When your business operations are not limited to a single location and you have owned or leased cars and trucks on road you are required to carry auto liability coverage. Many businesses use of these autos for delivery, pickups, transportation for hire or road side service. Auto Liability coverage is required by state and federal laws and at different limits depending how you use them.

You may also choose to purchase comprehensive and collision coverage to repair and replace the auto in case of an accident. Other coverages you may need in conjunction with your commercial auto coverage would be General liability, Garage Liability, Garage Keepers Liability or Cargo coverage. Let us help you determine what coverages are appropriate for your business based on how they are used in your business.

TOW TRUCKS

Businesses that are engaged in towing and storage of customer autos require special coverages due to the risks associated with loading and unloading of autos which may or may not be in operable condition. On Hook / Cargo coverage and Garage keepers coverage are a written on a specific Tow Truck Liability policy which encompasses several coverages and special endorsements. These coverages are designed to protect a customer’s vehicle while it is being transported or stored for future transportation.

What is the Difference Between On Hook Coverage & Garage keepers coverage?

On Hook Insurance coverage will pay for the damage to a customer’s car caused while it is being towed loaded or unloaded.
Garage-keepers Insurance covers the physical damage while the vehicle is being stored at your location.

What is the Difference Between On Hook Coverage & Garage keepers coverage?

On Hook Insurance coverage will pay for the damage to a customer’s car caused while it is being towed loaded or unloaded.

Garage-keepers Insurance covers the physical damage while the vehicle is being stored at your location.

If all or part of your business involves towing vehicles that are owned by customers who pay a fee for services then your commercial auto policy needs On Hook and or Cargo Coverage. If your business then unloads and stores those autos you will also need Garage keepers coverage because your on hook coverage ceases after they have been unloaded from your truck onto your storage lot for safekeeping.