Towing company and roadside assistance insurance in North Carolina

What insurance does a towing company in NC need?

Core coverages include: commercial auto (covering the tow trucks); on-hook coverage (covering vehicles being towed, from hookup to delivery); garage keeper's liability (if vehicles are stored at your lot); GL; and workers comp for drivers and dispatch. On-hook and garage keeper's liability are the specialty coverages unique to towing that standard commercial auto does not provide.

What is on-hook towing insurance?

On-hook coverage protects against damage to a vehicle while it is being towed, from the moment it is hooked up to your tow truck until it is delivered to its destination. Without on-hook coverage, damage to a towed vehicle during transport is typically not covered by standard commercial auto.

What is garage keeper's liability for towing companies?

Garage keeper's liability covers vehicles in your care, custody, and control at your storage lot. If a customer's vehicle is damaged by fire, theft, or vandalism while stored at your impound or storage yard, garage keeper's liability responds. It is a separate coverage from on-hook and is required for any towing company that stores vehicles.

Why are workers comp rates high for NC tow truck operators?

Roadside work, on highway shoulders and in traffic, is among the most dangerous occupational environments. Tow truck operators face significant risk from passing vehicles, and fatalities in the towing industry are elevated compared to most other service trades. Workers comp rates reflect this elevated risk classification.