Should You Hop on the Ride with Commercial Truck Insurance?

The transportation industry has a direct impact on the U.S. economy. If the auto industry goes up, so does the U.S. economy. Because it is such a vast industry, insurance for the auto industry is broad as well. There are numerous lines of businesses, like personal or commercial auto insurance, non-owned auto insuranceand, commercial truck insurance. 

And cargo insurance industry is rising more than ever.  

With around $46 billion in total revenue in 2019, there is a vast premium revenue potential.  

Don’t believe us? Let us try to change your mind 

Today, we will explore one of the most profitable niches within the auto industry, commercial truck insurance.  

It looks like the market for this niche is just as large as the size of trucks.   

How big is the market?

For independent agents who are interested in making it big in the insurance industry, commercial truck insurance is the best choice.  

With e-commerce on a constant rise, this market has seen tremendous growth in recent years.   

Insurance Market Source found that up to 70% of freight movement across the United States occur on commercial trucks.  

And it’s not just cargo and freight.   

Moreover, the food truck industry is on the rise as well.   

Think about all the insurance clients in this niche!  

The market is growing and investing in this niche will increase your book of business for the long haul.  

According to ATA’s CEO Chris Spear, the trucking industry is experiencing the most accelerated growth in 20 years. 

What’s more?A recent study by HTF MI revealed that the commercial truck insurance market is expanding at a double-digit growth rate.   

The rates aren’t going to slow down anytime soon. They are getting higher.  

And guess what? You are not the only one taking advantage of this growing sector! 

Small and large fleets accounts are adding more trucks. The amount of goods that need transportation is soaring. Due to this, you can see many of your clients growing and adding more fleets.   

Furthermore, Insurance Journal says that many trucking companies could increase their business between 10-25 percent overnight.  

Talk about a lucrative market! 

The premium in the commercial trucking insurance could easily be $8000 to $12000 per year, says Tommy Rukepresident of IBC Inc.   

Wouldn’t it be sweet to land a big client in this niche?  

Will commercial truck insurance be a smooth ride for agents?

The rise in premiums has attracted a lot of young agents in commercial trucking insurance. However, the lack of knowledge and inexperience could cost them even more. 

But in reality, it’s like any other insurance niche. 

Learn what the brakes, accelerator, and clutch do before you start the ride. 

There are lots of clients in this niche. And to attract them, a lot of agents too! You need to stand out from the crowd to win them over.  

Here are some tips to win these clients over: 

Provide discount options: You know how costly commercial truck insurance can be. As an independent agent, you have choices of policies from multiple carriers. Look for the one that saves your clients’ money.  

Come up with the best coverage for your client: We know this is a basic rule. However, your clients might have pickup trucks and dump trucks. And these two have different coverages. As an agent, you also should know the model of your clients’ vehicles. Doing so will help to find the best carrier and coverage.  

Look for policies that provide coverages throughout the countr: Your clients might have trucks that need to move across the country. According to Security Todaycargo theft increased by 25% in the recent year. And, trucks are threefold prone to theft than cars. The reason for this? They are more expensive and usually contain valuable cargo.  

These thefts can happen in any state. And, as an agent, you need to take the responsibility of risk management for your client. Research and recommend the coverage that will provide excellent protection.   

Furthermore, if you are looking to invest in commercial truck insurance, educate yourself first. 

Don’t be indecisive. Put both your feet in the industry. 

The regulatory changes when it comes to the trucking industry should be your first step. 

Contact the FMCSA. Similarly, research every nook and cranny about the trucking industry. 

Take educational courses about the industry in your spare time too. 

You will gain more edge against your competition. 

So, you must know your stuff and be able to serve your client’s unique needs. 

Learn how you can flourish as an agent after one call!

Schedule a call right now and learn how you can ease your work, sell more, and increase your profits!

After all it’s not just about the numbers 

The commercial trucking insurance is also all about building and maintaining a relationship with your clients.   

Make them trust you. In other words, show them that you are here to invest your time and efforts in their business. 

Learn the things they must deal with, from operations to fuel expenses.  

You will then be able to decide what coverages your client will require. 

Once you gain a few clients and experience, there’s only one thing left to do: Keep on Trucking! 

Do you think commercial trucking insurance is a good niche? Comment below and let us know.

Learn how you can flourish as an agent after one call!

Schedule a call right now and learn how you can ease your work, sell more, and increase your profits!

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