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Auto Transport Insurance: 8 Things You Need to Know

by MaggieBloom

You might not realize it, but auto transport insurance is a huge deal. It determines how much you pay for your vehicle to be transported and whether or not you can get compensation if there’s damage to your car while it’s being shipped.

It’s essential to know precisely what is included in your auto transport insurance cost and what isn’t. Here are eight things you need to know about auto transport insurance:

1. Auto Transport Insurance Determines How Much You Pay for Shipping


You’ll have to pay for shipping whether you like it, but auto transport insurance will determine how much that cost will be. The price will vary depending on several factors, including distance traveled, driving conditions, and weather conditions at the time of shipment.


The farther away from your destination point your car has to travel, the higher the cost will be. Similarly, driving conditions such as snowstorms or heavy rain can also increase costs because they make driving more difficult and dangerous for drivers and their cargo. Finally, if the weather is nice when you ship your car (meaning it doesn’t rain or snow), you could save some money.

2. Get Coverage for Your Vehicle During Shipping


You might think that auto transport insurance only covers the time when the vehicle is actually in transit with the auto shipping company. However, this isn’t always the case – especially if there’s damage when transporting cars to another state or if they get stolen from their yard. In these cases, your policy should cover the costs associated with repairing or replacing your vehicle so that it’s good as new once it safely reaches its destination!

3. The Insurance Covers Physical Damage and Theft


Auto transport insurance covers the damage and theft during shipment. If your vehicle is damaged or stolen while transported by a licensed auto transporter, you may be eligible for compensation up to your policy limits. The same goes for cargo in the trailer — if it is damaged or stolen during transport, you’ll be covered under auto transport insurance.

4. You Should Understand Your Coverage Limits


Auto transport insurance policies typically offer different levels of coverage based on the type of vehicle being transported, how far it’s being shipped and whether or not it will be stored overnight during transit. Make sure you know what kind of coverage you are getting before asking for more than necessary. It could result in higher premiums or even denial of coverage altogether if your needs exceed the limits stated in your policy agreement.

5. It’s Not Just for Vehicles


You may need an auto transport insurance policy if you’re shipping or transporting anything other than a motor vehicle. It includes boats, motorcycles, and ATVs. If your vehicle isn’t being moved by truck or train, it’s likely not eligible for an auto transport insurance policy.


The good news is that most policies will cover these vehicles, at least up to a certain point. However, some policies may not cover certain items like motorcycles and ATVs because they don’t fit within their parameters for coverage.


That makes it essential to read through your policy carefully before purchasing any auto transport insurance to know precisely what will be covered in case of an accident or other incident while traveling with your motor vehicle (or another item).

6. Ensure You’re Covered for Damage


You’ll need coverage if you’re transporting your car from one place to another, especially if it’s going overseas or even just across state lines. Damage from impacts and accidents can be costly to fix, so you’ll want to ensure that this type of coverage is included in your policy and any other damage you might face while moving your car.

7. Auto Transport Insurance Should be Comprehensive


Most auto transport companies will offer comprehensive liability insurance, which protects you from any damages that may occur during transport. These damages could include broken windshields or doors and damaged interiors. Comprehensive insurance is available through the provider’s website or by calling them directly.

8. Auto Transport Insurance Should Be Part of Your Package Deal


When booking an auto transport company, ensure they offer insurance coverage as part of their service package. You should also ask about cancellation fees when something goes wrong with your shipment, or the delivery date changes unexpectedly (e.g., due to weather). Cancellation fees vary based on whether you paid for everything upfront or if a deposit was required (usually 10%).


In Conclusion, Auto transport insurance is a must, even if you’re only going to be transporting your car across town. Even if you’re only driving your vehicle a few miles and have never been in an accident, getting auto transport insurance is still a good idea. You never know when you’ll need it.




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