Transporting your vehicle across the country is an excellent way to get your car to its new destination in a timely manner. Getting your vehicle to where it needs to go without any hidden costs or hassles is top on the list for most people moving around the United States.

If your vehicle sustains damage while in transit, you want to ensure you have the proper auto transport insurance. Continue reading below to learn more about this car shipping insurance coverage, what it does and does not cover, and who you can reach out to for more information.

What Is Car Insurance Shipping?

Auto transport insurance, also known as car shipping insurance, protects your vehicle if you ship your vehicle across the state or country. Your auto insurance coverage on your vehicle mainly covers accidents such as collision accidents, hail, fire, or other perils listed on your policy. They usually don't cover any damages caused when you ship your vehicle.

When you ship your car to a new destination, there is a chance the transport could cause alignment issues, scratches, dents, or other types of damage. If you decide you need to move your vehicle, make sure you reach out to a reputable company that offers car transport insurance.

What Does Shipping Insurance Cover?

No two shipping insurance policies are the same, so read the fine print before purchasing the policy. Most policies have liability and cargo insurance coverages. Liability coverages typically cover any damages caused by the carrier while in transit.

Cargo insurance covers any damages not covered under liability coverage. It is important to note that these coverages may not protect any items left inside of the vehicle. So when you prepare your vehicle for shipment, be sure to take out any valuables you have inside the car.

When to Buy Additional Car Shipping Insurance

In most cases, you may not need additional auto transport insurance. Instances where you may want to consider purchasing car shipping insurance, would be if you have expensive accessories in your car. This could be your speakers or other installed accessories.

Some of these accessories may have coverage under your auto insurance policy. Still, they may not pay out for the damages if the damage happens while the vehicle is in transit. Be sure to check in with your auto insurer before purchasing additional car shipping insurance.

Do You Need Insurance to Ship a Car?

You do not need to purchase insurance to ship your vehicle as a consumer. Auto transport companies, by law, have to carry liability insurance. This liability policy is in place to take care of any damages caused to your vehicle while in transit.

What Are the Auto Transport Insurance Requirements?

As mentioned earlier, auto transport companies must carry liability insurance over their trailers. Any trailers, open or closed, must carry certain limits to ensure enough coverage to repair damages caused to your vehicle.

How Much Does Auto Transport Insurance Cost?

In general, you don't have to pay any additional fees for auto transport insurance. If you already carry insurance on your vehicle and your car hauler has liability and cargo insurance over the trailer, you won't have to pay for anything. If you decide to get a separate policy for an added layer of protection, the cost varies depending on the insurer you choose to partner with.

Is My Vehicle Fully Insured During Car Transport?

Your car may have full coverage during car transport, but you must first reach out to your auto insurer. They can review the current coverages on your policy and look over your policy to see if any exclusions may block them from repairing the damages caused.

Does Commercial Auto Insurance Cover Bodily Injury?

Commercial auto insurance does cover bodily injury. Granted the commercial auto policy is active and has liability coverages; it may cover any injuries caused.

Can You Add Insurance After Shipping?

Once you ship your vehicle, you may not be able to purchase car shipping insurance. This is because the insurance company won't be able to tell apart the damages caused while in transit or damages already existing.

If you are on the fence about getting car shipping insurance, reach out to your auto insurance company. They can help go over your current coverages and let you know if it is a good idea to purchase additional insurance.

Tips for Car Hauler Insurance Companies

There are several different car transport insurance companies that can offer you additional quotes. When looking for cheap car insurance quotes for your auto transport needs, there are a few things you should know. There are also a few things you should do to ensure the transport process goes smoothly.

Get Everything in Writing

Before you sign any documents, make sure all considerations or special agreements are down on paper. If an insurer provides you with a service or guarantee that is not typically in their regular contracts, you must get that down in writing. In the event that something happens to your vehicle, they can argue that it was not in writing so that they won't honor your request.

Request Proof of Insurance

When you work with a reputable car carrier insurance company, they'll provide you with your proof of insurance without any questions. If you come across any companies that don't want to give you proof of insurance, you might want to work with another insurance company.

Check With Your Own Auto Insurance Company

As mentioned throughout the article, ensure you reach out to your auto insurance company about coverages available on your policy. There are some policies that cover your vehicle when in transit, whereas others. To err on the side of caution, check in with your insurer to find out what types of damages they cover while your vehicle is in transit.

Remove All Your Possessions From Your Car

In general, car shipping insurance does not cover any damages inside of your vehicle. This includes any valuables that go missing while in transit. To ensure that nothing inside of your car goes airborne, make sure you take them out.

Items to remove from your vehicle:

  • Any valuables
  • Jackets
  • Loose change
  • Electronics
  • Anything else that you wish to keep

To be safe, make sure to take out everything from the inside of your car. This reduces the chance of theft and reduces the possibility of any damages happening while your vehicle is on the road.

Perform an Inspection

When it comes time to ship your vehicle, the driver who comes to pick up your vehicle must record the car's condition. The driver will make a note of any pre-existing damages.

To ensure that everyone is on the same page, conduct the inspection with the driver while they are in your presence. It also helps to take photos of the vehicle to show proof of its condition before it goes off.

Complete the Bill of Lading

It is very important that you complete the Bill of Lading form carefully. Compare the condition of your vehicle against this document and record any damages you see.

If you need to file a claim, you'll need to provide the insurance company with detailed documentation. Make sure you send the insurance company the photos taken before the vehicle is shipped. This will strengthen your claim.

Where to File a Complaint

If you need to file a complaint about the damages to your vehicle, make sure you let the insurance company know. If they improperly handle your claim or fail to pay for the damages they caused, reach out to the Better Business Bureau.

You also have the right to report the complaint to your Department of Transportation. Be sure to include all evidence you have against the insurance company to make the reporting process go smoothly.

Choose the Right Auto Transport Insurance

Choosing the right auto transport insurance company is relatively easy when you know what to look for. You may not need to purchase this additional car shipping insurance if you partner with a reputable auto transport company.

You also may not need it if your auto insurance company covers any damages caused during transit. Of course, make sure you reach out to your insurance company before you assume anything.

If you need to transport your vehicle across the country and you want to work with a reputable and experienced auto transporter, contact us. Our transporters are here to answer any questions or concerns you may have.

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