Today’s Topic: Insurance Insights You Need to Know Before An Accident Happens

Delivery drivers are among the fifteen and a half million commercial truck drivers plying the nation’s highways every day. Although most of these men and women manage to perform their jobs without an accident, or even getting a scratch on their vehicles, it is a true fact that a half million truck accidents will occur in a given year. Considering that an accident is a statistical possibility each and every time a commercial vehicle goes out on a job, it is best to understand a few issues regarding insurance and accident events.

What Business Owners Need To Understand

One of the most important Insurance Insights You Need to Know Before an Accident Happens is to understand the concept of liability. Liability refers to the degree of responsibility the driver or the vehicle owner bears in the event of an accident. Seemingly, this is a simple enough issue to comprehend. However, that is not always the case because liability standards are not universal.

In some states, liability is a straightforward assignment of blame on either Driver A or Driver B. One or the other gets the full share of responsibility for an accident event. In other states, such as Louisiana, however, the operative principle of comparative negligence that assigns fault to each party depending on their degree of responsibility for contributing to the accident.

Different Standards Mean Different Complications

Differing standards have implications with respect to liability burden. This necessarily complicates the legal picture for businesses operating across state lines. If a company driver has an accident in a state with different liability standards than the one the business is domiciled in, the company might find itself in a situation not covered by the available insurance.

The result here is that a business owner could face serious legal and financial consequences by not having adequate insurance coverage. This means that, to safeguard the company against potential liability hazard, the insurance coverage should be designed to cover as many contingencies as possible. Protection for company vehicles and drivers, protection against injury, property damage, and comprehensive coverage can guarantee the company won’t face a very unpleasant day in court.

The main coverage to be concerned with is liability coverage. How much is enough? Liability protection should be more than adequate to provide enough to pay all damages without ever having to pay out-of-pocket.