium will be

Previous Insurance History
– If a driver has had premium nonpayment cancellations in the past
– Previous insurance companies are allowed to disclose loss history to present insurance provider

Years of Operation
– New companies are more prone to following rules and regulations

Driving Routes
– Average road conditions, infrastructure, and weather
– Driving Seasons
– Population density in cities being driven through

History of Employment
– The more a trucker has worked for different companies and the more familiarity with equipment, the less the risk is for accidents to occur

Cargo
– Cargo insurance is based on
* Type of cargo carried
* Cargo value
* Potential for theft
* Delivery time sensitivity

Operating Equipment
– Age, Condition, & value of equipment
– Age of Truck is irrelevant as long as equipment is recently installed equipment

Deductible
– The amount of damage or loss that is insured
– The insured party is responsible for this amount when a new clam is filed
– The higher the deductible, the lower the insurance premium

Safety Features/Programs
– Safety Features such as warning stickers are beneficial when risk factors are being assessed
– Company and driver safety programs also provide a benefit