Towing Insurance in Tennessee

Common risks for towing companies

• Damage to vehicles while towing
• Roadside injuries
• Tow truck accidents
• Storage lot theft
• Fuel spills

Coverages towing companies often consider

• Commercial auto Covers vehicles used for the business. Personal car insurance policies often exclude or limit business use.
• Garage liability and garagekeepers On-hook coverage can protect vehicles you’re towing.
• Workers’ compensation Pays medical bills and lost wages if an employee is hurt on the job, and includes employer’s liability.
• Commercial umbrella Adds higher liability limits above your general liability, auto, and employer’s liability.

Not every business needs every coverage. The right mix depends on your work, your contracts, and your budget. All coverage is subject to underwriting and the terms of the policy.

What a claim could look like

For example, imagine a car you’re towing in Gallatin comes loose and hits a guardrail. On-hook coverage may help, subject to policy terms.

This is a hypothetical example for education only. Whether any claim is covered depends on the facts and your policy terms.

Tennessee rules to know

Commercial plates. In Tennessee, a vehicle with a commercial license plate must be covered under a commercial auto policy, according to the Tennessee Department of Revenue.

Workers’ comp. Most Tennessee employers outside construction and coal mining must carry workers’ compensation once they have five or more employees, full- or part-time, per the Tennessee Department of Labor and Workforce Development. Even below that number, many owners choose to carry it.

We can review your requirements and help you shop workers’ compensation and the other coverages above with carriers that write towing companies, subject to underwriting.

Certificates of insurance

Police rotation lists and motor clubs may require certificates.

A certificate of insurance shows your coverage on the day it’s issued. If a contract asks for additional insured status or a waiver of subrogation, the policy usually needs an endorsement, not just a line on the certificate. Our certificate of insurance checklist walks through what to check.

What affects the cost

• The type of work you do and how it’s classified
• Annual revenue and payroll
• Number of employees and any subcontractors
• Where you work and the value of your equipment or property
• The limits and deductibles you choose
• Your claims history and years in business

We can’t promise a price ahead of time, but we can compare options and explain the trade-offs in plain English.

How Eric can help towing companies

Shops and service businesses near I-24, I-40, and I-65, from Antioch and La Vergne to Lebanon and Gallatin, see heavy traffic and a lot of customer cars. As an independent agent affiliated with Hutsenpiller Insurance, Eric can review what you have, read your contract requirements with you, and help you shop options with more than one carrier. See how an independent agent works for you.

Related guides

• Automotive Business Insurance in Tennessee
• All business types we can help
• Business insurance in Middle Tennessee
• General liability insurance
• Commercial auto insurance
• USDOT numbers and truck insurance requirements
• What drives commercial auto costs
• Small business insurance checklist (PDF)
• Certificate of insurance checklist (PDF)