Inside the Details of Auto Transport Insurance: An Expert Interview

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Key Takeaways

  • Auto transport insurance protects your vehicle from damages, while in transit.

    Most carriers only insure up to $100,000.

Auto transportation insurance can be confusing to understand. Thankfully today, we have A1 Auto Transport’s Joe Webster, to help us understand automobile transport insurance, what to understand about it, and some nuggets of wisdom to help alleviate any problems along the way of getting full coverage.

What is Auto Transportation Insurance? 

Auto transportation companies are required by law to insure your vehicle. But, that doesn’t mean 100% of the vehicle is always covered. Some transport companies may rely on barebone insurance only to cover the legality issues, and not cover the actual damages that may be incurred.

You must check with the carrier you want to work with what exactly the transportation insurance covers. If you have an expensive vehicle or are shipping something like heavy equipment, there’s a good chance the entirety of the shipment will not be insured.

You must verify the transport insurance policy before you sign any contracts or hand over your vehicle. Verify that the vehicle is covered during transit, pickup, and delivery. Some transport companies only cover the vehicle once it’s on a truck, leaving for some moments where your vehicle is completely uninsured.

Unfortunately, it is true that in many cases, transport companies fail to properly insure themselves. That’s why the customer must always double-check with the transportation company before handing over the vehicle for delivery.

Can You Transport a Car Without Insurance?

While you may be able to find someone who will take your vehicle without insurance, it’s often not a great idea. If your transportation company for some reason does not have insurance, you will have to cover the insurance premiums out of your pocket.

What is Covered by Auto Transportation Insurance? 

Typical auto transport insurance will cover any damage that has occurred during transport. While it’s uncommon, thefts and vandalism do occur. Not only that, shipments are sometimes lost, and without insurance, you’ll be left holding the bag.

Not all insurance policies are the same, so it’s best to verify what is and isn’t covered by your auto transport insurance policy. 

What Isn’t Covered by Auto Transport Insurance?

Damage that was caused before shipping is not covered by transport insurance. This is why it’s important to properly document the shape your vehicle was in before you hand it over for inspection. 

Having your pictures will go a long way, and it’s also important to wash your vehicle beforehand to avoid any discrepancies by the insurance company. Personal items left inside the vehicle are also typically not insured, best practice is to take anything you would mind losing with you.

What to Do When Transport Insurance Doesn’t Cover You Completely?

In times when you’re shipping a fairly expensive vehicle, it’s important to know that most carriers only insure up to $100,000.  Some carriers may offer a higher deductible but do not expect expensive vehicles to be 100% insured.

Additional insurance can be purchased through the carrier, or you can purchase insurance from a third party to cover the entire ordeal. Make sure that it’s insured from the moment you hand it off until you receive the keys back and a vehicle that is up to your standards. 

Be Wary of Bad Companies

Some transport companies may not operate according to the law, or they are off-shore companies and don’t mind taking the risk of operating uninsured. Always check the Department of Transport to see if your carrier is working legitimately, and as well at the FMCSA.

Check multiple review sources, like Facebook, Yelp, Google Reviews and Trustpilot to understand the transportation company better, and to see if they are operating a real business. Fake reviews are common these days, so use common sense, if all reviews are 5 stars without any downsides, it’s likely too good to be true. 


In conclusion, our interview with Joe Webster from A1 Auto Transport has provided valuable insights into the intricate world of auto transportation insurance and the car shipping industry. Auto transportation insurance can indeed be a complex subject, and understanding the details is crucial for anyone considering shipping their vehicle.

One key takeaway is that not all auto transport insurance policies are the same, and it’s essential to thoroughly examine what is covered and what isn’t. Auto transportation companies are required to have insurance, but the extent of coverage can vary, and some may only provide minimal coverage to meet legal requirements. It’s the responsibility of the customer to verify the insurance policy before entrusting their vehicle for transportation.

In the event that the insurance provided by the transportation company falls short of full coverage, it’s important to consider additional insurance options. This can be obtained through the carrier or a third-party provider to ensure that your vehicle is protected throughout the entire process, from pickup to delivery.

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