What is the difference between trailer interchange and non-owned trailer coverage?
Trailer interchange and non-owned trailer coverage are both forms of insurance for trailers not owned by the trucking company, but they differ in the scope of coverage and whether a written agreement is involved. Trailer interchange insurance is specifically for trailers covered under a formal trailer interchange agreement, providing coverage whether the trailer is attached to the truck or not. Non-owned trailer coverage extends physical damage protection to non-owned trailers attached to the truck but doesn't require a written agreement. Trailer Interchange Coverage:
- Requires a written trailer interchange agreement .
- Provides coverage while the trailer is detached: from the truck.
- Often required for intermodal and logistics companies .
- Examples of use cases: Interchanging trailers in ports, railyards, or with other trucking companies.
Non-Owned Trailer Coverage:
- Doesn't require a written agreement .
- Coverage only applies when the trailer is attached: to the covered power unit (truck).
- Suitable for situations where trailers are frequently swapped: without a formal agreement.
- Examples of use cases: Power-only trucking, hauling trailers for various customers.