How Much Does Hotshot Insurance Cost? 2026 Rates

Hotshot trucking businesses in the United States typically spend between $7,000 and $12,000 per year on comprehensive insurance coverage, which equals about $538 to $1,000 per month. Actual premiums vary depending on the overall risk profile of the company. Several factors influence how much coverage will cost, including services offered, size of the business, location, and claims history.

How Much Does A Hotshot Trucking Company Insurance Cost?

On average, hotshot trucking companies in the United States spend between $7,000 and $12,000 annually on a full insurance package. That equals about $538 to $1,000 per month. These figures are only estimates—actual premiums vary widely depending on the size and scope of your operation.

Every hotshot trucking business faces unique risks, so premiums are never one‑size‑fits‑all. For example, a small company with two trucks running local deliveries will typically pay less than a large fleet of forty trucks hauling freight cross‑country. The type of services you provide, the value of your property, and even your location all play a major role in determining costs.

Companies that transport high‑value cargo or operate long‑haul routes often face higher liability exposure, which drives up premiums.

Several factors influence how much you’ll pay for coverage:

• Services offered – Impacts professional liability and cyber coverage needs.
• Number of employees – Larger staff increases workers’ compensation requirements.
• Property size and value – Owning or leasing larger facilities and high‑value equipment raises commercial property premiums.
• Claims history – Frequent past claims raise rates, while a clean record can lower them.
• Business interruption and add‑ons – Extra coverage options add to the total bill.

Understanding these variables helps hotshot trucking business owners estimate insurance needs more accurately and budget for the real costs of protecting their operations. With the right coverage, you can safeguard your drivers, vehicles, and cargo without overspending.

Average Hotshot Trucking Company Insurance Costs For Coverage Types

When it comes to protecting your hotshot trucking company, different types of insurance cover different risks. Understanding the average cost, coverage details, and what influences pricing for each policy type can help you build a more effective insurance plan. Here’s a closer look at the major coverages most hotshot trucking companies need.

• Primary Liability Insurance: $580 per month
• Physical Damage Insurance: $160 per month
• Cargo Insurance: 1% of cargo value
• Bobtail Liability Insurance: $40 per month
• Non-Trucking Liability Insurance: $67 per month
• Uninsured/Underinsured Motorist Coverage: $90 per month
• Business owner’s policy: $680 per month
• Workers’ compensation insurance: $660 per month
• Commercial auto insurance: $833 per month
• Commercial property insurance: $885 per month
• Cyber liability insurance: $150 per month

Primary Liability Insurance

The average monthly cost of primary liability insurance is $580 for medium sized hotshot companies.

All hotshot businesses need primary liability insurance. This is a requirement as per the Federal Motor Carrier safety administration for all Interstate carriers and there are minimum requirements for property damage and bodily injury.

If, for example, one of your contractors accidentally damages a shed on private property during a car accident, this liability insurance would cover the cost of repairs and any legal fees associated with the accident.

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Physical Damage Insurance

The average cost of physical damage insurance for a hotshot trucking company is around $160 per month.

As the name suggests, this policy protects your truck and trailer against physical damage like accidents, theft, or vandalism. It can also provide damage from covered events like fire or other natural disasters. For example, your truck and trailer get vandalized while parked. Your physical damage insurance would cover the cost of repairs or replacement parts.

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Cargo Insurance

The average cost of cargo insurance for a hotshot trucking company is around 1% of the cargo value.

Cargo insurance protects the goods that are being transported in the event that your hotshot truck is involved in an accident which damages those goods. This can also cover damage or loss to the freight because of other covered events including theft.

For example, one of your employees gets in an accident while driving one of your trucks and this causes significant damage to the cargo. Cargo insurance would help cover those losses.

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Bobtail Liability Insurance

The average cost of bobtail liability insurance for a hotshot trucking company is around $40 per month.

This is a form of coverage for situations where your commercial auto policy does not apply, such as circumstances when your truck is not under dispatch but still driving to or from a load.

For example, you were hauling a load and after delivering it successfully started bobtailing back to your home state. While en route you got in an accident with your motor carriers liability insurance did not cover. The bobtail liability would step in and provide coverage.

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Non-Trucking Liability Insurance

The average cost of non-trucking liability insurance for a hotshot trucking company is around $67 per month.

This is a type of policy to protect your truck when it is not under dispatch and being used for non-trucking purposes.

For example, you are driving your truck for a personal errand and get into a collision.

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Uninsured/Underinsured Motorist Coverage

The average cost of uninsured/underinsured motorist insurance for a hotshot trucking company is around $90 per month.

This is a form of protection that helps your hot shut trucking company in the event that your drivers are involved in an accident with a driver who doesn’t have insurance. It helps cover the gaps.

For example, one of your employees is in a car accident caused by another driver. That driver doesn’t have insurance. This policy would help cover costs for repairing your towing vehicle.

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Business Owner’s Policy (BOP)

The average cost of a business owner’s policy (BOP) is about $680 per month for hotshot trucking companies.

A BOP bundles general liability insurance with commercial property insurance. It protects against customer injuries, property damage, and loss or damage to your office building, furnishings, and equipment. For instance, if a fire damages your computers and files, the BOP would help cover repairs and replacements.

Typical policy limits are $1 million per occurrence and $2 million aggregate for liability, with separate property coverage limits based on the value insured.

Cost factors include the size of your business, location risk (such as flood or crime rates), business revenue, number of employees, and any optional endorsements like cyber protection, directors and officers insurance, equipment breakdown, or extra expense coverage if expenses for a disruptive event go beyond your normal costs.

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Cyber Liability Insurance

The average cost of cyber liability insurance for hotshot trucking companies is $150 per month.

Cyber liability insurance covers the costs an hotshot trucking company might incur after a cyber incident. This extends to lost income after a cyber attack, forensic investigations, data recovery costs, regulatory fines, and the costs of informing customers about the attack.

Hotshot trucking companies can benefit from this coverage if they handle any sensitive data, or if they want to cover gaps in their insurance.

Costs are based on factors like the size of your organization, the type of client data you handle, and the cybersecurity measures you already have in place.

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Workers’ Compensation Insurance

The average cost of workers’ compensation insurance for a hotshot trucking company is around $660 per month.

Workers’ comp covers medical bills, rehabilitation, and lost wages for employees injured on the job. For example, if an employee trips and falls over a box left in the middle of a walkway at the office, and breaks their ankle, workers’ compensation would cover their hospital visit and part of their lost wages while they recover.

Policy limits are regulated by each state, but typically include medical costs and a percentage of lost wages without a set cap.

Premiums are influenced by the size of your payroll, the type of work employees perform (whether in your office or on-site for each client), your claims history, and any implemented safety programs.

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Commercial Auto Insurance

The average cost of commercial auto insurance for a hotshot trucking company is about $833 per month.

Commercial auto insurance covers vehicles owned or used by the business for accidents, theft, vandalism, or damage. For example, If an employee gets into a T-bone accident while driving to a meeting at a third party location in a company vehicle, this policy would cover the damages and any third-party claims.

Typical policy limits are around $1 million combined single limit (covering both bodily injury and property damage).

Factors influencing the cost include the number and type of vehicles, how often they are used, the driving records of employees, and whether you add endorsements like hired and non-owned auto insurance (HNOA) for employee-owned vehicles used for company services like driving to and from off-site consultations.

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Commercial Property Insurance

The average cost of commercial property insurance for a hotshot trucking company, when purchased separately, usually runs $885 per month.

Commercial property insurance covers damage to the agency building and its contents due to fire, theft, vandalism, or certain weather events. For example, if a fire destroys equipment like computers, this policy would pay for repairs or replacement.

Typical policy limits are based on the replacement cost value of the insured property, which could easily reach into the hundreds of thousands depending on your location, building size, and equipment investments.

Premiums are determined by factors like the building’s age and construction type, fire safety systems in place, replacement cost of equipment, neighborhood crime rates, and whether you add endorsements such as professional liability or cyber protection.

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Hotshot Trucking Business Insurance Costs By Provider

Hotshot trucking business insurance costs will vary greatly depending on the insurance carrier. Use the table below to find average costs across different providers.

Note: These estimates are based on typical liability, cargo, and physical damage coverage for hotshot trucking businesses in the U.S. Actual premiums will vary depending on factors such as fleet size, driving records, cargo type, operating region, coverage limits, and claims history.

What Factors Impact Your Hotshot Trucking Company Insurance Costs?

Insurance premiums for hotshot trucking companies are calculated by underwriters who assess your overall risk profile. From the type of cargo you haul to your claims history, several factors determine how much you’ll pay for coverage.

Type Of Cargo

What you transport is one of the biggest cost drivers. Hauling high‑value goods, hazardous materials, or specialty items increases liability exposure and raises premiums compared to standard freight.

Distance Traveled

Insurers often factor in mileage. Companies that operate across multiple states or run long‑distance hauls typically face higher costs than those handling local deliveries.

Equipment Value

The trucks and trailers you use also impact premiums. Expensive or specialized equipment increases physical damage coverage costs.

Driver Records

Insurers closely review driver histories. Experienced drivers with clean records lower risk, while violations or accidents can raise rates.

Location

Where your business is based matters. Offices in high‑crime, flood‑prone, or urban areas generally pay more for property and liability insurance. Suburban or rural locations with fewer claims often benefit from lower premiums.

Size Of The Operation

Larger fleets, more employees, and higher revenue increase exposure. Workers’ compensation costs also rise with bigger staff counts, especially when drivers frequently travel to client sites.

Property Value And Office Equipment

High‑value office equipment, furnishings, or technology drive up commercial property premiums. Many hotshot trucking firms also add cyber insurance endorsements to protect sensitive client data.

Claims History

Past claims are a major factor. Frequent claims signal higher risk and lead to higher rates, while a clean record can qualify you for discounts.

Policy Limits And Deductibles

Higher policy limits provide stronger protection but increase premiums. Opting for a larger deductible can lower monthly costs, though it raises your out‑of‑pocket responsibility when claims occur.

Optional Endorsements

Add‑ons such as business interruption, cyber liability, or hired/non‑owned auto coverage tailor protection to your needs but raise premiums. These are especially important for companies with off‑site operations or exposure to natural disasters.

Insurance Provider

Not all insurers price coverage the same way. Some specialize in trucking risks and may offer more competitive rates or flexible options. Comparing quotes across multiple carriers is one of the best ways to save.

How To Lower Your Hotshot Trucking Company Insurance Costs

Running a hotshot trucking company can be costly, but your insurance premiums don’t have to overwhelm your budget. While coverage is essential, there are practical strategies to reduce expenses without sacrificing protection.

1. Bundle Your Policies

One of the most effective ways to save is by combining multiple policies. Many insurers offer a Business Owner’s Policy (BOP) that packages general liability and property insurance at a reduced rate. Adding workers’ compensation or liability coverage through the same provider can unlock further discounts and simplify administration.

2. Ask About Discounts

Insurers often reward loyalty and upfront payments. You may qualify for reduced rates by signing a multi‑year agreement or paying your premium in full instead of monthly installments.

3. Maintain Clean Driving Records

Hiring experienced drivers with strong safety records is critical. Supporting them with formal safety programs—such as cargo securement protocols and defensive driving training—helps minimize accidents and keeps premiums lower.

4. Strengthen Workplace Safety

Workers’ compensation costs can be managed by focusing on compliance and training. Following DOT regulations for hours of service, conducting regular inspections, and maintaining clear safety procedures reduce risks and claims.

5. Invest In Safety Technology

Modern technology can lower premiums by reducing accident risks. Dash cams, collision‑avoidance systems, anti‑lock brakes, and telematics not only improve safety but also provide valuable data to insurers.

6. Adjust Your Deductible

Opting for a higher deductible is a straightforward way to lower monthly premiums. Just ensure your company can comfortably cover the out‑of‑pocket amount if a claim arises.