Key factors include:

• Driving record and experience
• Type of cargo hauled
• Vehicle value and age
• Operating radius (local vs. long haul)
• Safety record and compliance history
• Credit and payment history
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Operating without the required insurance can lead to FMCSA penalties, fines, license suspension, and loss of contracts. It also exposes you to massive financial losses in case of an accident.

Motor truck cargo insurance protects the goods you’re transporting if they’re damaged, lost, or stolen while in your care. It’s essential for any carrier hauling freight on behalf of clients.

A leased-on owner-operator typically hauls under another carrier’s DOT authority. In that case, the carrier often provides primary liability coverage, but the driver is responsible for physical damage and non-trucking liability (bobtail) insurance.
A motor carrier, on the other hand, operates under its own DOT authority and must maintain full coverage, including primary liability, cargo, and general liability policies.
In short:

• Leased-on operators need to fill in coverage gaps left by their carrier.

• Motor carriers need comprehensive protection for their entire operation — trucks, employees, and cargo.