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Snow Plow Insurance

Driving a snow plow carries an increased risk factor, simply because of the nature of the work. Operating a vehicle in snowy or icy weather conditions always raises the possibility of causing an accident; unfortunately, an accident can leave business owners in a tough financial spot.

This is just one reason why having a commercial auto insurance policy that includes snow plow insurance is so important.

When Do You Need Snow Plow Insurance?

If you use a snow plow for business purposes, snow plow insurance is an essential part of your commercial policy. In fact, considering that nearly every state has insurance requirements for vehicles operated on public roads, you may need snow plow insurance to comply with the law.

NOTE: Most state and local laws require you to have snow plow insurance before you can obtain a permit to operate your snow plow for business purposes. Speaking with your commercial auto insurance agent can help you learn exactly what you need to fulfill snow plow insurance laws.

Types of Snow Plow Coverage

Snow plow insurance is made up of several types of coverages. Most coverages can be added to your policy as options, while some may be required by state laws.

As a business owner who specializes in snow removal, you should consider the following kinds of snow plow insurance coverages:

  • Liability insurance - This type of car insurance is the most commonly required insurance throughout most states and includes:
    • Bodily injury: Pays for the medical expenses to others as a result of an accident caused by your company.
    • Property damage: Covers the fees to repair or replace the property of others stemming from an accident your company caused.
  • Collision - Pays for repairs or replacement to your snow plow if it is damaged in an accident.
  • Comprehensive - Helps with repairs of replacements to your snow plow if it is damaged in a non-collision related incident.

Determining the Right Coverage Limits

How much snow plow coverage to put on your commercial auto insurance policy depends on the size of your business. You'll also need to figure in the following:

  • The number of snow plows operated by your business.
  • How many commercial drivers you employ.
  • Your company's ability to absorb financial losses.
  • The amount of assets you have to preserve.

If your state requires a minimum amount of insurance, you must meet those requirements. However, the minimum amount may not be enough to protect you in the event of an incident. You always have the option of purchasing more insurance than is required by law, and you may also add additional coverages that are not part of your state's insurance laws.

Due to the nature of snow plowing, you may find that your snow plow stays in storage for a good chunk of the year. One way to save on snow plow insurance is by only purchasing liability insurance when snow season hits, and discontinuing your coverage during the off season. Keep in mind that you may have to register your snow plow as non-operational at this time, and you will not be allowed to operate the vehicle on public roads. Consider keeping your comprehensive coverage in case your snow plow is somehow damaged while in storage.

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