Do You Have the Right Auto Transport Insurance?

Many people who have purchased a new or used vehicle out of state will need to arrange for the proper transport and delivery. This means hiring an auto transport company that acts as the shipper.

However, a variety of issues need to be considered before hiring an auto transport company. One important issue is insurance that applies during transport.

Insurance is necessary for people drive a car, own a home, or rent an apartment. One aspect which may not be thought about is insuring a vehicle that is placed on any auto transport truck. Most insurance policies purchased by individuals might not provide coverage during transport.

This means individuals need to make sure the shipping company offers adequate insurance coverage. There are some transport companies that may include a waiver or responsibility in their contract. Any waiver of responsibility in a contract will absolve an auto transport company of any responsibility when a vehicle is damaged during transport.

Individuals who are shipping a of vehicle need to make sure it is insured while it is being transported. Addressing any potential issues will help to reduce any hassles or unexpected costs. There are a few things that should be known to make sure you have the right auto transport insurance.

Proof of Insurance

All auto transport companies are required by law to have proper insurance. This means they need to be able to provide a customer with a valid insurance certificate when asked. A customer will need to make sure and ask questions about their policy.

You need to find out if the policy covers any damage that has occurred during shipping. A customer may be required to pay a deductible or only certain parts of a car are covered.

Everything in Writing

Any special considerations or special agreements between the customer and an auto transport company will need to be in writing. This needs to be done before agreeing to any terms of service or before you sign a customer agreement.

The reason is to make ensure you are protected if there is any service being provided that is not included in a standard contract. If any extra service is not provided in writing, then the customer may be out of luck as insurance may not apply.

Existing Auto Insurance

Many automobile insurance companies will provide coverage for a vehicle being transported. This will depend on the options that are included with the policy. The best thing to do is to contact the insurance agent servicing your policy or a representative of the carrier.

You might need to add an endorsement or special rider for a vehicle in transport. Another thing to keep in mind is supplying your carrier with a special form or a simple notification from the auto transport company. The goal is to make sure that your vehicle will be covered by auto transport insurance.

Loose Items

Automobile transport companies often do not cover any damage that occurs to the interior of a car or a truck when in transit. This means the best way to reduce the risk of damage is to make sure the interior of the vehicle is free or any loose items.

Another thing to keep in mind is to not have any electronics or valuable items in the vehicle. Make sure to remove sunglasses, compact discs, and even coins that may attract thieves.

Prior Inspection

One thing that an auto transport company will do is make note of any existing damage before taking possession of a vehicle. A customer should be present when this inspection is performed.

You need to make sure a copy is provided that you can refer to when the vehicle is delivered. Another good idea is to take some photographs that can be used as a visual reference.

Bill of Lading

This is a document that is completed once the vehicle has been delivered and is essentially a report that indicates its condition. You will need to compare the Bill of Lading with the prior inspection report and see if there is any damage.

The engine should also be started to ensure that has not been any type of tampering or mechanical damage. Another area to check is the undercarriage.

Once the Bill of Lading is signed, then the auto transport company is not longer liable for any damage or issue that is discovered later. Any undocumented damage needs to be included on the Bill of Lading which needs to be signed off by the driver. Customers will need to contact the shipping company to find out the details for reimbursement.

Filing a Claim

A vehicle that is covered by your existing auto insurance policy is treated the same if there is a need to make a claim for damage. One thing to keep in mind is a deductible will often apply.

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