For many individuals, trailers are a must-have vehicle. Regardless of the fact that you possess a large trailer for transporting horses, a utility trailer for carrying equipment for an exclusive lawn care business, or a cargo trailer for hauling equipment and tools, you are running the risk of potential collisions while driving your trailer in tow. You may be wondering if your insurance policy covers liability if your trailer causes damage to property or bodily damage to other individuals. If your vehicle insurance policy fails to provide this coverage, you need to opt for trailer insurance coverage to stay completely protected.
The Need for Trailer Liability Insurance Coverage
Accidents that involve vehicles that are towing trailer are quite common, and these large and heavy trailers can cause significant damage to property and other injuries, when there is a collision with other vehicles or objects. Wrongly judged turns, potential collisions while backing up, and clipped cars during the process of changing lanes are some of the most common trailer mishaps that lead to potential liabilities for the driver.
What is Trailer Liability Insurance?
Trailer liability insurance offers coverage for damages and injuries that are caused by different types of trailers, including horse trailers, boat trailers, utility trailers, and so on. This type of insurance may also cover legal fees in case someone conducts legal proceedings against you in the event of an accident. If you operate a trailer for commercial purposes, then commercial liability coverage can help protect your business in case of a lawsuit.
This coverage is most often included in the truck or automobile insurance policy for the vehicle that tows the trailer; however, you need to purchase insurance as an additional rider or as an endorsement. Whey you buy a new trailer, make sure to review your insurance policy with your automobile insurance company.
Coverage offered by Trailer Insurance
Such a type of insurance provides coverage for the below-mentioned phenomena up to the limit of your policy in the event of a covered collision.
Damage to Property: If your trailer collides with another object or vehicle or causes damage to the property of another person, this insurance policy will provide compensation to that individual or particular business.
Bodily Injuries: If your trailer is held responsible for injuries caused to another individual, your insurance policy needs to cover the medical expenses of the latter as well as costs of rehabilitation.
Legal Fees: In the event that you are sued for damages or injuries that result from a covered incident, your trailer liability insurance needs to cover legal defense and court fees.
To sum it up, trailer insurance offers you complete peace of mind while driving your trailer because it provides extensive coverage.