Why Buying Truck Insurance Direct From Progressive or GEICO May Not Be Your Best Option
Updated: 2 days ago
Progressive, GEICO and other large insurance companies make it easy to shop for commercial truck insurance directly.
For some trucking companies, that works perfectly fine.
But there's a difference between being able to buy insurance yourself and knowing whether you're buying it from the right company, completing the application correctly and getting the coverage your operation actually needs.
That's where working with an independent trucking insurance broker can make a big difference.
One Insurance Company Doesn't Represent the Whole Market
Every trucking insurance company looks at risk differently.
Your drivers, loss history, operating radius, freight, equipment, location, experience and other factors can all affect whether a company wants your business and how they price it.
That's why two insurance companies can look at the same trucking operation and come back with completely different prices.
If you go directly to one company and receive a $30,000 quote, all you really know is that one company quoted you $30,000.
Another insurance market may look at the exact same operation differently.
As an independent broker, I can look beyond one company's quote and compare other appropriate markets available for the operation.
You Can't Shop Every Insurance Market Yourself
Not every trucking insurance market is available directly to the public.
Some insurance companies and programs are accessed through independent agencies, brokers or wholesale insurance markets.
So even if you spend hours getting quotes yourself, you're still only shopping the markets you can access directly.
Working with an independent trucking insurance broker can give you access to additional options.
That doesn't mean those options will always be cheaper. It means we have more places to look for the right fit.
Sometimes Progressive or GEICO may still be the best option. Sometimes another market may make more sense.
Doing the Application Yourself Can Create Problems
I'm dealing with this right now.
A client came to me after purchasing her trucking insurance directly.
She had three claims during the previous three years. Two had $0 paid and one was only around $300.
When she completed the application herself, she didn't list them because she assumed they weren't significant enough to matter.
The insurance company later found the claims during its underwriting review and decided to cancel the policy.
Now we're trying to replace her coverage with only a few days before the cancellation takes effect.
Had I worked with her from the beginning, we would have disclosed the claims and let the underwriter make the decision.
If the insurance company was fine with them, we move forward. If that particular market wasn't comfortable with the account, we look somewhere else before placing the policy.
Instead, we're now trying to fix a situation that could have been addressed upfront.
That's one of the risks of doing a trucking insurance application yourself. Something that doesn't seem important to you may be important to an underwriter.
If you're not sure what information insurers typically need, my How to Get a Commercial Truck Insurance Quote guide walks through the information and documents I usually ask for before I submit an account.
The Service Doesn't Stop After You Buy the Policy
Truck insurance doesn't stop once the policy is issued.
Trucks and drivers get added or removed. Certificates need to be sent. Lenders need to be added. Insurance filings need to be handled. Operations change throughout the year.
When you work with me, you're not just getting a broker who helps you shop for insurance. You're working with a full-service trucking insurance agency with a back-office servicing team that helps manage the policy throughout the year.
Then renewal comes around, we review the account again. If the current insurance company is no longer competitive or the operation has changed, we can determine whether it makes sense to look at other available markets.
The goal isn't just to get your policy issued. It's to have the insurance support your trucking business after it's in place.
Getting a Quote Is Different From Understanding the Coverage
Online quoting can make insurance look simple.
Select some limits. Choose a deductible. Add the coverages you think you need. Buy the policy.
But do you actually know what your operation needs?
Depending on your business, you may need Primary Auto Liability, Motor Truck Cargo, Physical Damage, General Liability, trailer coverage or other coverages. You may also have specific insurance requirements from a lender, broker, shipper or contract.
A lower price doesn't help much if you bought the wrong coverage.
If you're not sure how the different coverages work together, my Commercial Truck Insurance Guide explains the major parts of a trucking insurance policy in plain English.
If you're buying your first policy for a new MC authority, start with my New Authority Truck Insurance guide so you can understand the insurance and filing side before your authority goes active.
Is Buying Direct Automatically Cheaper?
A lot of people assume buying direct must mean paying less because there's no agent involved.
Don't automatically assume that's the case.
Insurance companies and programs can be priced and distributed differently. What matters is how a particular insurance company prices your operation and what coverage you're actually comparing.
Sometimes the direct option may be very competitive. Sometimes another market available through an independent agency may be better.
That's why I'd rather compare the available options than assume the direct quote must be the cheapest one.
Progressive or GEICO May Still Be the Right Answer
There's nothing wrong with ending up insured with Progressive, GEICO or another company that also sells insurance directly.
They may be a good fit for your operation.
The difference is how you got there.
Instead of choosing one company first and hoping it's the right fit, an independent broker can help you complete the application, compare available insurance markets and understand the coverage you're buying.
If Progressive or GEICO ends up being the best option, great. If another market makes more sense, we have somewhere else to go.
How Can Alex Help?
I've worked in insurance since 2013 and specialized in commercial trucking insurance since 2020.
I help owner-operators, new authorities and fleets compare available trucking insurance markets, complete applications accurately and understand the coverage they're buying.
And because I work through a full-service trucking insurance agency, my clients also have a servicing team behind the policy once it's issued.
If you're shopping for truck insurance, send me your operation details and I'll review what options may be available.
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