Tow Truck Insurance

Comprehensive Protection for Your Business


Tow truck insurance provides specialized coverage for businesses that offer towing services. This insurance is crucial due to the unique risks associated with towing vehicles, including accidents, vehicle damage, and liability issues. 

Why Tow Truck Insurance is Essential

Risk Management: Towing vehicles presents various risks, from road accidents to damage to the vehicles being towed. Insurance mitigates financial losses from these incidents.

Legal Compliance: Many regions require tow truck operators to carry specific insurance types to operate legally.

Customer Trust: Insurance demonstrates to customers that your business is responsible and prepared for unforeseen events.

Financial Stability: Ensures that your business doesn't bear the full cost of accidents, thefts, or legal claims, helping maintain financial stability.

Business Continuity: By covering significant financial risks, it ensures your business can continue operating after unforeseen events.

Employee Protection: Offers protection to your employees who are at risk when operating tow trucks, promoting a safer work environment.

Types of Tow Truck Insurance Coverage

Liability Insurance:

Covers damages or injuries your tow truck might cause to other vehicles, property, or individuals.

   Bodily Injury: For injuries to others caused by your tow truck.

   Property Damage: For damage your tow truck causes to someone else’s property.

Physical Damage Insurance:

Protects your tow trucks from damage, regardless of fault.

   Collision: For damage from accidents.

   Comprehensive: For non-collision damage like theft, and fire.

On-Hook Towing Insurance:

Covers damage to vehicles while they are being towed.

Garagekeepers Legal Liability Insurance:

Protects customers' vehicles when stored at your business location.

Medical Payments Insurance: 

Covers medical expenses for you and your passengers after an accident.

Uninsured/Underinsured Motorist Coverage:

Protects you if an uninsured or underinsured driver hits your tow truck.

Choosing the Right Tow Truck Insurance Policy

  1. Assess Your Business Risks: Consider the specific risks your towing operation faces, including the types of vehicles you tow and your geographic area.
  2. Understand Coverage Limits and Deductibles: Higher coverage limits offer more protection but come with higher premiums. Deductibles are what you pay out of pocket before insurance kicks in.
  3. Consult with an Insurance Agent: An experienced agent can help tailor a policy to your business’s specific needs. At E360 Insurance, we have a team of experts that understands your business and provides you with best coverage.

Cost of Tow Truck Insurance

The cost of tow truck insurance varies based on several factors:

  • Business Size and location
  • Number and type of tow trucks
  • Coverage types and amounts
  • Driving records of operators

Expect to provide detailed information about your business when obtaining quotes to get accurate pricing.

How to Get Tow Truck Insurance

1. Assess Business Needs

  •    Identify services offered: roadside assistance, vehicle recovery, parking enforcement.
  •    Determine fleet size and vehicle types.
  •    Consider operational areas and their legal insurance requirements.

2. Understand Coverage Types

  •    Liability Insurance: Covers damages/injuries caused by operations.
  •    Physical Damage Insurance: Protects tow trucks from damage.
  •    On-Hook Towing Insurance: Covers damages to towed vehicles.
  •    Consider additional coverages like Garagekeepers Legal Liability and Uninsured Motorist Coverage.

3. Obtain Quotes

  •    Contact our experts for coverage options and premiums.
  •    Provide detailed business information: tow operations, fleet details, driver records, claims history.

4. Evaluate Quotes

  •    Compare premiums, coverage limits, deductibles, exclusions.
  •    Assess insurer’s customer service and claim processing reputation.

5. Choose a Policy

  •    Pick the policy with the best coverage, cost, and service balance.
  •    Ensure it meets legal requirements and covers business risks.

6. Purchase and Review Policy

  •    Sign documents and pay the premium to finalize the purchase.
  •    Regularly review policy and business needs, especially after major operational changes.

Tips for a Smooth Process

  • Documentation: Keep business and vehicle documents accessible.
  • Safety Programs: Implement safety programs to reduce premiums.
  • Deductibles: Choose higher deductibles to lower premiums, but ensure affordability.


Who Needs Tow Truck Insurance?

Tow truck insurance is essential for a wide range of businesses involved in the towing and vehicle recovery industry. Here's a straightforward list of entities that require tow truck insurance:


  1. Towing Companies: Businesses offering towing services for broken down or damaged vehicles.
  2. Roadside Assistance Providers:  Companies providing roadside services such as tire changes, jump-starts, or fuel delivery, often using tow trucks for vehicle transport.
  3. Auto Salvage and Auction Services: Operations involved in towing vehicles to salvage yards or auctions.
  4. Auto Club Contractors: Contractors working with auto clubs that offer towing and roadside assistance to members.
  5. Repossession Companies: Businesses specializing in the repossession of vehicles, using tow trucks to transport repossessed vehicles.
  6. Mechanic and Auto Body Shops: Shops that offer towing services to transport customers' vehicles to their premises for repairs.
  7. Private Property Impounders: Services that tow vehicles illegally parked on private property.
  8. Municipalities and Government Entities: Government-owned tow trucks used for various purposes, including impounding or roadside assistance.


These entities face unique risks while operating tow trucks, making specific insurance coverage crucial to protect against potential liabilities and damages.

Best Practices for Tow Truck Insurance

  • Regularly Review and Update Your Policy: Your insurance needs may change as your business grows or shifts focus.
  • Prioritize Safety: Implementing safety protocols can reduce accidents, lower insurance costs, and protect your reputation.
  • Document Everything: Keep detailed records of incidents, maintenance, and safety measures to support claims and demonstrate responsible management.

Contact us

Protect your towing business with e360 Insurance's comprehensive tow truck insurance policies. Secure coverage today for reliable protection when you need it most.

Fill out the form here.

Call: +18888626750

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Our Reviews

Admin Magic Rentals
Admin Magic Rentals
15 February 2024
Great company! Mario & Ciara are the best & always super helpful.
Pink Elephants Moving And Storage
Pink Elephants Moving And Storage
10 February 2024
I have been using their services for a very long time. For my Car Insurance for my business insurance for any insurances. Need that I ever had to have. And I can tell you. It's different than using cheap insurance services that you don't know what you're getting into in e360 You have an answer for all your questions. They will ever always take care of your needs and they will always put you. First
Raymond Fouladian
Raymond Fouladian
7 February 2024
I have been working with PJ and his team for 10+ years. They manage all of my insurance policies. They provide nothing short of superior service. The e360 team are professional, experienced and pay attention to any and all details. I would highly recommend e360 for all of your insurance needs.
Luis Pineda
Luis Pineda
7 February 2024
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Dominique Maneri
Dominique Maneri
1 February 2024
Harvey was an excellent help throughout the whole process of getting our insurance quotes! We'd waited months from another provider to receive competitive quotes but received quotes from e360 Insurance Services within just a week or two of asking for them! On top of that, Harvey was extremely communicative throughout the whole process. Anytime I had a question, there was a prompt response or a phone call to further explain. We will definitely consider using e360 Insurance Services in the future!
Krista Adler
Krista Adler
17 January 2024
Veronica and her team were amazing! They answered all our questions and got our new account active very fast! Thanks for all your help!
Jeffrey Holman
Jeffrey Holman
9 January 2024
Veronica did an amazing job getting my commercial vehicle insurance set up. Fast and painless! Thanks Veronica!