Rani Alfers Insurance Agency
Rani Alfers Insurance Agency

Frequently Asked Questions

Rani Alfers Insurance Agency answers many of the most commonly asked questions about insurance options, coverages, deductibles, and insurance compliance. We're here to answer your questions.

Frequently Asked Questions2025-02-17T22:24:52-06:00

Below are some of the more frequent questions we receive as an agency.  If you have a specific question please do not hesitate to give us a call or email.

Commercial Trucking

How much does trucking insurance cost?2024-08-22T02:28:11-05:00

Think of your trucking insurance premium on a risk meter. The more potential risk an insurance carrier views the higher the premium. Here are the major factors when a carrier determines your rate:

  • Your Drivers History: A clean driving record in any case will help you secure a much lower rate v.s a driving record which has a history of accidents, violations, and more.
  • Business Timeline: How long you’ve been in business is a huge factor to determining the premium price. In most cases, businesses with over 2 years will receive a much lower premium than businesses that have less than 2 years.
  • Cargo: What you haul in your truck and how heavy it is being hauled will impact the risk level which will change the premium.
  • Location + Operating Radius: The longer the operating distance the higher the premium will usually be. Longer distance means more risk because a driver has an increased risk of accidents, falling asleep behind the wheel, loosing focus on the road, and changing weather conditions throughout different areas.
  • Vehicle Type:  The heavier the truck, the more the premium will increase. Heavy truck means more risk in event of an accident.
Why are commercial truck insurance rates so high?2024-08-22T02:26:56-05:00

Commercial truck insurance rates are high because insurance companies know that there’s a higher risk of injury and accidents.  Why have the rates risen in the past decade? US Commercial truck insurance rates have risen dramatically over the past few years due to the numerous cases of accidents caused by commercial trucks due to inattentive driving as well as a decreased supply of drivers.

Can I start a trucking company without a CDL license?2024-08-22T02:27:27-05:00

All insurers charge different rates for new trucking companies and owner-operators. You are legally allowed to start a trucking company without a CDL, but if you plan on driving the truck, it is a requirement to have a CDL. Premiums are generally higher when it is not owned by an individual who drives.

How can I save money on trucking insurance?2024-08-22T02:25:34-05:00

Doing your research upfront, taking good care of your truck, and looking for the least expensive coverage available are three ways to save money on trucking insurance.

  • Keep your driving record extra clean to get better rates on your auto insurance policy.
  • Look into other cheaper options outside of traditional captive insurance agencies. We are an independent insurance agency which means we can quote from a variety of insurance carriers.

Other factors in premium include what you’re hauling, driving radius, time in business, # of trucks, type of trucks, tickets/accidents, the driver(s) history and experience.

What coverage do I need for my business?2024-08-22T02:24:30-05:00

Typically, a trucking company will be insured for these lines of coverage: Auto Liability, General Liability, Physical Damage, Motor Cargo Coverage, Comprehensive/Collision Insurance. Contact us at 972-661-5200 for more information about protecting your trucking firms assets.

How long will a claim affect my premium?2024-08-22T02:22:54-05:00

A claim will affect your premium differently based on the covered riders and the severity of loss. On average, 3 years.

How long does it take to get my filings issued?2024-08-22T02:22:23-05:00

Typically filings are done the same day or within 24 business hours.

What’s the difference between auto and general liability?2024-08-22T02:21:42-05:00

Commercial Auto Liability is focused exclusively on the risks of owning a truck, while general liability policies focus on protecting a company from risks that could impact the business in any manner. Commercial Auto liability typically covers property damage and bodily injury to drivers, passengers in your car, pedestrians, and others.

General liability protection covers bodily injury to anyone who could sue your company: customers and other guests (walking through the lobby), contractors, and vendors doing work for you.

What’s the timeframe to get a quote and be covered?2024-08-22T02:20:38-05:00

It typically takes 24-48 hours to get a quote and be covered. Once you decide which plan is best for your trucking needs, we can help you through the application process.

I’ve been driving for 10+ years, why is my rate so high?2024-08-22T02:20:02-05:00

Even if you have been driving for years, opening your own business is a different ball game in insurance carriers eyes. Your CDL experience will impact your rate, but the time in business will also be a big factor, which means if you are a recently new business, your rates will be similar to other new businesses.

What happens in the event of a claim?2024-08-22T02:19:28-05:00

We would be happy to assist you with these questions. You can call us at 972-661-5200, or fill out the contact form and we’ll get back with you right away.  Additionally, you can visit our claim center page for more information.

Can I cancel my policy before it expires if I don’t want to renew?2024-08-22T02:18:02-05:00

Yes, a cancellation can be done at anytime before the renewal period. What happens if I paid in advance? If you paid your premium in advance and cancel before the end of term, then insurance companies will refund the remaining balance. If you decide you want to get insured again, you will have to purchase new coverage.

Is my insurance rate impacted by my personal driving record?2024-08-22T02:17:20-05:00

Your commercial trucking insurance rate is impacted by your personal driving record if you are an owner-operator with a CDL. A professional driver’s license means that any accidents or violations on the road will also affect how much it costs to insure your company’s vehicles

Business Insurance

How often should I review my Commercial Property Insurance policy?2024-08-17T17:14:16-05:00

 It’s advisable to review your policy annually or whenever significant changes occur in your business, such as renovations, purchasing new equipment, or changes in inventory levels, to ensure your coverage remains adequate.

What should I do if I need to file a claim?2024-08-17T17:14:16-05:00

Contact your insurance provider immediately to report the incident. Document all damages with photos and keep records of related expenses. Your provider will guide you through the claims process.

Can I bundle Commercial Property Insurance with other types of insurance?2024-08-17T17:14:16-05:00

Yes, many insurance providers offer package policies, such as a Business Owner’s Policy (BOP), which combines Commercial Property Insurance with General Liability Insurance and other coverages for a comprehensive protection plan.

How do I determine the right amount of coverage for my business?2024-08-17T17:14:16-05:00

Evaluate the replacement cost of your building and contents, considering factors like location, industry-specific risks, and the value of your assets. It’s essential to choose coverage limits that fully protect your investment.

What does Commercial Property Insurance not cover?2024-08-17T17:14:16-05:00

Commercial Property Insurance typically does not cover damages from floods or earthquakes. Separate policies, like Flood Insurance or Earthquake Insurance, are required for these specific risks.

What happens if I need to make changes to my policy?2024-08-17T17:14:16-05:00

You can adjust your Commercial Package Policy as your business grows or changes. Whether you need to increase coverage limits, add new coverages, or modify existing ones, we can help you update your policy to ensure continuous and adequate protection.

How do I know if my business needs a CPP?2024-08-17T17:14:16-05:00

If your business has diverse insurance needs and you find managing multiple policies challenging, a CPP might be right for you. It’s particularly beneficial for businesses that require more extensive coverage than what a BOP offers.

How is a Commercial Package Policy different from a Business Owner’s Policy (BOP)?2024-08-17T17:14:16-05:00

A BOP also bundles multiple coverages, but it is designed for smaller businesses with lower risk profiles. A CPP offers more flexibility and higher coverage limits, making it suitable for larger businesses or those with more complex risks.

Can I customize my Commercial Package Policy Insurance?2024-08-17T17:14:16-05:00

Yes, one of the main advantages of a CPP is its flexibility. You can customize your policy to include only the coverages that are relevant to your business, ensuring you have tailored protection without paying for unnecessary coverage.

What does Commercial Package Policy Insurance not cover?2024-08-17T17:14:16-05:00

While a Commercial Package Policy provides broad coverage, it does not cover every risk. For example, it typically does not include workers’ compensation insurance, health and disability insurance, or professional liability insurance. Separate policies are needed to cover these specific areas.

Commercial Auto

What information do I need to provide to get a quote?2024-08-17T17:14:15-05:00

To get a quote for Commercial Auto Insurance, you will need to provide details about your business operations, the types and number of vehicles to be insured, the primary use of each vehicle, driver information, and any previous claims history. This information helps insurers assess risk and provide an accurate quote.

How does Commercial Auto Insurance differ from Personal Auto Insurance?2024-08-17T17:14:15-05:00

Commercial Auto Insurance covers vehicles used for business purposes and typically offers higher liability limits than Personal Auto Insurance. It also includes coverage options specifically designed for business use, such as Hired and Non-Owned Auto Coverage and higher liability limits.

Can I insure multiple vehicles under one policy?2024-08-17T17:14:15-05:00

Yes, Commercial Auto Insurance allows you to cover multiple vehicles under a single policy. This is particularly beneficial for businesses with a fleet of vehicles, providing comprehensive coverage and simplifying policy management.

Do I need Commercial Auto Insurance if my employees use their own cars?2024-08-17T17:14:15-05:00

Yes, if your employees use their personal vehicles for business purposes, you should consider Hired and Non-Owned Auto Coverage. This policy provides liability protection in case an employee’s personal vehicle is involved in an accident while performing business tasks.

What does Commercial Auto Insurance not cover?2024-08-17T17:14:15-05:00

Commercial Auto Insurance does not cover intentional damage, personal belongings inside the vehicle, or certain types of business equipment. For coverage of personal belongings, consider Personal Property Insurance. For business equipment, Inland Marine Insurance may be appropriate.

Contractors and Trades

What should I do if my tools are stolen or damaged?2024-08-17T17:13:47-05:00

If your tools are stolen or damaged, you should immediately report the incident to your insurance provider. They will guide you through the claims process to repair or replace your tools as quickly as possible.

Are leased tools and equipment covered?2024-08-17T17:13:47-05:00

 Leased tools and equipment can be covered under this insurance. It’s crucial to include details of leased items when applying for coverage to ensure they are protected.

Does this insurance cover tools in transit?2024-08-17T17:13:47-05:00

Yes, Contractor’s Tools and Equipment Insurance often covers tools and equipment while they are being transported between job sites, as long as they are properly secured.

Is rental equipment covered by this insurance?2024-08-17T17:13:47-05:00

Yes, most policies can be extended to cover rental equipment. It’s essential to check with your insurance provider to ensure rental items are included in your coverage

What does Contractor’s Tools and Equipment Insurance not cover?2024-08-17T17:13:47-05:00

Contractor’s Tools and Equipment Insurance typically does not cover normal wear and tear, intentional damage, or losses caused by neglect. For coverage of general liability, you would need a separate General Liability Insurance policy.

Bonds

Do Surety Bonds expire?2024-08-17T17:13:47-05:00

Yes, surety bonds typically have a set term and need to be renewed upon expiration. The term length can vary depending on the type of bond and the requirements of the obligee. It’s important to keep track of your bond’s expiration date and ensure timely renewal to maintain compliance and coverage.

Can I get a Surety Bond with bad credit?2024-08-17T17:13:47-05:00

Yes, it is possible to get a surety bond with bad credit, though it may come with higher premiums. Many surety companies offer programs specifically designed for businesses with credit challenges. It’s essential to work with an experienced agent who can help you navigate this process and find the best options available.

What happens if a claim is made against my Surety Bond?2024-08-17T17:13:47-05:00

If a claim is made against your surety bond, the surety company will investigate the claim to determine its validity. If the claim is found to be valid, the surety will compensate the obligee up to the bond amount. However, the principal (your business) is ultimately responsible for repaying the surety for any claims paid out.

How long does it take to get a Surety Bond?2024-08-17T17:13:47-05:00

The time frame to obtain a surety bond can vary based on the type of bond and the complexity of your business operations. Typically, it can take anywhere from a few hours to a few days. For more complex bonds, the process might take longer as it involves thorough evaluation and approval.

What does Surety Bonds Insurance not cover?2024-08-17T17:13:47-05:00

Surety Bonds Insurance does not cover direct business losses, damages to property, or liability claims. For instance, if your business suffers from property damage, you would need a property insurance policy to cover those losses. Surety bonds are specifically designed to guarantee contractual obligations and compliance with regulations

Business Interruption

Can Business Interruption Insurance be customized for different industries?2024-08-17T17:13:59-05:00

Absolutely. Business Interruption Insurance can be tailored to meet the unique needs of different industries, ensuring that the specific risks and operational requirements of your business are adequately covered.

Does Business Interruption Insurance cover utilities and rent?2024-08-17T17:13:59-05:00

Yes, Business Interruption Insurance covers ongoing operating expenses such as utilities, rent, and payroll, helping your business stay afloat during the interruption period.

Is Business Interruption Insurance included in standard property insurance?2024-08-17T17:13:59-05:00

No, Business Interruption Insurance is usually an add-on or rider to a standard property insurance policy. It must be specifically requested and included in your coverage plan.

How long does Business Interruption Insurance cover lost income?2024-08-17T17:13:59-05:00

The coverage period, known as the indemnity period, usually lasts until your business resumes normal operations, but it is subject to a maximum time limit specified in your policy.

What does Business Interruption Insurance not cover?2024-08-17T17:13:59-05:00

Business Interruption Insurance typically does not cover losses due to pandemics or infectious disease outbreaks. For such coverage, you might need a specialized policy or endorsement.

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