When you're the owner-operator of a semi truck, commercial truck insurance can be a large monthly expense. It is important to find an insurance policy that protects you and your business financially, while also fitting within your operating budget. If you plan on purchasing a commercial trucking insurance policy in the near future, use the following tips.

Choose the Right Deductible

As an owner-operator of a semi-truck, it is important to select the right deductible amount when buying an insurance policy. If your cash-flow is good and you have ample funds in your business account, you may want to opt for a higher deductible which will reduce the amount of your monthly insurance premiums. On the other hand, if you're a new owner-operator just getting your business off the ground, it may be better for you to choose a lower deductible and pay higher premiums if you don't have a lot of available cash on hand to cover the cost of a high deductible in the event that you need to file a claim.

Make Sure You Understand the Policy

Commercial trucking insurance tends to be more complicated than a regular automobile insurance policy. A trucking insurance policy may also involve the cargo that you carry and the trailers that you pull. Before making a purchase, it is vital that you completely understand the policy and all of the terms and clauses mentioned. If there is something that is confusing or unclear, don't hesitate to contact the insurance company for clarification.

Make Sure Your Truck is in Good Condition

Prior to buying trucking insurance, it is important to inspect your semi-truck. Make sure that it is in good and safe operating condition and is equipped with all required safety equipment. A truck that is well-maintained will be a lower risk to insure, which may save you some money on your insurance premiums.

Always Shop Around

When it comes to commercial trucking insurance, there is no set formula or algorithm that determines the cost of a policy. Rates can vary, sometimes dramatically, from one insurance company to another. Since trucking insurance can be a big expense for you and your business, it is well worth your time to contact several commercial insurance companies to get quotes. After getting several quotes, analyze each one so you can determine which one best suit's your needs and budget. Don't automatically chose the lowest price—it is important to have a policy that provides adequate coverage and is a good value.