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Physical Damage Insurance

    Our Physical Damage Coverage helps you with the cost of getting your equipment repaired to get you back on the road.

    Our physical damage insurance policy offers various deductibles, location-specific catastrophic coverage, and other flexible options. Plus, our years of experience in the trucking industry mean we have established long-term relationships with reputable repair facilities, towing companies, and parts suppliers, which means your equipment will get the attention it deserves no matter where you are.


    Choice Coverage® Plus

    We’ve wrapped all the trucking insurance coverage you need into one great package called Choice Coverage® Plus. It’s the perfect insurance for owner-operators with one to nine units.

    Cost: just $20 per power unit, per month

    A Choice Coverage® Plus Bundle Includes:

    • Diminishing Deductible
      For every year you operate a safe and loss-free business, we reduce your deductible. For each consecutive annual policy period that you don’t have a paid comprehensive, specified perils, collision or cargo loss, up to $1,000 of your deductible will be reduced by:
      • < 1 loss-free policy = 0% deductible reduction
      • 1 loss-free policy = 25% deductible reduction
      • 2 loss-free policies = 50% deductible reduction
      • 3 loss-free policies = 75% deductible reduction
      • 4 + loss-free policies = 100% deductible reduction

    *If any physical damage or cargo loss is paid, the deductible will not be reduced on any subsequent loss, and the deductible reduction will revert back to 0% if coverage is renewed.

    • Electronic Equipment Coverage**
      • We include the electronic equipment inside or attached to a covered truck, including electronic items normally not covered, such as computers, fax machines, satellite systems and more.
      • Limited to $2,500 per loss; $250 deductible
    • Personal Property Coverage**
      • Includes loss to personal property owned by you while inside a covered truck.
      • Limited to a per-loss maximum of $2,500 (certain losses are not covered); $250 deductible
    • Miscellaneous Equipment Coverage**
      • Covers binders, tarps, tie-downs, chains and other equipment used to secure cargo on trailers not owned by you.
      • Limited to $500 per loss; $100 deductible
    • Mechanical Breakdown – Towing Coverage
      • Includes towing and/or roadside labor to a covered truck disabled due to mechanical breakdown.
      • Limited to $5,000 for towing to any facility you choose, $500 less the deductible for any labor performed on a covered truck at the place of disablement (subject to a per-loss deductible of $250).
    • Rental Reimbursement Coverage
      • Covers the cost of renting replacement tractors, trucks and trailers when a covered breakdown happens.
      • Limited to $200 per day with a $1,000 maximum
    • Emergency Expenses Coverage
      • Covers emergency expenses related to a mechanical breakdown, including lodging, meals, vehicle rental and more.
      • Limited to $100 per day with a $500 maximum

    **Coverage is excess over any other insurance coverage available for the same loss.

    Comprehensive Coverage

    Our Comprehensive coverage covers physical damage loss to a truck or its over-the-road equipment from any cause except collision or overturns (subject to policy exclusions and provisions). We offer deductible options as low as $500, giving you a winning combination of security and affordability. And your deductible is waived for any loss caused by fire or lightning.

    Our Comprehensive coverage kicks in for cases where Collision coverage wouldn’t like:

    • Your van is damaged from a hazardous material leak and needs new decking.
    • During unloading, your tanker implodes.
    • Your truck, tractor or trailer is damaged by cargo shifting or colliding with the unit.
    • Your food-grade tanker is mistakenly loaded with liquid fertilizer, so the tanker can no longer be used for food-grade hauls, reducing its value.
    • Acid leaks from a valve and damages your trailer frame and tires.
    • Rodents eat the interior of your truck cab, necessitating replacement of mattress and wall padding.
    • Sulfuric acid from your tractor’s battery spills onto a fuel line, causing a leak. The sulfuric acid and diesel fuel combine to make a gas that covers the interior and exterior of the tractor with an acid film, resulting in a total loss.
    Downtime Coverage

    We understand that when your truck is in the repair shop for an extended period of time, you’re not making money. Downtime coverage protects you when your commercial truck is not drivable and provides you with $450 per week for a maximum of eight weeks or until the repairs are completed and the vehicle is determined to be roadworthy (whichever occurs first). 

    The coverage has a 35-day waiting period that begins when three conditions are met:

    1. The carrier has given the approval to repair;
    2. The insured has given the repair facility the approval to repair; and
    3. The vehicle is out of service for repair because of a covered loss and is in the custody of the repair facility.

    Note: This coverage doesn’t cover a stolen vehicle, a total loss or constructive total loss, or when reserve or spare trucks are available.

    Downtime coverage is included as part of our Physical Damage insurance and Non-Trucking Use Physical Damage insurance at no extra charge to you.

    Equipment Coverage

    Equipment coverage protects equipment not typically covered under a Physical Damage policy.

    • Miscellaneous Equipment Coverage
      • Provides full comprehensive and collision coverage for binders, tarps, tie-downs, chains and other equipment you use to secure cargo on a trailer you don’t own. (This equipment is typically only covered for the trailer’s owner under the trailer’s Physical Damage insurance.)
      • Owner-operators that use a flatbed or specialized equipment will benefit from this coverage, as well as other situations, like a carrier using a customer’s trailer, where you need additional protection.
      • This coverage is subject to a $100 deductible (regardless of any other tractor deductible).

    • Electronic Equipment Coverage

    Most Physical Damage policies don’t cover electronic equipment unless it’s installed at the factory at the time of assembly.

      • Electronic Equipment coverage extends a covered truck’s Physical Damage insurance to include some permanently installed electronic equipment items not automatically covered, like computer systems, electronic logging devices (ELDs), fax machines, satellite communication or tracking systems, video camera monitoring systems, collision prevention systems, cellular phones, two-way mobile radios or scanning monitor receivers.
      • Coverage is subject to a $250 deductible per loss, and no other policy deductibles apply.

    Tapes, CDs and DVDs are not covered by your Physical Damage policy, but you can add this coverage with a $200 limit and no deductible for a small premium.

    Lease Value & Finance Value Coverage

    The unfortunate reality of the first half of a five-year lease or loan on a tractor, trailer or truck is that your payoff is actually higher than the actual cash value (ACV). If you have a claim during that time, most insurance policies only pay out the actual cash value of your vehicle, which means you’re left having to make up the difference, which can be a large financial hit.

    We created Lease Value & Finance Value coverage to pay off the difference in the event of a total loss covered by your policy. It pays off the remaining debt when your lease or loan exceeds your tractor, trailer or truck’s actual cash value.


    • You don’t need to pay for “blanket” coverage on all your tractor, trailer or truck, just the ones that need coverage.
    • Claim payment is made within 30 days for a covered loss (60 days for theft), or we’ll make the additional payments or interest on your lease or loan.

    This Coverage Doesn’t Apply To:

    • Overdue lease or loan payments or penalties due at time of loss.
    • Financial penalties imposed for excessive use, abnormal wear and tear or high mileage.
    • Security deposits.
    • Cost for extended warranties (such as credit life).
    • Carry-over balances from previous leases/loans.
    Hired Auto Physical Damage Coverage

    When you hire, rent, or borrow a truck or commercial vehicle, it isn’t covered under policies for other vehicles you own. You are personally responsible for any physical damage. To protect you, we’ve created Hired Auto Physical Damage Coverage for trucks and tractors you lease, hire, rent, or borrow without a driver for less than 30 days. It also covers trailers you lease, hire, rent or borrow.

    Highlights of This Coverage:

    1. You can combine all covered vehicles into one limit of insurance for their combined actual cash values.
    2. Since this coverage is separate from the insurance you are buying for your leased or owned equipment, you have the option to select a different deductible than what you have for your owned units.
    3. This coverage also includes shipping containers.
    4. Our coverage does not pick up damages for loss of use of a hired auto that may be asserted by the owner. That is a business risk you assume.
    5. You may purchase Hired Auto Physical Damage coverage for trucks, tractors, trailers, and private passenger-type autos.

    It’s a good idea to consider adding Comprehensive, Specified Causes of Loss, and Collision coverage as well.

    Physical Damage Location Coverage

    We have created two unique, money-saving ways to help you to insure your truck fleet by protecting it against physical damage at a specific or single location. It allows you to cap all deductibles that apply at a specific location, with one amount, for a covered auto, physical damage, or cargo loss.

    Physical Damage Location Coverage protects you against:

    • Windstorm, hail, or earthquake
    • Flood
    • Fire, lightning, or explosion
    • Theft
    • Mischief or vandalism

    Lower Your Deductible If You Already Have Physical Damage Coverage on Your Fleet

    Instead of having to pay a deductible per vehicle if physical damage were to happen at the covered location, we created an aggregate deductible cap that is applied to the event (instead of per vehicle) to create a more manageable cap on your loss.

    Here’s an example: 20 parked tractors and 50 parked trailers suffer hail damage of $5,000 each. If your physical damage deductible is $1,000 per unit, your out-of-pocket would have been $70,000. Instead, with the Physical Damage Location coverage deductible cap, you can limit your deductible to $20,000 per event, thereby capping your loss at a more manageable amount.

    How It Helps When You Self-Insure Your Fleet

    You can get this coverage for your units while they’re at a specific location, which means you may have a much lower premium compared to insuring your entire fleet full time.

    For example, you might be able to sustain the financial loss of a single tractor and trailer, so self-insurance makes sense for your business. But a major event, such as a tornado in your yard, could be financially devastating. Damage to 20 tractors and 50 trailers may total more than $2,000,000. Physical Damage Location Coverage would protect your business from this type of financial shock and only have a 5% per-loss deductible ($100,000 in this example), making your risk more manageable.

    Rental Reimbursement Coverage

    Our Rental Reimbursement coverage helps you with the cost of renting replacement tractors, trucks, and trailers when a loss covered under your Physical Damage Policy occurs to your equipment. You receive payments equal to your area’s cost of a short-term rental.

    Some advantages of this coverage include:

    • You can choose the units you want to be covered.
    • You have flexibility in choosing the daily amount of coverage and the number of days you need.
    • No deductible applies.
    • You can bump up your limit to include the rental company’s daily mileage and physical damage insurance charge, based on your estimated use.

    There are a few exclusions. If the loss to your equipment is not insured by the type of coverage shown in the schedule on this endorsement, or if you own substitute equipment that can be used in place of the damaged equipment, Rental Reimbursement Coverage does not apply. If equipment rental costs are lower than your coverage limit, the lesser amount is paid.

    Trailer Interchange Coverage

    Our Trailer Interchange Coverage is an endorsement that provides Physical Damage coverage for owned and non-owned trailers, including shipping containers and frames in your care, custody, and control. It is available if required by contract or Uniform Intermodal Agreement.

    This includes:

    • Trailers in your possession under a written trailer interchange agreement.
    • Your trailers in the possession of anyone else under a written trailer interchange agreement.

    We recommend that the coverage limit you choose equal the value of all the shipping units you have in your possession, including containers and frames waiting for loading in the shipper’s yard and empty containers you are holding to return later. Under the interchange agreement, the shipping company’s coverage must be equal to yours because your Physical Damage Coverage will not apply while someone else is using your trailer.

    Endorsement coverage options include two additional features:

    • Option 1: Trailers can be interchanged based on an oral as well as a written agreement.
    • Option 2: Trailer Interchange coverage can be made to apply on an excess basis as opposed to the more traditional primary basis. (There is no difference in premium for this feature.)

    Frequently Asked Questions

    What types of damage are typically covered by Physical Damage insurance? Physical Damage insurance is the part of your trucking insurance policy that covers damage to your commercial truck and equipment when you have an accident.
    Can truckers add coverage for specialized equipment or aftermarket modifications to their trucks?

    Truckers can add or modify their Physical Damage policy to cover miscellaneous equipment or electronic equipment. Please check with your Joe Morten & Son agent for details on specific coverage options.

    Can truckers transfer their physical damage insurance coverage to a new truck?

    Newly acquired trucks can be automatically covered by Great West Casualty Company’s Physical Damage policy. Always let your Joe Morton & Son agent know as soon as you purchase new equipment to ensure for proper coverage.

    Does physical damage insurance cover the cost of temporary replacement vehicles during repairs?

    Through our affiliation with Great West Casualty Company, Joe Morten & Son is able to provide physical damage insurance that will cover the cost of a temporary replacement vehicle during repairs. You will need to discuss the terms, conditions, and restrictions of the coverage with your Joe Morten & Son agent.

    How is the value of the truck determined for insurance purposes?

    The value of the truck and the coverage amount for a Physical Damage policy should be determined based on the actual cash value (ACV) of the insured truck. ACV is calculated by considering factors such as the truck's age, make, model, and condition. The coverage amount should be set to match the ACV, ensuring that the truck can be repaired or replaced in the event of covered damage or loss. It's crucial to periodically reassess the ACV to ensure the coverage amount remains adequate for the truck's current value.