New DOT and MC #'s Insurance

Well, it's only taken 2 months but I finally was able to obtain a quote for insurance for new DOT/MC numbers. I live in California, and attorneys out here are litigation crazy and love to file lawsuits against trucking companies. So consequently many companies will not write new policies for new O/O's at all, and those few that do charge you through the nose.

The first call I made a couple months ago was to Progressive, and they won't issue a policy on numbers newer than 2 years. Then I went to OOIDA and they wouldn't write new policies on numbers less than 4 years old. They did email me a list of several brokerages and I tried 4 of them. They took my information, and 3 weeks later still no word back. Finally I went online and found Reliance Partners and spoke with an agent. She said that companies won't issue a binding quote until you have your MC number. So I asked her how I'm supposed to do that when I can't get a MC number without insurance. She said that you file for the number, and they give you a temp number until you have secured insurance. She did say that she could run me through her quote program and give me an accurate quote which I had her do. This quote is through Lloyd's of London, and they are "A" rated.

$800 General Cargo Insurance $100k limit. Can be raised with advanced notice.
$12,338 Physical damage to my truck. I based this on a new KW T680 and reefer value $230k
(The above amount can vary greatly if I get a used and much less expensive truck and/or trailer)
$13,000 Auto Liability. This is for $1 million coverage for damage/liability/medical payments to others
$800 If I want an additional $2 million in liability or an umbrella policy, this is the cost for that

So if I take it all I'm looking at $26,938 total or $2,244 per month just for insurance.

What a bargain huh? I'm thinking maybe I'll forget trucking and go back into insurance.

EDIT: I forgot to mention that I've only had my CDL for 3 years and I have no accidents or tickets. Totally clean record.

 

Yeah it is really high. I owned an insurance brokerage for 30 years and made a great living. Retired from that and for some stupid reason decided I wanted to be an O/O. Now I wish I could find brokers as good as my former employees. I could be making a fortune.

 

Yeah I know.

 

Probably. California is about the most expensive. But it still won't be that cheap.