Home TOORAK TIMES NEWSPAPER BUSINESS/FINANCE/MARKETING Understanding the Different Types of Insurance & Their Purposes

Understanding the Different Types of Insurance & Their Purposes


Whether it is the busy holiday season, or the moving of big transport, heavy haulage insurance is a price one must pay to ensure that the fleet is secure.  It is important to have the correct heavy haulage insurance, particularly when both courier insurance and haulage insurance offer very similar features. However, it is important to remember that there are differences that can affect the coverage of the policy when transporting big, heavy goodies.

An insurer can very easily reject a claim in the absence of the correct insurance coverage should you need one. It is therefore mandatory to be aware, and purchase the right heavy haulage insurance. Given here are some basic guidelines to choose the correct courier or haulage insurance for a given business.

The Different Insurances

A normally accepted definition of courier is anyone who needs to facilitate multiple drop-offs of items. This usually occurs in built-up areas and is usually not pre-planned. Heavy haul workers  tend to drive longer distances to pre-planned destinations, but for the same purpose as a courier  – to deliver single, large-scale deliveries on a usually regular route.

Haulage Insurance

Haulage insurance works best for individual personnels and haulage firms running larger HGVs (heavy goods vehicles) that are excess of 3.5 tonnes. These people can transport goods including big items like cars and vehicles and chilled food substances packed in refrigerators. They also tend to move goods from a supplier in one place to an end user or business.

Any insurance for heavy haulage must be carefully tailored to suit the needs and cover the risks associated with a certain type of deliveries, as well as the type of vehicle being used o hse deliveries.

Important Features of Haulage Policy

The main priority for a lot of people is to choose an insurance cover that is comprehensive and offers coverage for loss on their own vehicles and also the vehicles affected by the impact of their vehicle, in the vent of a mishap. Other recommended features for heavy haulage insurance on commercial fleets are:

Goods in Transit

This policy covers the goods being transported against any theft or accidental damage.  Such insurance would cover risks related to the type of cargo being transported, and can be important when it comes to transporting perishables like frozen foods.

Before buying an insurance, it is necessary to disclose all details of shipments to the broker. Failure to do so, or in the event of transporting hazardous cargo, it can nullify the insurance and invalidate it. It is far cheaper to pay a slightly higher premium than risk not having a complete insurance cover for expensive transport operations.

Public Liability Insurance

A haulage insurance policy also can cover the risk against third party accidents and public property. An accident can cause damage to surrounding areas or people in the vicinity, and this needs to be covered by insurance as a part of business operations. In case of employees, an employer’s liability insurance may also be recommended.

In case of needing insurance for several vehicles, a fleet insurance policy can prove to be more cost-effective.