Selecting insurance for a semi truck will be similar to getting car insurance for a regular car. If you are the owner-operator for your semi truck company, you will need to get insurance for your very own truck. The insurance that you receive will depend on your record, such as your regular driver's license and CDL record, as well as your experience driving. Semi truck insurance will be higher than your average vehicle and so is the deductible. Here are three reasons to choose to have a high monthly payment than a high deductible.
Monthly payments are easier to tackle
Though monthly payments on a semi truck are high, they will be easier to deal with than a deductible of thousands of dollars. If you are the only driver for the company right now, you may need to keep the money you make in profits in order to make more investments. Spending thousands during a truck accident or vehicular issue could break your small business. It is easier to find a few extra hundreds to make the monthly premium payment each month rather than a large deductible.
The premiums can go down over time
It is common for an insurer to decrease your premiums over time. Once you have had the insurance policy for several years, you can inquire about a decrease in the premiums for your policy. Once your driving record has gone several years without a blemish, you will be able to ask for a decrease in the monthly premiums. Lowering your premiums and keeping the lowest deductible will help your pocket in two ways instead of just one. Every time you renew your insurance, speak to your insurance agent about lowering your commercial truck insurance.
The premium payments can be a write-off
As the owner-operator of your own semi business, you can deduct things such as mileage from your taxes. If you have a higher premium, you can use this to mitigate your tax responsibility as a business owner. If your business will be growing over the next few years, you will need more money to invest in more trucks or running more routes. Give the information about your auto insurance premiums to your tax professional each year and include any extras that you have paid towards your insurance. Deducting thousands of dollars from on your business taxes will give you more income throughout the year and make sure that your business payout during business tax season will be decreased.