Why Is My Trucking Insurance Quote So High?
You got your DOT number, called for insurance, and heard a number that made you question everything. Here's what's actually driving that price — and what you can (and can't) control.
The Short Answer
Trucking insurance for a new authority with one truck typically costs $12,000 - $20,000 per year for full coverage. That's $1,000-$1,700/month. It's high because new carriers are statistically the highest risk — 30% of all truck accidents involve carriers in their first two years. The price comes down as you build history.
Your Authority Age (New vs. Established)
This is the single biggest factor. A carrier with 6 months of authority pays dramatically more than one with 5 years.
This isn't arbitrary. FMCSA data shows new carriers are disproportionately involved in accidents. Insurance carriers price that risk in. There's no way around it except time and a clean record.
Can you control this?
Not directly. Time and clean operations are the only fix. But knowing this helps you budget. Plan for high insurance in years 1-2, and know it should decrease in year 3+.
Your Driving Record and Violations
Your personal MVR (Motor Vehicle Record) and your company's CSA (Compliance, Safety, Accountability) scores directly affect your rate. Carriers pull your driving record and factor in:
- Moving violations — speeding, improper lane changes, following too close
- Accidents — any DOT-recordable crash, regardless of fault
- Roadside inspection results — vehicle out-of-service orders, driver violations
- CSA BASIC scores — unsafe driving, hours of service, vehicle maintenance categories
A single at-fault accident can add 20-40% to your premium. Two accidents? Some carriers won't write you at all.
Can you control this?
Absolutely. This is the #1 thing under your control. Drive clean. Do your pre-trips. Fix violations before they compound. Your CSA score is your insurance report card — check it at ai.fmcsa.dot.gov/SMS.
What You Haul (Cargo Type)
Not all freight is created equal from an insurance perspective. Some cargo types carry higher risk because of value, hazard, or theft potential:
Can you control this?
Partially. You can choose what you haul. If you're flexible on cargo type, general dry freight gets the best rates. If you're committed to a specialty (auto hauling, reefer), the higher rate is a cost of doing business — factor it into your per-mile calculations.
Your Operating Radius
Where and how far you drive matters. Interstate long-haul carriers pay more than local or regional operators because they accumulate more miles and operate in more jurisdictions.
- Local (under 100 miles) — lowest rates, least highway exposure
- Regional (100-500 miles) — moderate rates, some interstate exposure
- Long-haul (500+ miles) — highest rates, maximum exposure and miles
- Specific corridors matter — running the I-95 corridor (high traffic, high accident rates) costs more than running I-90 through Montana
Can you control this?
Yes, if you're flexible. Some new carriers start local/regional to keep insurance costs down, then expand their radius as they build history and rates improve.
Your Truck's Value and Age
Physical damage coverage (comp and collision) is directly tied to your truck's value. A $150,000 new Peterbilt costs more to insure than a $40,000 used Freightliner because there's more to pay out if it's totaled.
Deductibles also play a role. A $1,000 deductible costs more in premium than a $2,500 or $5,000 deductible. If you can afford the higher out-of-pocket in a claim, the premium savings are real.
Can you control this?
Yes. Buy a truck you can afford to insure. Consider higher deductibles if you have cash reserves. And if you own your truck outright (no lien), physical damage coverage is optional — though we generally recommend it unless your truck is worth under $15,000.
Your Location (Garaging State)
Where your truck is garaged affects your base rate. Some states have higher claim costs, more litigation, or more traffic:
- Higher-cost states: New Jersey, New York, Florida, California, Texas (large metro areas)
- Moderate-cost states: Georgia, Illinois, Ohio, Pennsylvania
- Lower-cost states: Idaho, Montana, Wyoming, Nebraska, rural areas generally
Can you control this?
Usually not. Your truck needs to be garaged where you actually live or operate. Some carriers in border areas can legitimately register in a lower-cost state, but this must be real — insurance carriers verify garaging addresses.
Number of Drivers and Their Records
If you have drivers beyond yourself, each one's driving record is individually rated. One driver with a DUI or multiple violations can raise your fleet's entire premium significantly.
Carriers also look at driver experience — a CDL holder with 10 years of clean commercial driving is much cheaper to insure than someone who just got their CDL 6 months ago.
Can you control this?
Yes. Hire carefully. Pull MVRs before hiring. Set driving standards and enforce them. One bad driver can cost your entire operation thousands per year in insurance premiums.
So What Can You Actually Do to Lower Your Rate?
Let's be direct. Some things are out of your control (authority age, state). Here's what you can do, ranked by impact:
Drive clean
No violations, no accidents, clean inspections. This is the single biggest lever you have. Every clean year makes your next renewal cheaper.
Maintain your truck
Clean inspections = better CSA score = lower premiums. Out-of-service orders are the most expensive thing that can happen short of an accident.
Raise your deductibles
Going from a $1,000 to a $2,500 physical damage deductible can save $500-$1,000/year. Only do this if you have cash reserves to cover a claim.
Right-size your coverage
Don't over-insure or under-insure. Talk to your agent about what you actually need versus what's nice to have. Use our Coverage Wizard as a starting point.
Wait it out (strategically)
Your biggest rate drop will come at the 2-year and 3-year marks. Budget for high insurance in years 1-2, and know the light at the end of the tunnel is real.
Work with an agent who shops at renewal
At 2+ years, more carriers become available. A good agent should be shopping your policy at renewal, not just auto-renewing with the same carrier. If they're not, you may be overpaying.
What NOT to Do
Don't lie on your application
Misrepresenting your cargo type, radius, or driving history is fraud. If you have a claim, the carrier will investigate and deny coverage if you lied. You'll be personally liable AND lose your policy.
Don't go with a non-admitted carrier to save money
If someone offers you trucking insurance at half the market rate, ask why. Non-admitted carriers (not backed by state guarantee funds) can leave you exposed if they go insolvent.
Don't lapse your coverage to save money
Even one day without insurance can result in FMCSA revoking your operating authority. Getting it back costs time and money. A lapse also resets any continuous-coverage discounts you've earned.
Don't keep calling agencies expecting a magic number
After 2-3 quotes, you know the range. More calls won't find a dramatically different price. Here's why.
Want to understand your specific rate?
Every situation is different. We'll pull your actual numbers, explain what's driving them, and tell you honestly what you can do to improve them. No surprises, no jargon.