Auto transport carriers are typically have cargo insurance $250,000+ per incident. If multiple vehicles are damaged in a single incident, this coverage is shared among all affected vehicles (a full truck can carry up to 9 cars).
Coverage hierarchy:
1. Carrier's cargo insurance - Primary coverage during transport
2. Your auto insurance - Secondary coverage if you have Comprehensive or Collision
Does my insurance cover my car during transport?
Check your auto policy for Comprehensive and Collision coverage. Many policies DO cover vehicles during professional transport, but some exclude it. If your policy covers it and you file a claim, your insurance company can pursue the carrier's insurance through subrogation (they pay you first, then recover costs from the carrier).
Important: Contact your insurance agent to verify whether your policy covers vehicles during commercial transport before shipping.
You don't need your car insurance to have your car transported.
But without physical damage/subrogation you will have to collect from carrier's insurance yourself and it's a pain.
With physical/subrogation your insurance company will make it much easier for you because they will collect from Primary Payer (carrier's
insurance) first, then if it's exhausted come as Secondary Payer if needed.
99% of the time you sign contract with broker company, then broker company hires carrier - transportation
company with trucks.
Carrier has mandatory $100,000 cargo (usually $250,000-$350,000) insurance that can be split between up to 9 cars
that fit on Stinger Truck (like on picture above) or 7-8 cars that fit on high mount trailers, or less cars for smaller trucks.
Brokers verify carrier's cargo insurance, insurance also required for many of compliance steps for trucks,
and it's monitored by RMIS which notifies brokers about changes - you can be pretty sure that all carriers
taking cars have an active insurance with cargo coverage.
Insurance does not cancel instantly, it is either expires at the end of term or pending cancellation for 30 days before it becomes inactive.
We have carrier's certificates of insurance and can email you a copy - just ask.
You can check if broker's bond and carrier's insurance is active
on government web site - FMCSA
Once located company check if USDOT status "ACTIVE", then click on "Licensing and Insurance", then button "HTML".
It shows liability but does not show cargo insurance correctly - that section of the page is broken.
Then click "Active/Pending Insurance" to see if it is pending cancellation.
This page has insurance company and policy number if you need to file a claim.
This advice comes with no warranty of any kind.