Trailer Interchange Insurance:
Trailer Interchange insurance provides Physical Damage insurance for trailers being pulled under a trailer interchange agreement. This is essentially Physical Damage insurance for non-owned trailers. This insurance protects you if the trailer is damaged by collision, fire, theft, explosion or vandalism.
Since you do not own the exchanged trailers, they require separate insurance coverage because your Physical Damage insurance doesn’t cover them.
Who needs Trailer Interchange insurance?
If you have a trailer interchange agreement, you need Trailer Interchange insurance to protect you while you’re in possession of a container or trailer that you don’t own.
A trailer interchange agreement is a contract that arranges to transfer a trailer from one trucker to another to complete a shipment. Typically, the trucker in possession of the trailer is responsible for paying any damages that are incurred while they have the trailer.
Limits, deductibles and other details
With Trailer Interchange insurance, you must select both a limit and a deductible. The limit is a single amount that describes how much your insurance company will pay if you use this coverage. The deductible is the amount that you agree to pay out of pocket to help with the repairs or replacement.
Non-Owned Trailer Coverage:
Non-owned trailer coverage protects all borrowed or leased trailers in your possession. If any damage happens to the trailer when they are attached to your truck then this policy reimburses. for the cost that the trailers have suffered during the accident.